<div id="readability-page-1"><p><img width="1600" height="749" src="https://imageproxy.pbkrs.com/https://ik.imagekit.io/invezz/uploads/2021/12/celo.jpg?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" original-src="https://imageproxy.pbkrs.com/https://ik.imagekit.io/invezz/uploads/2021/12/celo.jpg"/></p><p>Layer 1 blockchain Celo (CELO) will migrate to layer 2 on 16 January 2025. </p><p>The move, which has been ongoing for over a year, signals the increasing interest in L2 solutions to fight efficiency and scalability issues.</p><p>Meanwhile, Coinbase’s latest announcement to clients ahead of the transition has triggered conversations within the cryptocurrency community.</p><p>The leading crypto exchange confirmed that it will not support the migration. </p><p>The trading platform urged clients to cash out their Celo L1 coins by 13 January 2025 “to prevent funds becoming inaccessible.” </p><div><div><article><div><p><img src="https://imageproxy.pbkrs.com/https://pbs.twimg.com/profile_images/1422538477900423170/tRsq0F8Y_normal.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="48" height="48" original-src="https://imageproxy.pbkrs.com/https://pbs.twimg.com/profile_images/1422538477900423170/tRsq0F8Y_normal.png"/></p></div><p><span>The Celo L1 blockchain (Coinbase ticker: CGLD) is migrating to Celo L2 on January 16, 2025. Coinbase will not support the migration. Due to migration by hard fork, customers must withdraw CGLD from Coinbase by January 13, 2025 to prevent funds becoming inaccessible. 🧵 ⬇️</span></p><p>8:01 PM · Nov 27, 2024</p><p><span>Read 81 replies</span></p></article></div></div><p>The Celo L1 platform will halt block production during the hard fork upgrade, rendering customer funds inaccessible.</p><p>While Coinbase indicated that clients could transfer CGLD coins to CELO-compatible addresses, the lack of support for the upgrade has attracted criticism.</p><h2>Crypto community’s reaction</h2><p>The crypto community appeared dissatisfied with Coinbase’s decision.</p><p>Verda Ventures’ General Partner Alex Witt stressed the exchange’s inconsistency approach. </p><p>He highlighted that Coinbase’s Base network and Celo L2 leverage Optimism technology.</p><div><div><article><div><p><img src="https://imageproxy.pbkrs.com/https://pbs.twimg.com/profile_images/1779785938916519936/DuWTBhr__normal.jpg?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="48" height="48" original-src="https://imageproxy.pbkrs.com/https://pbs.twimg.com/profile_images/1779785938916519936/DuWTBhr__normal.jpg"/></p></div>Replying to @CoinbaseAssets<p>@Celo<span> L2 and </span>@base<span> both use </span>@Optimism<span>, why not support </span>@Celo<span>?The optics of the situation are that </span>@coinbase<span> is using monopolistic centralized power to king make </span>@base<span> in a supposedly decentralized world.</span>@coinbase<span> is an outstanding company with a mission “to increase economic…</span></p><p>10:42 PM · Nov 27, 2024</p><p><span>Read 6 replies</span></p></article></div></div><p>Witt added that the decision signals monopoly, where the trading firm capitalized on its centralized powers to support Base over other blockchains.</p><p>Celo co-founder Marek Olszewski trusts Coinbase’s decision limits the broad Ethereum-centered vision of using L2 solutions to enhance scaling.</p><p>He added that resistance from leading exchanges could force other EVM-compatible L1 to hesitate to make similar transitions.</p><h2>Coinbase’s response to critics</h2><p>Meanwhile, the exchange stepped up to debunk assertions that it doesn’t support other platforms and Ethereum scalability. </p><div><div><article><div><p><img src="https://imageproxy.pbkrs.com/https://pbs.twimg.com/profile_images/1422538477900423170/tRsq0F8Y_normal.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="48" height="48" original-src="https://imageproxy.pbkrs.com/https://pbs.twimg.com/profile_images/1422538477900423170/tRsq0F8Y_normal.png"/></p></div>Replying to @CoinbaseAssets<p><span>Any accusation that Coinbase does not support the scalability of Ethereum is not true. Coinbase is focused on being a bridge to the cryptoeconomy and we are in support of L1s and L2s.</span></p><p>5:55 PM · Nov 28, 2024</p><p><span>Read 18 replies</span></p></article></div></div><p>Coinbase emphasized its focus “on being a bridge to the cryptoeconomy.” </p><p>While not supporting the technical transition, Coinbase confirmed that it will analyze Celo Layer2 upon its completion and decide about its listing.</p><h2>Celo’s L2 transition</h2><p>The Celo team proposed migrating to an L2 platform on Ethereum in July last year, 2023. </p><p>Meanwhile, the decision to leverage Optimism’s stack gained approval (after months-long evaluations).</p><p>The community remained furious about Coinbase’s 11th-hour announcement, yet Celo’s transition plans have been around for over 12 months.</p><p>L2 and Ethereum bull Patrick McCorry believes there’s no reason to interact with the Superchain if it does not support migration.</p><h2>CELO price outlook</h2><p>The altcoin traded at $0.8178 after a 1.30% daily increase. </p><p>Despite the bullish momentum after rallying 15% the previous week, declining trading volume signals emerging weakness.</p><figure><img width="732" height="299" src="https://imageproxy.pbkrs.com/https://ik.imagekit.io/invezz/uploads/2024/11/image-201.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" original-src="https://imageproxy.pbkrs.com/https://ik.imagekit.io/invezz/uploads/2024/11/image-201.png"/><figcaption>Source: Coinmarketcap</figcaption></figure><p>CELO’s 24-hour trading volume has declined by 22% to $85.80 million at press time. </p><p>That demonstrates faded trader activity, possibly due to Coinbase’s latest announcement.</p><p>Nevertheless, the RSI reveals room for more surges before the forecasted dip.</p><p>Also, Celo’s performance will likely mirror broad market sentiments in the coming sessions. </p><p>Continued bull runs would invalidate the bearish prospects and catalyze more upswings.</p><p>The robust community support behind CELO will likely keep prices afloat until the much-awaited altcoin season.</p><p>The post CELO momentum weakens as Coinbase declines support for Celo’s migration to L2 appeared first on Invezz</p></div>

COIN

<p>Celo (CELO) is set to migrate from Layer 1 to Layer 2 on January 16, 2025, amid growing interest in L2 solutions. However, Coinbase has announced it will not support this migration, urging clients to withdraw their CGLD coins by January 13, 2025, to avoid inaccessibility. This decision has sparked criticism within the crypto community, with concerns about Coinbase's centralized power and its implications for Ethereum's scalability. Despite the backlash, Coinbase stated it will evaluate Celo's Layer 2 after the transition. CELO's trading volume has declined, indicating weakened momentum.</p>

- Celo (CELO) will migrate from layer 1 to layer 2 on January 16, 2025, amid growing interest in L2 solutions for efficiency and scalability.  
- Coinbase announced it will not support this migration, urging clients to withdraw their Celo L1 coins by January 13, 2025, to avoid inaccessibility of funds.  
- The decision has sparked criticism within the crypto community, with concerns about Coinbase's centralized power and its implications for Ethereum's scalability vision.