Bitcoin Cash has split into Bitcoin SV and Bitcoin ABC today following the community rift led by Craig Wright (Bitcoin SV) and Roger Ver (Bitcoin ABC) that had escalated in the days leading up to the hard fork.
It remains unclear which protocol will become the more dominant secondary Bitcoin and whether or not they will remain sustainable at all. Following the fork, several developments emerged.
Real-Time Hard Fork Analysis
The last shared block between Bitcoin SV and Bitcoin ABC on the original Bitcoin Cash chain was block 556,776 that was mined by SVPool. Bitcoin ABC’s split included a number of updates to the protocol, but the general idea behind the ABC camp is that BCH does not need a radical overhaul. The ABC stands for “Adjustable Blocksize Cap,” and Bitcoin ABC is currently leading Bitcoin SV in hash rate.
Conversely, Bitcoin SV is led by Craig Wright — who previously claimed to be Satoshi Nakamoto –, and the SV stands for “Satoshi’s Vision.” The SV camp is promoting the radical change of the protocol by increasing the block size from 32MB to 128MB. Further, old code from the original Bitcoin protocol has also been restored into SV.
The dispute between the two forks has been public and messy over the last several weeks. Wright threatened both Ver and Jihan Wu — founder of Bitmain — with bankruptcy, lawsuits, and even child pornography over the fork. Wu referred to Wright as a Blockstream spy, and Wright also sent an aggressive email to Ver that was later made public containing more threats.
Hours after the fork, Bitcoin ABC is over 10 blocks ahead of Bitcoin SV. According to CashNodes, Bitcoin ABC currently controls 46.6 percent of the hash power with Bitcoin SV controlling only 9.1 percent.
Most major exchanges have suspended any trading of Bitcoin Cash and are waiting for the situation to unfold before listing Bitcoin SV or Bitcoin ABC.
An Uncertain Future
The looming Bitcoin Cash hard fork coincided with a decisive drop in the price of Bitcoin and the overall cryptocurrency market. However, empirical evidence to support any correlation between the two is dubious at best, and it is likely due to a coincidence. Bitcoin and cryptocurrencies are volatile, and until they stabilize with mainstream adoption and thorough regulation, price volatility will persist as it always has without definitive explanations.
The uncertain future of both Bitcoin SV and Bitcoin ABC has been mired in controversy stemming from the legal threats and divisive nature of the split among the camps. Speculation around Bitcoin ABC’s current leading hash rate — compared to SV — suggests that Bitmain and Bitcoin ABC are mining BCH at a loss to prevent any attacks from Wright’s SV. CoinDance also offers some useful real-time metrics on the status of the fork.
How the fork eventually plays out will likely have a significant impact on the price of the forked protocols. The accelerated divisiveness of the fork should also lead to some more bizarre exchanges considering the previous back-and-forth between the two camps.