Due to the DAO debacle, Ether traders and Ethereum users have been discussing the hard fork implementation for some time. Quite a few users have disagreed with the fork, but many others have had to sit in abject horror while they watched their funds being siphoned away. In order for any technology to grow, flaws must be fixed and security must be augmented. Thankfully this hard fork will show that flaw exploitation for financial gains will be rectified and served with consequences. This enhances the sense of community behind Ethereum.
The majority has now voted in favor of the hard fork implementation- because of this, exchanges will have to do major maintenance to keep their transactions on the correct chain. If not, this could result in tragic financial losses.
Kraken recently issued out an email announcing the halt of Ether activity for one hour before the hard fork implementation. Even though deposits and withdrawals cannot occur at this time, this will ensure users that after the fork, funds are secure and all transactions will be executed. Read on for their announcement::
Dear Kraken User,
If you trade ETH, LTC, XRP, XLM, or XDG on Kraken, please read the following announcements to learn about:
- The ETH hard fork
- Reversing XBT/LTC, XBT/XRP, XBT/XLM, and XBT/XDG pairs
The ETH hard fork
As you may know, the Ethereum community has elected to do a hard fork in order to resolve the DAO exploit. The MainNet block on which the hard fork will occur is set at 1920000, which should be reached on Wednesday, July 20 (this is only an estimate, however).
How will Kraken handle the hard fork?
ETH deposits and withdrawals will be disabled approximately 1 hour before the hard fork activates. Trading will continue as normal during the fork. All ETH on Kraken after the fork will be tokens of the winning chain (i.e. the chain with the most work on it). ETH deposits and withdrawals will be enabled again once the winning chain has become clearly evident. We expect the hard fork process to be smooth and quick, but there is no certainty of this.
For more info on the hard fork, click and read.