The head of the FTX cryptocurrency exchange believes that Ethereum’s transition to the «green» blockchain will lead to technical problems

Before Ethereum’s transition to PoS (Proof-of-Stake), the CEO of FTX warned of potential inevitable losses for the crypto industry after The Merge merger. Sam Benkman-Fried said that although the merger will be beneficial for Ethereum in the long run, it is reasonable to expect some turbulence when it finally happens.

«In the long run, the merger will make transaction processing much faster and cheaper. But the merger, like all major transitions, will be a bit volatile in the beginning,» Benkman-Fried warned.

The FTX CEO foresees that some protocols will fail in the transition, and then a market cleanup will be required: «I think a number of Ethereum forks will be created. Many miners want to keep Ethereum with proof of work (PoW). However, most are ready to switch to the proof-of-stake (PoS) algorithm. Obviously, many people in the ecosystem will have to update their software to start processing the new chain.»

The expert added that not everyone will be ready for such a scenario: «I expect APIs to break due to unpreparedness. It is necessary to fix errors at least in centralized objects. When this happens in a large decentralized ecosystem where all elements are trying to switch to the PoS algorithm at the same time, some companies will not survive the merger and will leave the cryptocurrency market.»

The next Ethereum update will take place on September 15 at 02:17:03. Recently, Ethereum developers have confirmed the successful fulfillment of the prerequisites — the quality of the «shadow» forks required for the long-awaited update of The Merge blockchain. As part of the update, the community needs to update their Ethereum nodes, which is currently facing some problems — the community is not keeping up with the developers' actions.