Bitcoin Cash came to life as a fork from the original Bitcoin cryptocurrency last year (August 1st, 2017). The point of the fork was to increase Bitcoin’s size limit. The Bitcoin Cash community has remained somewhat contentious since it was formed so, it’s no surprise that disagreements came about.
This November 15th, Bitcoin Cash experienced yet another fork. This came as a result of a rivalry between two factions in the community (if you can call it a community). Roger Ver and Jihan Wu lead a fraction of users that wanted to maintain the block size at 32MB.
On the other corner were Calvin Ayre and Craig Wright (who’s proclaimed himself to be none other than Satoshi Nakamoto). This second camp wanted to increase the block size to 128 MB. Each party called itself “Bitcoin ABC” and “Bitcoin SV”, respectively.
Incidentally, this doesn’t help Wright’s case of be Satoshi Nakamoto, as he assures. If you really are the man behind Bitcoin, then why did you fork it twice? Didn’t you trust your work the first time? Anyway…
So the split went on. It’s been known in the cryptosphere as “Bitcoin Cash hard fork,” and it’s created a mess.
The fork created a hashing war. Both camps started competing among themselves (and with Bitcoin, the real one) to attract miners. They also wanted to be able to change the software in the way it suited them, get better developers and affect the coin’s price.
It’s been a destructive war. In a year that was already bad for the crypto market, things really went down the day before the fork happened (and many neutral observers are convinced that the fork itself was the cause). The market dropped seriously on November 15th.
Then it dropped again, even more seriously on the following weekend. The Bitcoin Cash war didn’t damage just the Bitcoin Cash project and currency (more on that later) but it may have damaged the crypto markets as a whole and for a long time.
But as bad as it’s been for every cryptocurrency, it’s been worse for Bitcoin Cash. Before the hard fork, it was trading at about 600 USD. As we write this, Bitcoin Cash ABC is at $214, and dropping; Bitcoin SV is at $131 (and that’s after rising quite well in the last 24 hours).
So the fork has taken away a lot of the token’s value. As things stand, both of Bitcoin Cash’s bastard children are spending a lot more money in mining than they can get from selling tokens. So, in many ways, the main casualty from the Bitcoin Cash hash wars have been the two new versions of Bitcoin Cash.
Bitcoin SV stands for “Bitcoin Satoshi’s Vision,” and it’s lead by Craig Wright. At this point we could ask ourselves, was Satoshi’s vision to render a useful coin valueless, useless and use an ego fight to wreak havoc in the crypto markets all over the world? We can’t answer that question. But Craig Wright should be able to answer because, after all, he thinks he is Satoshi.
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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.
Image Courtesy of Pixabay.
Why Blockchain Projects Keep Failing
If you’ve been keeping up with news coming out of the blockchain community over the past year, you’ve probably heard countless projects hyped as the next best thing—only for them to fall off completely off the map a few months later. While some of these projects offered no practical solutions and seemed destined to fail, others creatively used blockchain technology to enhance the way we perform day-to-day tasks.
So, What’s the Problem?
For starters, many of these founders have no real experience running a business or managing finances. Instead, teams are usually comprised of programmers and tech geeks with the ability to develop blockchain-driven apps, but have no clue about project management, allocating resources, effective team building or marketing.
What’s more, when you look at the average blockchain start-up’s website, you’ll probably find a list of team members with accolades a mile long. And many of these “achievements” are in similar blockchain projects that have yet to take off. This makes it hard to distinguish between what is hype and what is credible information, which scares off all but the high-risk investor.
Project Success Starts at the Team Level
The sudden interest in cryptocurrency and blockchain technology can be compared to the California Gold Rush. Everyone wants to get in on the ground floor so that they can make as much money as possible.
Unfortunately, this mentality isn’t just…
STEEMIT Running Out Of STEAM?
Has Steemit seen its glory days run dry? There have been many rumors that the CEO Ned Scott has pushed the company to the blockchain focus that he forgot about Steem being a social media platform. Now, these are just things some of the former employees have been heard saying, but it is a rather interesting take as to what is going on. Give the following video a watch where I break down what is happening with Steem. I also give my thoughts on what may happen to other large ICOs and how we may see this trend continue as we have seen with ConsenSys laying off 10% of their workforce.
If the big name projects are starting to do this will it also have a trickle-down effect on other ICO’s which have no products and are running out of cash? I definitely think so, and I also see this negatively affecting Ethereum for the mid-term. The question many have been asking is just how long can the bottom 1800 projects last with the current market conditions? How many ICOs did not liquidate their Ethereum and now are stuck with 1/10th the cash flow or more in some cases, how will they pay to continue operations? What about the growing number of projects laying off employees like…
The Three Biggest Problems with Crypto
In this bear market, everybody’s asking the same questions. Why is Bitcoin falling? When will the market turn around? Is this the end of the crypto boom?
However, before we can answer questions like these, we need to step back and do an honest appraisal of where our industry stands and what is really holding it back. Despite its growing popularity, cryptocurrency still struggles to gain mainstream appeal. While crypto has managed to distance itself from the early days, when it was used to buy illegal goods online, the currency still conjures up negative feelings for a lot of people unfamiliar with the technology — and all too often, for good reasons.
Cryptocurrency is still relatively new, which means that many casual users are still exploring different ways to use crypto in their day-to-day lives. Unfortunately, this lack of knowledge leaves a lot of users vulnerable to scammers seeking to take advantage of their ignorance and inexperience.
We’ve contacted various types of people within the crypto community, surveying newbies, traders, investors, and professionals, asking what the biggest problems in crypto are. We found there to be three major problems holding the industry back:
Who hasn’t been scammed at least once?
The crypto community is overrun with scammers taking advantage of inexperienced and naive users. What’s more, scams don’t only occur on an individual level.…
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