Bitcoin is facing one of the biggest changes in its young history.
The UASF (user activated soft Fork) BIP148 including SegWit. https://github.com/bitcoin/bips/blob/master/bip-0148.mediawiki
A protocol upgrade saying that from beginning on August 1st, blocks that do not signal for SegWit (segregated-witness) are invalid.
segregated-witness
http://www.investopedia.com/terms/s/segwit-segregated-witness.asp
https://en.bitcoin.it/wiki/Segregated_Witness
Tomorrow the conflict between two rival camps in the blocksize debate
could split Bitcoin in two versions.
Experts argue about the consequences.
Looking at the charts, you should think that Btc develops well:
https://coinmarketcap.com/currencies/bitcoin/#charts
With a value of around 2,800 $ , BTC is currently moving close to it's ATM*.
But In fact:
Btc faces one of it's biggest changes and hurdles since it's creation.
A Fork !
At least for a short time, there will be two Bitcoin versions tomorrow.
This drastic method results of a basic problem which slows down the Bitcoin ecosystem for a long time now.
This Upgrade (Fork) shall improve the usability of the BTC protocol.
Technically, the number of transactions that can be processed in a given time is limited:
it currently stands at 3 transactions per second.
If more transfers are ordered, they end up in a waiting list, which will be gradually processed.
https://blockchain.info/de/unconfirmed-transactions
The Promise of BTC as a useful World Currency with Real-Time-Payments is still far away under these conditions !
The Bitcoin-Split is about to happen
After a long time, Bitcoin users now agree that something must change in the current situation.
But there is still no consensus about the concrete condition changes.
In the midst of this uncertainty,
a first specific upgrade proposol is pushing forwards:
BIP148
The Split of Bitcoin
On August 1st - there will probably be two versions,
the classic Bitcoin and on the other hand a split, which is named Bitcoin Cash.
The consequences are still unclear and only time will tell if the split will be successful.
This is what Bitcoin owners need to know now
Basically there will be no change for Bitcoin Holders.
Who owns Btc now will own these also after the Fork.
At the same time, you will also have an identical amount of Bitcoin Cash after the split
(at least if you hold your Bitcoin in a private wallet and you own the private key !)
Based on the support of this currency (by exchanges, marketplaces,etc..) you will be able to use your Btc Cash like classic Btc (trading, payments, etc...).
Experts are not sure about the exact impact.
Different scenarios are possible
Bitcoin Cash could disappear after a very short time, because not enough people are interested in supporting this currency.
But It's also possible that Bitcoin Cash establishes itself as an permanently alternative btc version.
It is hard to estimate how the prices of Bitcoin and Bitcoin Cash will move.
While some argue that the price of classical bitcoins will not change much, others expect a very volatile transitional phase.
Only time will tell,
when the Fork actually has taken place on August 1st 2017.
Thanks for sharing information
Great post, thanks for sharing
We see all kinds of predictions. To me it looks like bitcoin cash will probably get dumped immediately because everyone seems to have the intention of selling it on day one. But we can't really know what will happen until it happens :)
imho if SegWit works, this should be the way to go...
so if i have my bitcoin in a paper wallet - can it get the bitcoin cash ? How does it get in? - i am following you
if you have a paper wallet, this should mean you own your private key.
so in case of a fork you own the same amount of token on both blockchain versions.
How you reach and move your "new" tokens will be more easy to answer in a few days...
Hope this fork improve the stability and price of bitcoin.
Great post my friend!
Thanks for sharing
https://www.reddit.com/r/Bitcoin/
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