These will be an hard times for every Bitcoin user.
The HardFork, that seems inevitable at the moment, could create a really mess in the Bitcoin World. In case of HardFork, the bitcoin blockchain will simply split into 2 different chains. Once will be the original chain (the one supported by Bitcoin Core devs) and the other will be a new one, with different protocol and different coins. Yes, after the fork we’ll have two differents Bitcoin Coin: Bitcoin Classic and the Unlimited version. The problem is that at the moment of split, every Bitcoin will be in both chain at the same time. Yes, you’ll double your coins without to do anything. And now start the problems.
Digital Currency Expert Aleksandar Matanovic said to Cointelegraph that “people should have coins in both chains after the split, regardless of where they are keeping them”. This could be harder to menage for an Exchange service or an Online Wallet Provider (ex. blockchain.info). Probably they’ll simply menage both chain after split at the same time, but shouldn’t come as a surprise if most of these services stop working for a couple of hrs or even days after the hard fork.
The “Ethereum Case” comparison.
Matanovic explain that “it was far easier with Ethereum hard fork, due the element of surprise associated with the creation of ETC.
From Cointelegraph interview, he says:
“Hardly anyone expected we would have ETC (Ethereum Classic), so exchange just kept doing what they had been doing before and were adding ETC later. With BTC it would be difficult because it seems that, in case of a hard fork, both chains will be very significant right from the moment of splitting”
In other words, when ethereum network split into 2 different blockchains, nobody (except the ethereum community) knew of it. So, the exchange simply go on accepting and processing ETH and after some time include ETC. In this case, due the importance of Bitcoin system, it’s probable that both chain will be very significant, with tons of transactions on both, so both should be implemented.
But what are the possible scenarios after the Hard Fork?
We can expect 4 main (and honestly every one is could be) scenarios:
- Bitcoin Core’s Chain (the “Original”) keep the relevance that it has now. Ir remains the main Bitcoin Chain and the most used. The Bitcoin Unlimited Chain (the new one) lose relevance, the daily transactions are always less and slowly dead (or just became insignificant like any other cryptocurrency out there)
- Bitcoin Core Chain’ limits (the actual limit of Bitcoin’s network) let it slowly loose its relevance and its user base become every day smaller. Bitcoin Unlimited Chain explode, with faster and cheaper transactions.
- Both chains maintain own relevance. Probably in the first times after hard fork one chain could be more stable than other one, anyway botch coins will keep on living like two separate systems.
- Worst Scenario (less likely but still possible): the hard fork generate two unstable chains. Other cryptocurrency (Ethereum and Monero are the best candidates) “stole” big part of Bitcoin’s user base. Miners prefer to mine other cryptocurrency instead of bitcoin. This contributes to chains instability. The price falls, speculators move to other currency. It’s the dead of Bitcoin.
We don’t know what (and if) will be. The only hope is that this will not be the end of Bitcoin, but only another step towards maturity.
Keep your eyes open, you’r in the middle of the revolution.
Want to be always updated and receive exclusive content? Subscribe now!
[email-subscribers namefield=”YES” desc=”” group=”Public”]