The long-anticipated transition of Ethereum to a proof-of-stake (PoS) consensus mechanism—commonly referred to as "The Merge"—marks a pivotal moment in blockchain history. With this shift, a critical question emerges: What will happen to Ethereum miners?
This isn't just a technical debate—it's a financial reckoning involving billions of dollars in mining hardware, energy investments, and future revenue streams. As Ethereum abandons proof-of-work (PoW), the fate of one of the largest mining ecosystems after Bitcoin hangs in the balance.
Two Paths for Ethereum Miners Post-Merge
As the PoS upgrade approaches, Ethereum miners are broadly dividing into two strategic camps:
- Supporting a PoW fork of Ethereum – such as ETHW or ETHPoW
- Migrating to existing PoW chains – primarily Ethereum Classic (ETC)
Each path presents unique opportunities and risks, shaped by market dynamics, developer support, and long-term sustainability.
👉 Discover how mining strategies are evolving in the post-Ethereum PoW era.
The ETHPoW Fork: A Bold but Risky Move
The most controversial response to the Merge is the proposed hard fork known as ETHPoW or ETHW, aiming to preserve the PoW consensus on a new chain.
This movement gained momentum through figures like Guo Hongcai, a key figure in the Ethereum Classic community, who publicly declared: “I forked Ethereum once—I’ll do it again.”
Backed by organized social media campaigns, GitHub repositories, and official websites, ETHPoW has outlined its core principles:
- Fair launch with no pre-mine or special allocations
- Exclusive use of PoW consensus
- Removal of EIP-1559 and gas fee burning
- Commitment to decentralization
- Dissolution of the core team within three years
Technically, the fork is expected around mid-September 2025, with testnet deployment underway. The codebase is derived from Go-Ethereum, modified to disable the difficulty bomb and adjust mining difficulty at launch.
One particularly contentious feature is the redirection of base fees to a multisig wallet controlled by miners and community members—diverging from EIP-1559’s burn model. While proponents argue this reinvests value into the ecosystem, critics see it as a centralized point of control that could undermine trust.
Will Exchanges Support ETHPoW?
Market liquidity often determines a fork’s survival. Several major exchanges have signaled support:
- Poloniex, BitMEX, Gate.io, and MEXC have committed to listing ETHPoW
- Binance, Huobi, and others are evaluating inclusion based on technical and market criteria
This backing enables futures trading ahead of the fork, potentially driving short-term speculation and liquidity.
However, exchange support alone isn’t enough. Long-term viability depends on sustained user adoption, decentralized development, and real-world utility.
Lessons from Past Forks: ETC and BCH
History offers cautionary tales. Both Bitcoin Cash (BCH) and Ethereum Classic (ETC) emerged from contentious hard forks—and their trajectories reveal common patterns.
After the 2017 Bitcoin split, BCH briefly reached 0.28 BTC in value. Similarly, ETC spiked to 0.33 ETH post-fork. Yet both failed to maintain momentum:
- BCH’s hashrate has steadily declined
- ETC saw算力 growth only during periods of high ETH mining profitability, surging nearly 6x ahead of The Merge—but still pales in comparison to Ethereum’s 900 TH/s
These cases highlight a key truth: without active developer engagement and DeFi innovation, even well-supported forks stagnate.
Where Are the Developers?
This is the Achilles’ heel of ETHPoW.
Ethereum’s dominance wasn’t built on mining—it was powered by DeFi, NFTs, and smart contracts. Projects like Chainlink, Uniswap, and Aave chose Ethereum because of its robust ecosystem.
Today, major players have aligned with PoS:
- Chainlink publicly supports the PoS transition
- USDC and USDT issuers have confirmed backing for the PoS chain only
Why? Stablecoins require regulatory clarity and 1:1 backing. Supporting a new, uncertain fork introduces financial and compliance risks.
Even if ETHPoW replicates smart contract data, it lacks native liquidity unless users actively deposit assets. Without frontends like Uniswap or wallets like MetaMask supporting it, interaction remains limited to technically skilled users running custom nodes.
There are rumors that Justin Sun (owner of Poloniex) may launch a stablecoin on ETHPoW—but until confirmed, this remains speculative.
👉 Explore how blockchain ecosystems thrive beyond mining rewards.
Turning to Ethereum Classic (ETC)
For miners seeking continuity, Ethereum Classic offers a more immediate alternative.
Running a modified Ethash algorithm, ETC allows seamless migration of existing GPU rigs. Major mining pools like Antpool have pledged $10 million to boost ETC’s DeFi ecosystem—aiming to replicate the tools that fueled Ethereum’s rise.
Yet challenges remain:
- Annual mining revenue on ETH: $18.4 billion
- Annual mining revenue on ETC: $318.7 million — nearly 60x smaller
- Current hashrate: ETH at 900 TH/s vs. ETC at 30 TH/s
To absorb even a fraction of displaced ETH miners, ETC’s price would need to increase 50-fold—a tall order without massive new demand.
Other PoW chains like Dogecoin, Ravencoin, and Litecoin face similar limitations. None can individually sustain the scale of Ethereum’s mining output.
The Inevitable Outcome: Hashrate Redistribution
Given these constraints, the most realistic scenario is a fragmentation of hashrate across multiple PoW blockchains.
Miners will follow profitability, dynamically switching between chains based on difficulty, price, and reward structure. Pool operators may automate this process through profit-switching algorithms, maximizing returns in real time.
Still, average earnings will likely drop significantly compared to peak ETH mining days.
FAQ: Your Questions Answered
Q: Will Ethereum miners lose all income after The Merge?
A: Not immediately. Miners can redirect their hardware to other PoW chains or participate in forks like ETHPoW—but income will likely decrease due to lower network rewards and increased competition.
Q: Is ETHPoW a scam?
A: Not inherently. It’s a community-driven fork with technical legitimacy. However, concerns around the multisig fee wallet and lack of developer support raise red flags about long-term trust and decentralization.
Q: Can I still mine Ethereum after 2025?
A: No—after The Merge, Ethereum no longer uses proof-of-work. Any continued "mining" would be on a separate forked chain, not the official Ethereum network.
Q: What happens to my staked ETH during the transition?
A: Staked ETH on the Beacon Chain remains secure and functional. Withdrawals were enabled post-Merge upgrade, ensuring full liquidity for validators.
Q: Which blockchain will benefit most from Ethereum miners?
A: Ethereum Classic (ETC) is best positioned due to algorithm compatibility and growing investment. However, broader redistribution across PoW networks is expected.
Q: How can I protect my mining investment?
A: Diversify across multiple PoW coins, monitor profitability dashboards, and consider upgrading hardware for efficiency or repurposing rigs for alternative computing tasks.
Final Thoughts: The End of an Era
The Merge isn’t just an upgrade—it’s a paradigm shift. It marks the end of GPU-based Ethereum mining as we know it.
While short-term opportunities exist through forks and hashrate migration, long-term sustainability hinges on more than just computational power. It requires developer activity, user adoption, and ecosystem innovation—elements that cannot be forked overnight.
For miners, adaptation is no longer optional. Whether embracing new chains, exploring cloud computing alternatives, or exiting the space altogether, the era of passive mining rewards is fading.
But within this disruption lies opportunity—for reinvention, for diversification, and for building the next generation of decentralized networks.
👉 Stay ahead of blockchain transitions with real-time market insights.