Despite the controversy (some say perpetrated by opportunists), it has had quite a bit of success and it remains one of Bitcoin’s most notable rivals. We have also in the past recommended investors to hold both Bitcoin and Bitcoin Cash as a hedge against potential risks that market experts call “the flippening”, where it nearly happened some time ago as 2 Bitcoin Cash could exchange 1 Bitcoin.
On the 16th of November 2018 (this year), Bitcoin Cash again underwent a split, hence creating two separate versions of the coin: Bitcoin ABC and Bitcoin Satoshi’s Vision (SV). The split was carried out after heated debates between the representatives of both ideal versions of Bitcoin (notably Roger Ver and Craig Wright, both of which have quite notable resumes).
To better put things into perspective, we’ll attempt to briefly describe both versions of the fork. To begin with, Bitcoin ABC is represented by Roger Ver, and its purpose is function as cash, not as the store of value (as the original Bitcoin proponents argue), while maintaining the block size limit at 32MB. On the other hand, Bitcoin SV, dubbed as Satoshi’s Vision is represented by Craig Wright, a computer scientist who once claimed to be bitcoin’s inventor, despite not providing any tangible proof. Wright believes that Bitcoin Cash should pursue the goal of becoming stable global money for the worldwide economy. This entails an increase to the block size limit, up to 128 MB, for scalability purposes.
While the network split had already taken place, predicting what’s next for the cryptocurrencies is an important endeavour. The survivability of either versions will be determined by the miners, who can choose to attribute their processing power (hash power) to either one of the two versions, or even both.
So far, several big-name exchanges have stated that Bitcoin ABC seems to be more legitimate, hence its higher price at this moment. Yet, both versions are still trading well at this time, so a clear winner hasn’t been decided. The best approach, in our opinion is to keep all versions of Bitcoin (if you have it), as to preserve the value of your holdings – and not to speculate or try to profit from it. Ultimately, time and immunity toward losses will decide the ultimate winner.
While we cannot predict the future price swings, and decisions to be taken by the chief developers, we can agree on the fact that controversy, heated debated and insults will probably not help the cryptocurrency community at all. Infact, many have pointed fingers at the rivalling factions (of Bitcoin Cash) for the main reason why Bitcoin prices are down, driving primarily by their selling of Bitcoin to fund the “hashing wars.”
Additionally, we think this should serve as a constant reminder to everyone in the space, that network splits and hard forks have become a norm – and while we all accept it, perhaps we shouldn’t support it, because of the damage and mistrust it creates in the market. As we’re pursuing a financial revolution, a clear-headed and united approach might be more beneficial to the future of Bitcoin.
Daniel is a digital currency expert, writer, investor and ICO consultant. He writes for several top cryptocurrency publications, and will soon kick-start his entrepreneurial career in fintech, where he hopes to innovate. In his free time, Daniel enjoys travelling and collecting all sorts of thrilling experiences.