iStock 1364747545 e1656705030150 Learn how to fork a cryptocurrency in this step by step guide

Learn how to fork a cryptocurrency in this step by step guide

-A cryptocurrency fork occurs when the blockchain on which the currency is based splits in two.
-A fork is a change in the blockchains protocol that the software uses to decide whether a transaction is valid or not.
-There are two kinds of forks, hard forks and soft forks.
-A soft fork occurs when a software upgrade takes place but the new chain is backwards compatible with the old chain.
-A hard fork, on the other hand, splits the blockchain in two, creating a completely new cryptocurrency.
-Forks can take place intentionally and are precipitated by developers making a decision to change the protocol of a blockchain.
-It would be hard for a retail investor or a miner to create a fork of any cryptocurrency, including Bitcoin.
-Forks can generally only be created when there is consensus amongst the majority of miners and developers.
-When a cryptocurrency forks to create a new coin, investors are left with a choice of where they want to keep their investment.

 

 

iStock 1364747545 e1656705030150 Learn how to fork a cryptocurrency in this step by step guide
Learn how to fork a cryptocurrency in this step by step guide 3

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