Bitcoin Cash (BCH) is probably one of the most controversial altcoins in the market. At the moment it’s the 4th biggest cryptocurrency with a market cap of $10 billion.
Recently BCH has experienced a slight uptrend resulting in a bit more than 50% price increase. It went from $411 to almost $633 in a matter of five days. Now it’s pulling back a little, but still, the price increase is pretty significant.
That all could be because BCH is planning to hard fork on November 15th, 2018. The fork is the result of the lack of consensus between the supporters and developers of BCH. The BCH community has divided into two groups/camps. One side (Bitcoin ABC) is Roger Ver and Bitmain. On the other (Bitcoin SV) is Craig S. Wright and nChain.
Bitcoin ABC, which is headed by Amaury Sechet, published a proposal for the network changes. They are willing to improve the BCH scripting language, which would enable new features. They want to include oracles and cross-chain atomic contracts in the script. Also, canonical transaction ordering plans to be implemented, which is a “technical building block that lays the foundation for massive scaling improvements in the future.” Essentially, this means that Bitcoin ABC, Bitmain and Roger Ver wants to improve the BCH script so that it can be more programmable and flexible.
The fun starts when a week later, Craig S. Wright and nChain, which is a blockchain software development company, published a Satoshi’s Vision (SV) paper. CoinGeek supports SV.
Basically, they answered Bitcoin ABC with their own proposal, which suggests raising the block size limit from 32mb to 128mb. This proposal is called Bitcoin SV.
The third proposal.
However, there is another proposal from Bitcoin Unlimited, which is the second largest Bitcoin Cash implementation. Their proposal is called BUIP908, which combines the two propositions mentioned above, but requires miners to switch to the Bitcoin Unlimited client. You can read a more detailed technological break-down in their blog post. They explain that they tried to compromise with the two camps, but with no results. Each side of the argument believed that their proposal is best without any willingness to settle this evenly.
“I can only sadly conclude that this is again about power and ego not about technical merit and end-user adoption,” says Andrew Stone, the lead developer in Bitcoin Unlimited.
It is very rare to see a break in community’s consensus this shattered. That has resulted in a lot of confused BCH users, as the outcome of this fork is so unpredictable. There are two possible outcomes to this story. First, the BCH fork splits into two different chains, and the users receive a new token. Second, there could be no split because the second chain could lack miner support.
Major cryptocurrency exchanges such as Binance and Coinbase have confirmed support for the upcoming fork. Both of the exchanges clarify that they will be suspending BCH deposits and withdrawals couple of hours before the fork on November 15. However, Ledger Nano S has announced that they will completely discontinue the support for BCH until “there is clarity as to which fork comes out dominant.”
It is advised to keep your BCH holdings in a private wallet to ensure that your funds are safe and that you would get an equivalent amount of coins after the fork. If you keep your BCH funds within an exchange, it would be best to move those holdings to an exchange which supports the awaited fork.
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