Bitcoin Network Awaits Two New Hard Forks
Oct 19, 2017 Posted / 6458 Views
Two major Hard Forks awaits the Bitcoin Network making the Bitcoin Community Embrace for the impacts of the Update. The Nearest Fork Also Referred to as Bitcoin Gold is expected as soon as 25th.Oct.2017 with a follow up update called Segwit2x (BTC1) expected around mid-November.
The first Fork will introduce Bitcoin Gold also known as Bgold which will change the Bitcoin proof of work algorithm from the currency SHA-256. At the moment is mostly dominated by Chinese ASICs Miners to Equihash algorithm. Equihash algorithm is currently deployed by a couple of crypto currency including Ethereum, ZenCash, Zcash Classic and Hush. Unlike the SHA-256 algorithms Equihash algorithm is mined by GPUS but not ASICS. The main idea behind this revolution in the Bitcoin Proof of work is to bring mining back to users with small machines. In essence it’s to disrupt the centralization of Bitcoin Mining operation which give most of the Bitcoin to a few big companies with the right mining powers.
The idea of Bgold was introduced by Jack Liao CEO, at LightningASIC a company that manufactures mining ASICs that mines lightcoin. Jack Liao’s company produces GPU based mining equipment. This clearly signifies that if the Bgold fork goes through successfully it would be a win-win situation for LightningASIC as sales of their mining equipment will skyrock. Both the two Forks awaiting Bitcoin are motivated by interest of financial gains by few individuals. The possible augmented loophole on both of these forks is the absence of Replay attack Protections against hackers. But since there is still sufficient time it’s believed that both forks will add the scripts for protection on their GitHub repositories.
After both the Bgold Fork and the Segwit2x concludes successfully Bitcoin would have four Blockchains with all sharing information among themselves. Mostly on Bitcoin Gold there is no much difference from an Altcoin trading in the name of Bitcoin. From a Bitcoin Discussion on reddit, users did not give any fare recommendation on Bgold. This indicates clearly the kind of caution users are advised to bear before jumping into purchasing any significant amount of Bitcoin Gold.
Meanwhile on the other hand the Segwit2x fork originated from an agreement derived during the SegWit fork. The agreement was that after a time frame of three months pass the activation of Segwit, a 2MB block size fork would take place. Segwit2x will be activated when block 494784 is reached which is expected around mid-November. However all these hard forks may not take place at the designated time frame predicted.
Currently the Normal usage of Bitcoin goes on until the first Hard Fork Happens. Bitcoin users ought to decide precisely on whether to leave their coins floating vulnerably in the exchange during the Fork. Users are advised to have their Private keys and security phrases available to be sure their wallets is under their control.
When the fork is occurring Bitcoin transactions traffic would slow down due to changes taking place in the Bitcoin Core. People are advised against attempting a transaction when the fork is ongoing to avoid risks of losing funds or necessary delays caused due to reorganizing the Blockchain.
After the forks users are advised to remain calm and take their time to investigate between the splits which one he wants to remain using. Later users can import their private keys so as to redeem their spit tokens and keep a head up on any updated tools from wallet providers or exchanges.
Applancer is an open platform for discussion on all things like Blockchain , Cryptocurrency and Ico news updates. As such, the opinions expressed in this article are the author's own and do not necessarily reflect the view of Applancer .
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