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> But I have trouble finding reasons why users, developers and businesses would support the PoW based chain in the long term. I explained why: Cross-investmen

> But I have trouble finding reasons why users, developers and businesses would support the PoW based chain in the long term. I explained why: Cross-investment within the ecosystem. If, I dunno, say Coinbase has a large investment in a mining operation (and I'm completely making this up, to be clear), they're not gonna want a move to PoS because it'll destroy that investment. We know for a fact that there's a ton of this type of cross-investment in the ecosystem, as evidenced by the ripple effects from the collapse of organizations like 3AC. It's not at all unreasonable to conclude that similar relationships could create incentives to keep the miners solvent.

DennisP 4y ago
Fwiw, Coinbase and Kraken both hold large amounts of staked ETH for their customers, and skim off a percentage of the staking rewards. They won't be able to access those profits until about six months after the merge. So they both have an interest in the PoS chain doing well. Anyone in the community who's been paying attention has been well aware that staking was coming. The staking network has been running in parallel since December 2020, and about 12% of the current supply of ETH is deposited on it.