The Bitcoin Cash (BCH) cryptocurrency has experienced several forks since its creation in 2017. These forks are the result of disagreements within the BCH community regarding the future direction of the currency. Each forks has its own set of rules and protocols, leading to the creation of different versions of BCH.
Currently, the two main forks of BCH are Bitcoin Cash ABC (BCHA) and Bitcoin Cash Node (BCHN). Bitcoin Cash ABC is backed by a group of developers led by Amaury Séchet, while Bitcoin Cash Node is supported by a decentralized group of developers and miners.
It is difficult to determine which fork is “winning” as it depends on how one defines success. In terms of market capitalization, transaction volume, and network hash rate, Bitcoin Cash ABC has generally been ahead of Bitcoin Cash Node. However, Bitcoin Cash Node has gained significant support from prominent figures within the cryptocurrency community.
The ongoing competition between these two forks highlights the decentralized nature of cryptocurrencies and the power of community consensus. Ultimately, the market will decide which fork succeeds in the long run, based on factors such as user adoption, technological developments, and market demand.
History of BCH forks
Bitcoin Cash (BCH) has experienced several forks since its creation in August 2017. These forks are a result of disagreements within the Bitcoin Cash community regarding the direction of the cryptocurrency. Each fork has led to the creation of a new version of Bitcoin Cash, with changes to the protocol or block size limit.
The first major fork occurred in November 2018, when Bitcoin Cash split into two distinct cryptocurrencies: Bitcoin Cash ABC (BCHA) and Bitcoin SV (BSV). This fork was the result of a dispute between two factions led by Roger Ver, the CEO of Bitcoin.com, and Craig Wright, a controversial figure claiming to be Bitcoin’s creator, Satoshi Nakamoto. Bitcoin Cash ABC retained the original Bitcoin Cash ticker symbol (BCH), while Bitcoin SV adopted a new ticker symbol, BSV.
Bitcoin Cash ABC sought to preserve the original vision of Bitcoin Cash as a fast and low-cost payment system, while Bitcoin SV aimed to scale the blockchain to accommodate massive amounts of transactions and data. The split resulted in a contentious hash war, with both chains competing for miners’ support and dominance.
In the end, Bitcoin Cash ABC emerged as the dominant chain and continued to be recognized as the legitimate version of Bitcoin Cash by most major exchanges and wallets. Bitcoin SV, although considered by its supporters as the true Bitcoin Cash, faced challenges but continued to exist as a separate cryptocurrency.
Since the November 2018 fork, Bitcoin Cash has undergone additional minor forks, including Bitcoin Cash Node (BCHN) and Bitcoin Cash Unlimited (BCHU). These forks primarily arose from differences in proposed protocol upgrades and improvements.
Bitcoin Cash Node, supported by the majority of the Bitcoin Cash community and development teams, aimed to maintain the stability of the network and focus on technical improvements. Bitcoin Cash Unlimited, on the other hand, advocated for larger block sizes and a more aggressive approach to scaling.
Overall, the history of BCH forks reflects the ongoing debates and disagreements within the Bitcoin Cash community regarding the future path of the cryptocurrency. While these forks have led to the creation of multiple versions of Bitcoin Cash, the original Bitcoin Cash (BCH) remains the most widely recognized and used iteration of the cryptocurrency.
Key differences between BCH forks
Since its creation, Bitcoin Cash (BCH) has undergone several forks, leading to the emergence of different versions of the cryptocurrency. The main BCH forks are Bitcoin ABC (Adjustable Blocksize Cap) and Bitcoin SV (Satoshi Vision). While these forks share a common history, there are several key differences between them.
1. Block size limit
Bitcoin ABC supports a block size limit of 32MB, allowing for more transactions per block. On the other hand, Bitcoin SV has opted for an unlimited block size, with the belief that larger blocks will enable greater scalability and lower transaction fees.
2. Mining algorithm
Bitcoin ABC uses the SHA-256 mining algorithm, which is also used by Bitcoin. This makes it compatible with existing mining hardware, allowing miners to switch between Bitcoin and Bitcoin ABC easily. Bitcoin SV, on the other hand, uses the original Bitcoin mining algorithm known as SHA-256D.
