The FTX CEO says people should be ready for a bumpy ride.
Sam Bankman-Fried speaks with CNBC
The Ethereum merge is upon us, this statement has been the beginning of many articles here on MetaFi and Solanews as well as other reporting platforms. The merge will see the Ethereum blockchain make a change from an energy-consuming Proof-of-Work method to a greener less energy-intensive Proof-of-Stake system like that of Polygon or Solana.
Sam Bankman-Fried is no recluse in the crypto community. The CEO of FTX and staunch Solana supporter has been helping other companies that have seen trouble during this bear market and has kept his eye on the merge very closely. Recently he spoke on the merge and stated what he believes may happen during this monumental change.
The CEO spoke with CNBC and stated that while the merge will be beneficial for the blockchain in the long run there is definite concern for turbulence in the beginning of the change.
In his interview Bankman-Fried made the following statements:
“I think long term it’s probably going to be exciting for the Ethereum community. I think it’s going to allow substantially faster and cheaper processing and transactions…”
“I do think that it’s going to be – as all big transitions are – a little bit rocky at the beginning. I think there’s going to be some messy activity around when it happens. I think that’s sort of inevitable, both long term and probably even medium term.”
Sam explained how there is definitely going to be a bit of confusion and lack of preparedness among some in the Ethereum community , this could cause some more technical difficulties. He then stated that some platforms may not make it and a “clean-up” of sorts may be needed
“I think that first of all, there are going to be some forks of this. As you look at some people who want a proof-of-work (PoW) variant on it, although I think everyone is expecting that the bulk of the activity in transition to be a proof-of-stake Ethereum through this merge. Obviously, there’s going to be a lot of people in the ecosystem that will have to update software that have to start processing the new chain.”
Many of those are going to be promptly ready to do it, some of those probably are not. I expect that APIs are going to break in ways that people didn’t quite predict, and there’s going to have to be bug fixes at least on centralized entities…
It’s a big transition, and anytime that happens, especially when it’s just not one company doing it, when it’s an entire decentralized ecosystem and all the decentralized and centralized entities in it try to transition all at once, some people are going to flub the transition and take some time to clean it up.”
The merge will be happening in the next few days as it has been scheduled for a mid-September launch. There are of course many myths concerning the merge that have since then been dispelled. The merge will definitely change Ethereum but the jury is still out for exactly how deep of a change that will be.