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A Bitcoin blockchain fork occurs when the blockchain splits into two separate paths, often due to changes in protocol rules or disagreements within the community. This event can lead to the creation of new cryptocurrencies, such as Bitcoin Cash or Bitcoin SV, which emerged from past forks. Forks are categorized into two types: hard forks and soft forks. A hard fork is a permanent divergence that requires all nodes to upgrade, while a soft fork is backward-compatible and only needs a majority of miners to adopt the new rules. These forks aim to improve scalability, security, or functionality of the Bitcoin network, but they can also cause temporary confusion and market volatility. Overall, blockchain forks are a natural part of cryptocurrency evolution, driven by innovation and consensus mechanisms. |
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