3. Developer teams
Bitcoin ABC has a development team led by Amaury Séchet, who is also the lead developer of the Bitcoin ABC software. On the other hand, Bitcoin SV is backed by nChain, a blockchain research and development firm led by Craig Wright, who claims to be the creator of Bitcoin, Satoshi Nakamoto.
4. Vision and roadmap
Bitcoin ABC aims to continue the development of Bitcoin Cash as a fast, low-fee, and scalable cryptocurrency. They prioritize improvements such as increasing the block size and exploring on-chain scaling solutions. Bitcoin SV, on the other hand, has a vision of restoring Bitcoin to its original form, as envisioned by Satoshi Nakamoto, by implementing massive on-chain scaling and focusing on stability and security.
5. Community and adoption
The BCH community and wider cryptocurrency community have shown varying degrees of support for both forks. Some community members and exchanges have shown support for both forks, while others have picked a side. Adoption and support from major players in the cryptocurrency industry are essential for the success of any cryptocurrency.
| Key Differences | Bitcoin ABC | Bitcoin SV |
|---|---|---|
| Block Size Limit | 32MB | Unlimited |
| Mining Algorithm | SHA-256 | SHA-256D |
| Developer Team | Amaury Séchet | Craig Wright (nChain) |
| Vision and Roadmap | Fast, low-fee, and scalable cryptocurrency | Restoring Bitcoin to its original form with massive on-chain scaling, stability, and security |
| Community and Adoption | Varying degrees of support | Varying degrees of support |
Current state of BCH forks
Bitcoin Cash (BCH) has undergone several forks since its creation, with each fork resulting in the creation of a new cryptocurrency. The most notable forks of BCH include Bitcoin SV (BSV) and Bitcoin ABC (BCHA).
Bitcoin SV (BSV) is a fork of BCH that was created in November 2018. It was spearheaded by Craig Wright, who claimed to be Satoshi Nakamoto, the anonymous creator of Bitcoin. BSV aimed to increase block size limits and restore the original vision of Bitcoin. However, BSV has faced controversy and has not gained as much traction as BCH.
Bitcoin ABC (BCHA) is another fork of BCH that occurred in November 2020. It was led by a group of developers and aimed to implement new features and improvements to the BCH network. BCHA has gained some support but is still considered a smaller player compared to BCH.
Currently, BCH remains the dominant cryptocurrency among the forks. It has a larger market capitalization and more widespread adoption compared to BSV and BCHA. BCH continues to be supported by a strong community and is actively being developed to enhance its scalability and usability.
However, the landscape of BCH forks is constantly evolving, and it’s important to stay updated on the latest developments and potential future forks. The market dynamics, technological advancements, and community support will play a significant role in determining the success of each fork in the long run.
Factors contributing to the success of a BCH fork
Community support
The level of community support is an essential factor contributing to the success of a BCH fork. A strong and active community of users and developers who believe in the vision and potential of the fork can help drive its success. Community support includes factors such as the number of users, the involvement of developers, and the general sentiment towards the fork.
Technical improvements
An important factor in the success of a BCH fork is the introduction of significant technical improvements over the original Bitcoin Cash protocol. These improvements could include enhanced scalability, improved security, faster transaction speeds, or other innovations that address the limitations of the original BCH network. These technical improvements can attract users and developers to the fork and contribute to its success.
Smooth transition
A successful BCH fork often requires a smooth transition process. This includes clear communication about the fork, a well-defined implementation plan, and support from major players in the cryptocurrency ecosystem, such as exchanges and wallets. A smooth transition minimizes disruption and helps maintain user confidence, which is crucial for the success of a fork.
Market demand
Market demand plays a significant role in the success of a BCH fork. If the fork addresses a specific need or demand in the market, it is more likely to gain traction and attract users. This demand could be driven by factors such as lower transaction fees, improved privacy features, or other unique selling points that differentiate the fork from other cryptocurrencies.
Decentralized governance
Decentralized governance is an important factor contributing to the success of a BCH fork. A transparent and inclusive decision-making process where stakeholders have a say in the future development of the fork can help build trust and ensure the fork’s long-term success. This includes mechanisms for community voting, open discussions, and clear guidelines for protocol upgrades and amendments.
In conclusion, a successful BCH fork depends on various factors, such as community support, technical improvements, a smooth transition process, market demand, and decentralized governance. These factors work together to create an environment conducive to the growth and success of the fork.
