CoinEx Has Taken the ETH “London Hard Fork” Upgrade and Resumed the Deposit and Withdrawal Services of ETH and ERC20 Tokens
The 2020 DeFi boom has brought rapid development to the cryptocurrency industry, and its ecosystem on Ethereum is now thriving. Following the year of DeFi in 2020, NFT has dominated 2021 to stimulate the popularity of Ethereum.
As DeFi continues to heat up, gas fees, the “by-product” of DeFi, also continue to rise. According to the latest report by Glassnode, the current gas fees on Ethereum have exceeded 17,500 ETH per day (about $6.8 million), reaching the highest point in history. Therefore, it is imperative to reduce the high gas fee and solve network congestion.
At 12:33 on August 5, GMT, at Block 12,965,000, Ethereum’s latest hard fork upgrade, dubbed “London,” was officially activated on the network, which marked the roll-out of the landmark EIP-1559. Afterward, ETH was down for a short period before rallying by more than 5% in the last 24 hours to $2,800, according to Coinmarketcap, breaking a new high for the first time since June.
The so-called “London hard fork,” named after the city where the second annual Devcon was held in 2015, brings Ethereum into an inflationary era.
The upgrade aims to solve the long-standing problems with Ethereum including exorbitant transaction fees and scalability to improve the product experience, and is arguably the most important part of the overall ETH2.0 scheme. And the most controversial is its proposed changes to reward dynamics and payouts to miners, which slashes miner fees, but the upgrade remains an irresistible trend.
Recently, CoinEx has announced its support for the Ethereum (ETH) London Hard Fork. During the upgrade, to ensure users’ assets security, the deposit & withdrawal services of ETH and all ERC20 tokens will be suspended, and the arrangements are as follows:
I. Changes of deposit and withdrawal services
1. Suspension of ETH and ERC20 tokens deposit and withdrawal services: 11:45 on August 5, 2021 (UTC)
2. Resumption of ETH and ERC20 tokens deposit and withdrawal services: Deposit & withdrawal services will be resumed after the upgraded network is stable. The specific time will be announced separately.
II. Arrangement towards ETH London Hard Fork
If no new token is created, CoinEx will resume the deposit & withdrawal services for ETH and all ERC20 tokens after the network is stable. Please stay tuned for further announcement. If a new token is created, CoinEx will take a snapshot of ETH held by CoinEx users at the ETH block height of 12,965,000 at around 11:55 (UTC) on August 5, 2021, and will distribute the new tokens at a ratio of 1:1. To ensure the accuracy of your snapshot, please avoid transferring during the snapshot period. All CoinEx users will be notified via announcement if there’s any new arrangement concerning ETH London Hard Fork.
III. Changes of Trading Services
1. Margin Loan: ETH borrowing will be suspended from 09:00 on August 4, 2021 (UTC) to 13:00 on August 5, 2021 (UTC).
2. Other trading services: During the suspension of deposit & withdrawal services for ETH and ERC20 tokens, all the other trading services will not be affected, including spot trading, margin trading, perpetual, financial account, and AMM. Also, inter-user transfer of ETH and ERC20 tokens on CoinEx will not be affected during this period .
1. The ETH London Hard Fork will take place at Ethereum Mainnet block height of 12,965,000. The estimated time is for the user’s reference only and may change depending on the block propagation time.
2. No operation is required for CoinEx users to complete this upgrade, while users outside the platform can deposit ETH to CoinEx before August 5 to complete the upgrade.
3. The hard fork may experience violent price fluctuations. To lower the risk of forced liquidation, users are suggested to lower positions, liquidate positions, lower leverage multipliers, or increase margin in advance.
4. All CoinEx users will be notified once the upgrade is completed for the sake of their asset security and trading experience.
By far, it remains unclear how the upgraded transfer fee mechanism of Ethereum will impact miners’ income. The prevailing view is that miners will suffer a short-term fall in earnings. According to the relevant data, miners’ income from service charges reached 4,723 ETH or roughly $11.67 million before the day the upgrade went into effect. However, most miners and mining pools have embraced the new mainnet and the EIP 1559 proposal, and the market mainstream also holds the view that Ethereum will flourish.
For the time being, the ETH London hard fork has completed, without generating a new token. CoinEx has resumed the deposit and withdrawal services for ETH and ERC20 tokens at 16:00 on August 5, 2021 (UTC).