No other cryptocurrency has divided its community members harder than Bitcoin Cash (BCH) since it was forked from the original Bitcoin chain in August 2017. Everyone believes that ‘their Bitcoin’ is the original one, causing disagreements and constant bashing of the opponent chain. The coin is yet preparing for another fork on May 15th 2018 that will form a new coin, Bitcoin ABC. The fork was initiated by Hello Group, a company invested in BCH arguing the fork will make the network faster, the core reason BCH forked from Bitcoin core. This recent announcement to increase the current block size from 8 MB per block to 32 MB will vastly increase the transaction speed courting adopters to switch to the new update.
Who started the movement?
Hello Group acquired the Bitcoincash.io domain back in January and started its plans to fork then so as to increase the transaction speeds while integrating BCH trading pairs to other cryptocurrencies. The company has constantly stated that users planning to run a node should update their current versions to the newest Bitcoin ABC v 0.17.0, available on their website.
There are already two hard forks that have been carried out on Bitcoin Cash (BCH); the original fork from Bitcoin and the fork to solve the difficulty adjustment algorithm problem on 13th November. The latter consensual change hopes to adjust the difficulty to hash rate to target a mean block interval of 600 seconds. Alongside this, the DAA aims to make sudden difficulty drops and spikes avoidable. The coin is yet facing another hard fork as it develops the scalability and instant confirmation through operation codes.
Catalysts for the Bitcoin Cash hard fork
The increased block size will allow the over 200 transactions per second to be made on the network, way above the 7 TPS currently on Bitcoin or 56 TPS on Bitcoin Cash. This allows faster and safer transactions across the network while increasing adoption of BCH In general. However, the platform is yet to reach the global adoption standards that will require block sizes of around 10 GB to service global transactions without lags or slow timing.
- Operational codes (OP codes)
Bitcoin ABC developers also included colored coin technology into the Bitcoin Cash platform to allow users to create smart contracts on the platform. New codes are being enabled by the team that will allow users to create sophisticated applications on the platform.
Colored coins technology on the new version will allow users to create tokens by creating of smart contracts on the Bitcoin Cash platform. Tokens will represent any type of asset, with the underlying value marked with Bitcoin ABC. This allows a greater real world use of BCH apart from being a transaction asset.
Bitcoin Cash (BCH) is currently trading at $1646.23 USD per token, representing 8% daily on the coin and further strengthening its 4th position on Coinmarketcap. The coming fork definitely has a role to play in the coming months as we wait to see the unveiling of yet another Bitcoin Cash fork. We will keep you in the know. Stay tuned!