Craig Wright’s Bitcoin Cash SV Version of Bitcoin Cash (BCH) Heats Up for Hard Fork Dominance
The scheduled update of the Bitcoin Cash network this November 15 has turned into a looming hash war as miners chose the side of Dr. Craig Wright.
The upcoming Bitcoin Cash (BCH) update will see a majority of the hashing power on the network pointed toward an alternative update, Satoshi’s Vision, or SV. The update has found the support of several major pools that have become a silent majority to support Dr. Craig Wright in his vision of the network’s development. The mining support and social media support for Dr. Wright are surprising, given the scandalous position his views have held in both the Bitcoin and Bitcoin Cash communities. In any case, no other large coin except for Bitcoin has seen a similar stand-off between opposing parties.
When it comes to pure proof-of-work coins, there is still no decision on what is the basis of consensus. At one point, the future of Bitcoin (BTC) was set by node operators who signaled their allegiance with the preferred version. Now, in the case of the contentious Bitcoin Cash update, the decision power lies with mining pools and raw hashing power.
However, only the actual fork will show which version prevails. For now, major exchange services have sided with the ABC version.
As for Dr. Craig Wright and his supporters, they appeared as a silent majority, taking an aggressive stance as an attempt to strangle the ABC version by mining an alternative chain. The two chains may cause immense confusion, as there is no replay protection built into the version. This means that a user cannot hold two types of coins independently, and all spending of BCH will be reflected in both versions. Any attempt to get rid of one type of asset will also affect the balance of the other asset.
When it comes to market prices, the BCHSV asset suddenly saw trading support on Tuesday, November 13. BCHSV became the biggest winner in the past day, gaining 62% overnight to $186.45, as the rally started after the announcement that up to 74% of the BCH hashing power is prepared to back the SV version.
The BCHABC price has fallen rapidly, from above $500 at the start of trading down to $327.58, with a drop of more than 16% in the past 24 hours. The price unraveled immediately after the hashrate announcements, inverse to the direction of BCHSV. The debate is still on whether the longest chain would survive, or if both assets would continue to exist.
Coindance data reveals that up to 84% of miners will back the SV version. However, it must be taken into account that the BCH network only consumes a small fraction of the total SHA-256 hashrate. It is possible that some miners join in after the hard fork.
The Bitcoin ABC network update includes relatively small, not immediately discernible changes, among them the possibility for zero-confirmation transactions. The SV version will include a dramatic increase in block size as an attempt to scale the coin and achieve status as digital cash due to speed.
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