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Will Etheruem's switch to POS result in more competition for Ethereum?

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One way a lot of crypto currencies launch is by creating forks of existing projects, lifting their code and modifying it to make something new. An example of this is eth and eth classic.

When eth was pow, this wasn't necessarily an issue. Because securing the currency requires a heavy investment from miners it becomes difficult to raise support for a fork so the new chain id likely to die. But eth is becoming POS. Theoretically that means an unlimited number of ERC20 chains could be formed and securing the network only requires the tokens be distributed to enough holders. VC firms could manage promoting forks loke that easily since the upfront investment for validators is now very low.

Furthermore, if a VC forked and invested in developing a software bridge, they could theoretically siphon resources from the original eth chain. An easy way to do that would be promoting lower fees or offer token incentives, ECT. Eventually there could be many chains that could compete with eth, allow users to interact with eth dapps, and still remain secure.

If this happened, this might divide the value of the eth network across multiple chains, reducing the growth potential of the original eth chain.

How is Ethereum going to prevent this?

submitted by /u/jetro30087
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