Bitcoin Segwit2X will fork tomorrow

The hard fork should solve the accumulated problems of BTC, while its goal is not to replace the original Bitcoin, but to effectively coexist the two cryptocurrencies. Miners and developers believe that B2X will gradually take over all the functionality in the field of micro and medium-sized transactions.

During the operation of the Bitcoin cryptocurrency network, data on the latest transfers of digital coins is recorded in each new blockchain block. The block is then "closed" by hashing all of the contents of the information and the contents of the previous block. The operation of closing a block is called “mining” and requires significant computing resources, for which miners receive a reward - cryptocurrency. A copy of the blockchain (information about all transactions) is stored on the computers of all participants in the crypto network.

Theoretically, such a system should be hack-resistant, fast in operation and have low commissions, because all network participants compete for the right to earn money on a transaction. But in practice, this depends on many technical aspects, which were impossible to immediately take into account in the Bitcoin algorithm. As the network developed, the algorithm required improvements. After modification, the program code is simultaneously changed for all network participants. But this only happens if the network community, which consists of developers, miners, as well as the most active enthusiasts, was able to reach a consensus. If full consent of the participants cannot be achieved, then the network may split into two versions, each of which lives as an independent cryptocurrency. Such a split is called a “hard fork.” After a hard fork, both branches maintain a common transaction history until the split. But all new transactions are already recorded separately, each in its own independent blockchain.

The first known hard fork with separation was the appearance in 2016 of two versions of the ether currency - standard (Ethereum, ETH) and “classic” (Ethereum Classic, ETC). But in 2017, Bitcoin caught up and surpassed other well-known currencies in the number of protocol upgrades and splits. This is due to a large extent to the strict block size limit that is set in the code and which the developers flatly refuse to change.

The most famous Bitcoin hard fork took place in August 2017. His goal was to reduce commissions and speed up transactions, the confirmation of which in May 2017, when the rush demand for this coin began, took up to two to three days.  It was necessary to modernize Bitcoin, but there was no consensus among the community on how exactly to do it.. As a result, the cryptocurrency network was divided into two: Bitcoin itself (BTC) and Bitcoin Cash (BCH). Actually, Bitcoin Cash is classic Bitcoin without SegWit, but with an eightfold block increase. We wrote about this in detail earlier. 

And tomorrow a new fork is coming. This was expected to happen in mid-November, but the date was ultimately postponed. In our opinion, this is due to the growth of the cue ball exchange rate and the reluctance of developers to introduce confusion into the process when the goose began to lay golden eggs.

The project manager, Jaap Terlouw, explained the need for a new fork: “The commission and transaction speed in the Bitcoin network have reached unimaginable values. Last month, the average network commission was $15! While Bitcoin is becoming a digital analogue of gold, it simply cannot be used as a payment instrument.”

In addition to the introduced Segregated Witness technology, the new version of Bitcoin has other advantages. The block size increased to 4 MB, and its generation speed reached 2.5 minutes. Each Segwit2X owner will receive a unique address format. In addition, after each mined block, the mining difficulty will be recalculated. Segwit2X uses the X11 encryption algorithm and has protection against replay transactions.

After the fork appears, each BTC owner will be able to receive B2X in a 1:1 ratio, as well as a very nice bonus. Users will also soon have the option to receive coins by extracting a private key in their own Bitcoin Segwit2x wallet.

According to http://newscryptocoin.com