BSV
$64.18
Vol 134.25m
7.37%
BTC
$89882
Vol 143112.46m
1.63%
BCH
$437.99
Vol 983.03m
-0.75%
LTC
$75.5
Vol 1071.86m
-2.97%
DOGE
$0.39
Vol 34304.44m
1.98%
Getting your Trinity Audio player ready...

The long-anticipated user-activated soft fork (UASF) in the bitcoin blockchain has come into effect, with a thus-far muted reaction to its implementation.

The soft fork, which had been designed as one proposal to resolve the bitcoin scaling problem, activated last night at block 478,484 on the blockchain, though its impact has been largely undermined by efforts elsewhere.

Known as BIP 148, the proposal had been regarded as largely symbolic, as a means of enacting the Segregated Witness protocol without requiring the support of bitcoin miners.

The proposal had been championed by groups who felt miners were standing in the way of more effective resolutions to the scaling debate.

Having finally activated overnight, the result can now be seen as an avoidance of a split in the underlying blockchain, which could otherwise have led to a split in bitcoin along SegWit lines.

Had the proposals attracted more widespread support, they could have resulted in node operators rejecting blocks that had not signalled support for the SegWit model, which many had feared would lead to two competing versions of bitcoin – Core and SegWit, respectively.

However, while the UASF has passed to muted effect, the bitcoin scaling debate is still scheduled to come to a more abrupt resolution later today.

While bitcoin mining pools have already agreed to lock in SegWit proposals ahead of today’s deadline, there is not uniform support for this approach.

A miner-activated hard fork (MAHF) has been scheduled for later today, which would produce an alternative asset known as Bitcoin Cash.

This currency will run in parallel to bitcoin as it currently stands, and seeks to deploy an alternative method for resolving the blockchain’s scaling problems that the group behind it suggests are more in keeping with the original vision for bitcoin.

The Bitcoin Cash proposals will not rely on passing information externally from the blockchain, a key element of the SegWit2x technology. Instead, the maximum block size will be increased immediately to 8MB, which its creators believe will prove a more effective solution.

At the time of writing, Bitcoin Cash was already trading at $370, rallying as bitcoin itself came under significant sell-side pressure.

As the day’s events continue to play out, miners, investors and other stakeholders will monitor movements closely, on what promises to be an historic day for digital currencies.

Recommended for you

Coinbase preps ‘crypto index’ derivative, denies token-listing fees
Coinbase is basking in a post-election glow, as its app leaped into the #1 spot in the App Store's finance...
November 13, 2024
Nvidia reigns as most valuable firm after overtaking Apple anew
Nvidia and Apple have been locked in a race to become the world’s most valuable company, and in the latest...
November 13, 2024
Advertisement
Advertisement
Advertisement