days later Ethereum becomes deflationary for the first time since switching to proof of stake (PoS)critics began to point to the removal of Ether by the Ethereum Foundation (ETH) social media staking withdrawal schedule.
A member of the crypto community highlighted how Ethereum developers, leaders and influencers mentioned that ETH staking withdrawals could be opened six months after the merger. After that, the estimated time for unlocking was moved to 6-12 months. Additionally, the Twitter user pointed out that the schedule was revised between 2023 and 2024 estimated before it was eventually scrapped entirely.
Another Twitter user fanned flames, describing staked ETH as a non-redeemable crypto investment. The user pointed out that users invested on a schedule and were not given any due date. Others mirrored the sentiment by sharing retweets of the initial post that criticized the takedown deadline.
On the other hand, Ethereum proponents have given their own responses to the critics. Anthony Sassano, the co-founder of Ethereum resource site ETHhub, came to the defense of the network by brushing off criticism as bitcoin attempts (BTC) maximalists to find other things to attack in Ethereum after being disproved by the merger. Ethereum developer Antiprosynth has also Underline in a tweet that these criticisms come at a time when Ether’s market dominance is increasing and Bitcoin’s is waning.
Meanwhile, a recent FTX exploit made the striker the 35th largest holder of ETH. A day after the distressed FTX exchange filed for bankruptcy, the exchange’s wallets were compromised, losing over $600 million in crypto assets. A large portion of the hacked tokens have been converted into 228,523 ETH, which is worth around $280 million at the time of writing.
In other news, Ethereum co-founder Vitalik Buterin called out FTX for doing what he described as “signalling the virtue of compliance.” comparing beleaguered exchange to Mt. Gox and Luna, which were sketchy from the start, according to Buterin. The Ethereum co-founder pointed out that this type of fraud hurts more than the other.