Grayscale Investments Files Claim over Ethereum Proof of Work Token after the Merge
Grayscale Investments, a leading investment partner for digital currencies is set to distribute Ethereum Proof of Work (ETHPoW).
The distribution will come following the “Merge’’ as a result of a fork in the Ethereum blockchain and is set to take effect on September 26, 2022.
According to filings, Grayscale Trust currently has approximately 3,059,976.06309448 ETHPoW tokens while Grayscale Fund possesses 40,653.24325763 ETHPoW tokens approximately. However, the amount of these assets from both the Trust and Fund has not been determined as they are relatively new to trading.
Grayscale Investments will be appointed as an agent to acquire and sell the Ethereum Proof-of-Work token on behalf of Record Date Shareholders. Grayscale will there have the right to sell or abandon the ETHPoW tokens as it deems fit and if there is an event of any sale of ETHPoW token, Grayscale has the right to remit cash proceeds to Shareholders.
Grayscale may also choose to sell ETHPoW tokens through an affiliate, any affiliate being used will be expected to receive a commission from the proceeds of such sale. Therefore, the price of ETHPoW token may either increase or decrease when a purchase is made through an affiliate.
The trading of the ETHPoW tokens has not been established as there are still uncertainties in the acceptance of the token by investors and trading platforms. The price of ETHPoW tokens is therefore excepted to fluctuate as a result of the volatility that may occur due to these uncertainties.
Ethereum (ETH) has remained in the news since going through its biggest software upgrade, known as the Merge, which saw a change from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus process.
Based on the conjecture generated by the much-awaited Merge, active addresses were assumed to rise with weekly social engagement levels jumping by 53%. However, the Ethereum platform did not achieve the anticipated result after going live during intraday trading according to a report from CoinMarketCap.
Image source: Shutterstock