Lord777
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HARD FORK! Something like this happened just yesterday with the second world cryptocurrency Ethereum. What is it and what is it with? Let's go take it apart!
No, this is not putting miners on the forks. Rather, they are given a choice, with a fork in the eye, or you yourself know .. Just kidding. A hard fork is a very important thing for any blockchain. To put it simply, this is a classic global update. As in some software. But this is a blockchain, nothing is simple here, and the process of updating the network is quite tricky. In general, there are two kinds of forks. Soft Fork and Hard Fork. Just like porn. Okay, let's go in detail.
Fork
Let's imagine blockchain. It is a continuous stream of information with a constant influx of new users. To keep the network from decaying and serve even more people, forks are made. Their goal is to improve the performance, and sometimes the general principles of the network (block size, reward, computational complexity, deflationary tools, etc.). In the case of a soft fork, everything is pretty simple. The new code is simply rolled onto the existing network. All blocks are in place, transactions continue. But with a hard fork, everything is more complicated. This is a global update that transfers the entire blockchain to a new protocol. This is where the nuances arise. Since crypto is about decentralization and democracy, the final decision remains with the miners who support the entire network with their capacities. If everyone agrees,
If not, the network is divided into two independent branches, after which a new coin appears. A hard fork occurs on a specific block, the number of which is known in advance. Most miners have to confirm it, but since they are typical people, in fact we have a bunch of new alts - Bitcoin cash, Bitcoin Gold, Etherium Classic, etc. Since both coins of the resulting hard fork have a common beginning, all operations already performed are copied into the new blockchain. Mainnet coin holders receive tokens resulting from the hard fork to their balance in an amount equal to the number of coins in the wallet at the time of the split. The coolest thing is that everyone can do a hard fork. All you need is the support of most of the blockchain participants and of course a gang of cool programmers.
So what about Ethereum?
Yesterday, a London hard fork took place on block 12,965,000 on the Ethereum network. Unfortunately, we have not received any new coins. But this update was an important step towards the transition of the entire blockchain to version 2.0. In this version, ETH will get rid of miners and move to POS validators. What do we get with this? Yes, nothing special, except that the movement around digital silver will intensify, the network will improve and you can safely make yourself an ether deposit. However, this requires a couple of tens of thousands of dollars, and you can do it right now. What have you changed? The London update includes a proposal to improve the current Ethereum network, EIP-1559, which aims to burn off a portion of the Ether when paying transaction fees. The goal of EIP-1559 is to "balance" the cost of transactions on the network, at the same time, miners will continue to receive a reward for confirming a block. Users can set the maximum commission they are willing to pay to include their transaction in a block. This is the main thing. Now the ether will be constantly burned, which in theory should balance his proposal.
$$$
And finally. What about the price? All in all, nothing special. The ether is steadily growing, but not to say that this was strongly influenced by the update. It was known about it for a long time and the positive news background has long been included in the price.
No, this is not putting miners on the forks. Rather, they are given a choice, with a fork in the eye, or you yourself know .. Just kidding. A hard fork is a very important thing for any blockchain. To put it simply, this is a classic global update. As in some software. But this is a blockchain, nothing is simple here, and the process of updating the network is quite tricky. In general, there are two kinds of forks. Soft Fork and Hard Fork. Just like porn. Okay, let's go in detail.
Fork
Let's imagine blockchain. It is a continuous stream of information with a constant influx of new users. To keep the network from decaying and serve even more people, forks are made. Their goal is to improve the performance, and sometimes the general principles of the network (block size, reward, computational complexity, deflationary tools, etc.). In the case of a soft fork, everything is pretty simple. The new code is simply rolled onto the existing network. All blocks are in place, transactions continue. But with a hard fork, everything is more complicated. This is a global update that transfers the entire blockchain to a new protocol. This is where the nuances arise. Since crypto is about decentralization and democracy, the final decision remains with the miners who support the entire network with their capacities. If everyone agrees,
If not, the network is divided into two independent branches, after which a new coin appears. A hard fork occurs on a specific block, the number of which is known in advance. Most miners have to confirm it, but since they are typical people, in fact we have a bunch of new alts - Bitcoin cash, Bitcoin Gold, Etherium Classic, etc. Since both coins of the resulting hard fork have a common beginning, all operations already performed are copied into the new blockchain. Mainnet coin holders receive tokens resulting from the hard fork to their balance in an amount equal to the number of coins in the wallet at the time of the split. The coolest thing is that everyone can do a hard fork. All you need is the support of most of the blockchain participants and of course a gang of cool programmers.
So what about Ethereum?
Yesterday, a London hard fork took place on block 12,965,000 on the Ethereum network. Unfortunately, we have not received any new coins. But this update was an important step towards the transition of the entire blockchain to version 2.0. In this version, ETH will get rid of miners and move to POS validators. What do we get with this? Yes, nothing special, except that the movement around digital silver will intensify, the network will improve and you can safely make yourself an ether deposit. However, this requires a couple of tens of thousands of dollars, and you can do it right now. What have you changed? The London update includes a proposal to improve the current Ethereum network, EIP-1559, which aims to burn off a portion of the Ether when paying transaction fees. The goal of EIP-1559 is to "balance" the cost of transactions on the network, at the same time, miners will continue to receive a reward for confirming a block. Users can set the maximum commission they are willing to pay to include their transaction in a block. This is the main thing. Now the ether will be constantly burned, which in theory should balance his proposal.
$$$
And finally. What about the price? All in all, nothing special. The ether is steadily growing, but not to say that this was strongly influenced by the update. It was known about it for a long time and the positive news background has long been included in the price.