X

Feedback + Support

Need Assistance? Notice something missing or broken? Let us know!

Press esc to dismiss

Show glossary Article List
Sort icon: direction descending

glossary

Definitions and terminology related to cryptoeconomics, blockchain and distributed ledger technology.
magnifying-glass

You've reached the end of the list

BTC/BCH fork

Bitcoin Cash is the result of a 2017 hard-fork of Bitcoin, stemming from differing approaches to scale transaction throughput. Broadly, Bitcoin Cash represents an attempt to scale transaction throughput by increasing the base block size. A hard-fork is a software change that is incompatible with the previous iteration of the code, meaning that nodes running the Bitcoin software cannot mine BCH and vice versa. This divergence in code bases demands segmented mining pools (ultimately serving to make both chains less secure from 51% attacks compared to the situation where they contribute to the same network). Bitcoin Cash was motivated by a desire to increase the transaction throughput of Bitcoin. This was achieved by increasing the block-size to 2 MB, allowing more transactions to be committed in the same time interval. An effect of this change is to quickly increase the hardware requirements for running full nodes, since miners must store more information, thereby reducing the pool of prospective participants to those able and willing to prop up more expensive hardware.