What are Bitcoin forks like BCH and BSV?


A "fork" is when a single blockchain splits into two. Forks can be categorized as hard forks or soft forks.


A hard fork is the result of an extensive network change. Each node has to upgrade its software to be compatible with the new processes.

If a node does not upgrade its software, it will be on a different blockchain.


In a soft fork, nodes running the old software are still able to validate transactions. Software forks are backward-compatible.


Bitcoin hard forks happen when the rules of the Bitcoin blockchain are changed.


These new rules create a new blockchain that shares its past transaction history with Bitcoin until the fork occurs.


After that point, the two blockchains operate independently.


The top Bitcoin forks by market cap are:

+ Bitcoin Cash (BCH): $7 billion

+ Bitcoin SV (BSV): $1.4 billion


#bitcoin #bch #bsv

March 20, 2024 at 6:55 AM