The Ethereum Merge is closer than ever. In days to come, the Ethereum blockchain will transition from a Proof-of-Work (PoW) to a Proof-of-Stake (PoS) model. This transition will reduce the high energy consumption used to validate transactions and improve transaction speed, although by a small margin.
Ethereum is currently the second-largest blockchain and hosts most of the NFTs out there. If you are asked to mention three NFT collections, chances are that one of the three you’d say are Ethereum-based NFTs. Since Ethereum was the first blockchain that allowed NFTs to exist, it’s no surprise that it hosts the most popular collections and the largest volume.
The Merge is a significant event and one that would transform the blockchain. Its failure could also cause a lot of things to go wrong. But worry not, Ethereum developers have assured us that it would as planned. However, there are still chances you could fall victim to crypto scams and hacks.
To help you prevent that, here’s a guide on how to keep your NFTs safe during and after the Merge.
As simple as it may seem, doing nothing is your best bet at staying safe during the Merge. As a user, you’re not expected to do anything to make the Merge a success. As a matter of fact, you’d barely notice any change or find anything different in your wallets.
Your NFTs will still show in your wallet during and after the Merge. But selling or buying NFTs while the Merge is happening, could go wrong. So, if you don’t want to risk the amount of dollars you spent on your NFT collection, do nothing!
It’s simple. It’s safe. It’s cheap!
Avoid Untrusted Links
Crypto scams are as sophisticated as the technology itself. One of the main ways through which illicit actors work is through email hacks. Once they gain control over your account, all you own could be gone in the blink of an eye.
However, it might be difficult to identify these scams. But one of the easiest ways is checking if there’s anything in the mail requesting your wallet information or sign-in details. It doesn’t matter if the mail says it was sent from OpenSea or Foundation.
Another way is checking if there’s an offer that’s too good to be true. Most times, these hackers prey on people’s greed. So if someone is offering something that doesn’t seem appropriate for what you have, then it’s better to ignore it.
Duplicate Copies of NFTs
Even though the Merge will bring about some good improvements, a number of people want to maintain the existing blockchain. Most of these people are miners who used to validate transactions in exchange for rewards.
To do this, all that needs to happen is a hard fork. A hard fork is a situation where a blockchain splits in two. Should that happen in this case, there’d be two blockchains post-Merge. As a result, all the tokens, NFTs, and assets on the current blockchain will be duplicated on both.
While this looks like something that could cause many problems, you could easily avoid it. Most crypto institutions have announced they would only support the PoS Ethereum blockchain. This reduces your chances of buying a PoW duplicate.
Learn more about NFTs >> The Ultimate Guide to NFTs
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*All investment/financial opinions expressed by NFT Plazas are from the personal research and experience of our site moderators and are intended as educational material only. Individuals are required to fully research any product prior to making any kind of investment.
A blockchain maximalist who believes that technology is necessary for the future we are heading to. An ardent researcher and writer who uses his writings to inform about the prospects in the blockchain space.