Celo is set to transition from a standalone Layer-1 blockchain to an Ethereum Layer-2 network with the support of Coinbase. This transition aims to enhance security and integration within the Ethereum ecosystem.
Coinbase’s Support in Celo’s Migration
Coinbase has announced its support for Celo’s transition to an Ethereum Layer-2 network. The upgrade, commencing on March 25, will temporarily suspend CGLD deposits and withdrawals. This strategic decision allows leveraging Ethereum’s robust security and expansive ecosystem while maintaining low transaction fees and fast settlement times.
Migration Process and Features
The migration process involves significant technical changes, including faster block confirmations and the introduction of native bridging between Celo and Ethereum, enhancing asset transfer security and efficiency. Despite these changes, the token ticker for CGLD will remain unchanged.
What to Expect During and After Migration
Coinbase has assured users that their CGLD tokens will be automatically converted during the migration, with no action required on their part. However, the exchange advises refraining from depositing CGLD during this period to avoid processing delays. Users will receive email notifications when services are disabled and resumed.
Celo’s migration to Ethereum Layer-2 is expected to significantly improve scalability and integration with the Ethereum ecosystem. Users can expect enhanced security and network usability.
