Fork Wars: Bitcoin Cash SV Surges as Craig Wright Reveals 50%+ of Hashpower Support It

  • Self-proclaimed Satoshi Nakamoto Craig Wright has recently claimed his BCHSV has over 50% of the network's hashrate supporting it.
  • This means miners can band together to "choke" the competing blockchain and block transactions by mining empty blocks.

Bitcoin Cash SV (SV), the protocol backed by self-proclaimed Satoshi Nakamoto Craig Wright, has recently seen its price surge well over 50% as it has been revealed over 51% of the network’s hashrate is currently supporting the SV development team.

During an interview with Tone Vays that was recently published on YouTube, Wright revealed that some more miners will be supporting Bitcoin Cash SV, but haven’t made it public yet. Nevertheless, those that already support it have already surpassed the 51% hashrate threshold.

Data from Coin.Dance shows that this has indeed happened, as the pools supporting SV are CoinGeek, Mempool, BMG, and SVP. Together, these account for roughly 56% of the network’s hashrate.

Bitocin Cash's current hashrate distribution

Notably, having a majority of the hashrate means that if the BCH blockchain does split, the miners can together “kill off” the competing chain by deploying their hashpower to only mine empty blocks on it. This would stop transactions from going through, making the cryptocurrency useless.

The move, which some see as an aggressive move, is to Wright “part of the protocol,” which allows it to happen. The threat of such an attack is so real that a group of miners have grouped together to form the SharkPool and revealed they will “exclusively” mine empty blocks.

While according to some the attack may merely be a bluff, the other side is looking to respond. As CryptoGlobe covered Bitmain, the world’s largest cryptocurrency mining hardware manufacturer, has been looking to deploy 90,000 Antminer S9 ASICs ahead of the hard fork.

Given the hashpower on SV’s side, futures of the implementation being traded on Poloniex have recently surged well over 50%. At press time, they’re trading at 113 USDC, while the BCHABC implementation has dropped nearly 15% to 406 USDC.

BCHSV's pricei s seemingly recovering

These pre-fork futures, as covered, are seen by Wright as a “criminal offence.”

Bitcoin Cash’s Upcoming Hard Fork

The hard fork schedule for November 15 on the bitcoin cash (BCH) blockchain doesn’t have consensus from the community. Two sides, BCHABC and BCHSV, have different visions for the future, and they aren’t compatible with each other.

Bitcoin Cash ABC, the one that originally forked Bitcoin’s blockchain, supports key technical changes that could make “atomic swaps” easier, while maintaining the 32 MB block size. Bitcoin SV, backed by Craig Wright and nChain, plans to increase the size to 128 MB.

During the interview, Vays asked Wright if he was worried Jihan Wu, the CEO of Bitmain, would use hashpower from Antpool, a Bitmain-owned mining pool with 13.5% of bitcoin’s (BTC) hashrate, to compete. Wright replied:

"I'm really hoping for it. See, I don't believe in code is law, I believe in law is law. We've already been talking to lawyers and if you start doing that as a director of a company in China, where the laws are even more restrictive than in the UK or US, and you without authorization spend shareholder money… I'm really hoping he does. I beg Jihan, please do that. Please Jihan. Please do that."

If the current trend continues, BCHSV’s futures may see their price rise above those of BCHABC’s. Yesterday, November 10, they were significantly down at 69 USDC, while BCHABC was at 470 USDC.

Crypto Market Update: Focus on BTC, ETH, BCH, BNB, XMR, and DASH

Siamak Masnavi

This article provides a quick overview of how the crypto markets have been doing—with the focus on Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH), Binance Coin (BNB), Monero (XMR), and Dash (DASH)—over the past 24-hour period.

Overall, September 17th is proving to be a bit of a mixed day, with 12 of the top 20 cryptocurrencies (by market cap) in the red at press time (around 06:25 UTC).

BTC-USD

BTC-USD 24 Hour Chart - 17 Sep 2019.png

The bad news is that are still waiting for the launch of Bakkt's physically-delivered daily and monthly Bitcoin futures contracts. So, Bitcoin is still trading mostly sideways, hovering around the $10,300 mark. The good news is that the launch is expected to take place in less than one week (i.e. on September 23), as was confirmed by this tweet that Bakkt sent out on September 16:

ETH-USD

ETH-USD 24 Hour Chart - 17 Sep 2019.png

The Ether (ETH) price continues its upward movement toward the $200 mark, up another 2.24% in the past 24-hour period (making it up 4.32% in the past 7-day period). What may have helped the Bitcoin price yesterday (September 16) is the announcement by crypto payment processor BitPay that in the near future it will be possible for its customers to accept Ether payments for purchases of goods and services. Also, the BitPay wallet will support Ether.

Ethereum co-founder Vitalik Buterin had this to say about the news:

"It is exciting to see BitPay leading the way in integrating Ethereum into global payment systems. This truly opens up a new world of possibilities for the Ethereum ecosystem, and together we can continue to be a leading innovator for real world use cases for cryptocurrencies.

BCH-USD

BCH-USD 24 Hour Chart - 17 Sep 2019.png

On Monday (September 16), Bitcoin.com announced that it had entered into a strategic partnership with Taiwanese smartphone manufacturer HTC, as a result of which the Bitcoin.com wallet will come preinstalled on HTC's current and upcoming blockchain phones (Exodus 1 and Exodus 1s):

BNB-USD

BNB-USD 24 Hour Chart - 17 Sep 2019.png

Although BNB is currently in the red, this may change during the next several hours once all of the six mini announcements that Binance plans to make today have come out:

The first of the six announcements that Binance CEO Changpeng Zhao (aka "CZ") referred to is the addition of support for Cosmos (ATOM) to Binance's Margin Trading platform:

XMD-USD

XMR-USD 24 Hour Chart - 17 Sep 2019.png

OKEx Korea announced on Monday (September 16) that it intends to delist all five privacy coins it is currently supporting, i.e. XMR, DASH, ZEC, ZEN, and SBTC, due to concerns that these cryptocurrencies do not allow it to implement FATF's so-called "travel rule". 10 October 2019 is the date on which transaction (i.e. trading) support ends.

DASH-USD

DASH-USD 24 Hour Chart - 17 Sep 2019.png

Since OKEx Korea's delisting announcement mentioned DASH, you would expect it to be down today, just like XMR. However, it is not, and that is very likely due to the fact that today (September 17) is the day that trading in DASH is expected to start on Coinbase Pro on/after 09:00 PST (16:00 UTC) provided that there is sufficient liquidity.

Featured Image Court: Photo via Pixabay.com