Understanding the Recent Bitcoin Cash Fork: A Closer Look at BCHA and BCHN

A New Chapter in Bitcoin Cash

The Bitcoin Cash network, born from a hard fork of the Bitcoin blockchain in August 2017, recently experienced yet another splitting event on November 15. This new fork divided the network into two distinct chains: Bitcoin Cash ABC (BCHA) and Bitcoin Cash Node (BCHN). So, what’s the big fuss? One major difference is that BCHA imposes an 8% tax on mined rewards aimed at funding their development team. Sounds like a fun tax season, right?

Hash Power Showdown: BCHN vs. BCHA

After the split, it was clear that BCHA was the underdog with minimal hash power, while BCHN ruled the roost with the lion’s share. The last shared Bitcoin Cash block before the fork was mined by Binance, with the first block of the newly divided networks hailing from AntPool. In essence, if you like the underdog story, BCHA might be your pick. However, don’t forget, every David needs a slingshot!

A History of Forks and Splits

This isn’t Bitcoin Cash’s first rodeo with forks. It first forked in 2017 and again in 2018, leading to the creation of Bitcoin Cash ABC and Bitcoin Cash SV (BSV), the latter claiming to uphold Satoshi’s original vision of Bitcoin as a transactional currency. Talk about a family tree that’s a bit too bushy!

Motivations Behind the Current Fork

The motivation for this latest fork was a contentious proposal to allocate 8% of mined BCH to BCHA’s development. You could say the miners are the real MVPs here, deciding where they want to direct their resources. As Ashu Swami, the CTO of Apifiny, pointed out, reputable exchanges like Coinbase and Kraken have sided firmly with BCHN, leading to speculation that BCHA could be a short-lived affair, much like that one term you took in college that you barely remember.

Looking Ahead: What Does the Future Hold?

Currently, BCHN seems to have taken the lead post-fork. But uncertainties loom over BCHA, which now faces an uphill battle due to the tax intended for development funding. As Swami wisely noted, the 8% tax may flush miners back into BCHN’s arms, leaving BCHA’s future in doubt. Little by little, it seems like we might witness a dramatic showdown between the two chains where miners will be the ones holding the trump cards. Who doesn’t love a good plot twist?