In BriefBitcoin is experiencing another hard fork and major value fluctuations this week. Bitcoin Classic will be shut down and its developers expect Bitcoin Cash to replace it and act as "Bitcoin" within six months.
Bitcoin Classic is a fork from Bitcoin Core that looked to increase block size limit in an attempt to increase transaction processing capacity. While promising at first, Bitcoin Classic is now officially shutting down because of claims by developers that Bitcoin Cash (BCH) will rise to the top and be ‘Bitcoin’ in as soon as 6 months.
Thursday morning, release manager Tom Zander made a public statement that Bitcoin Classic had, “fulfilled its promise,” but that “It is now up to you which chain will gain the most traction. It is now up to the next billion people to start to use Bitcoin Cash. In at most six months I’m sure we’ll just drop the ‘Cash’ and call it ‘Bitcoin.”
Anticipating the new hard fork, which is set for November 13th, BCH soared in value over 35 percent. This is its highest value since its debut, sparking further support for this transition.
The New ‘Bitcoin’
The last few days have been a roller-coaster for Bitcoin, not an unusual state for the cryptocurrency, with rising and falling value and the immense failure of SegWit2x. Especially because of the SegWit2x move, investors have been refocusing on this new fork.
Zander commented that “The fact that the Legacy chain is stuck at 1 MB, and likely always will be, confirms the Cash chain’s viability. Now the market will decide.”
Before this announcement, BCH has played a fairly secondary role in Bitcoin. But since this change was first publicly stated, a large majority of the public has expressed their support for the move. In the short term, it is likely that, while Bitcoin Classic is shut down, BCH will continue to rise in value or stay at its increased level. It is not possible to say with certainty whether or not, in 6 months, BCH will become what we refer to as ‘Bitcoin,’ but many investors and experts have publicly shown support for the elimination of Bitcoin Classic.