Hard Forks… Hard Forks Everywhere – Enter Bitcoin Diamond!
2017 is quickly approaching its end, and as we look back on this amazing year, it is safe to say that this will be the year remembered for ICOs and Bitcoin hard forks!
While hard forks are nothing new in the blockchain space (and are actually a crucial procedure for development), we have witnessed a refreshed take on them.
As we saw with the creation of Bitcoin Cash and recent arrival Bitcoin Gold, anyone simply holding Bitcoin (BTC) gets an identical amount of the new coin, with little to no effort whatsoever.
However, it has not stopped there. On November 24th, 2017, at block height #495866, Bitcoin Diamond (BCD) split from the Bitcoin network, giving holders yet another altcoin for their portfolio. Its futures prices are already listed on Coinmarketcap.com at a trade price of around $80!
What Makes Bitcoin Diamond Unique?
Each of these new cryptocurrencies boast slightly different features to the original Bitcoin, while apparently attempting to provide solutions to the current scaling problems Bitcoin and many other altcoins now face.
One of the differences BCD possesses is the coin supply. Bitcoin has a supply cap of 21 million, while BCD has ten times the supply. Another difference is the optimized X13 algorithm it uses, which makes it GPU-friendly for mining, like Bitcoin Gold, which uses the Equihash algorithm.
Another interesting and potential difference is that Bitcoin Diamond will be switching algorithms from proof-of-work to proof-of-stake after 10,000 blocks are mined on the network, truly widening the gap in terms of being similar to Bitcoin.
What Can We Expect From Bitcoin Diamond?
In the blockchain space, it is always wise to question everything first and celebrate after! No one really knows the long-term plan that BCD desires to achieve. With a larger coin supply than any of the other recent Bitcoin forks, could there be an attempt to mine a vast amount of coins before switching to proof-of-stake?
With a switch to proof-of-stake, this could create a monopoly on the network for a very few early miners.
Time will tell, but for users wanting to access their new altcoins, it is recommended that you contact your respective wallet provider for more information.
Altcoins Bounce Back, and Bitcoin Gold in Top Five!
Despite the barrage of hard forks, no one can deny that altcoins have had an amazing year. Purchasing and simply holding Ethereum, Dash, Litecoin, or Ripple, to name a few, would mean your investments outperformed over 90% of investors in the traditional stock market since the start of the year!
Bitcoin Gold has turned heads and surprised many. It now sits at number five in market cap at the time of writing! It is possible Bitcoin Gold’s price could move similarly to Bitcoin Cash’s recent price rally, as fear of missing out will undoubtedly take hold.
2018 will be an interesting year for Bitcoin and the myriad of altcoins emerging in the markets. We will keep you updated with the latest on Bitcoin Gold, Bitcoin Diamond, and any other possible hard forked cryptocurrencies that you can claim by simply holding your Bitcoin!