Bitcoin has divided into two in an incident known as a “hard fork” that divided the Bitcoin’s online community into Two. Two opposing groups of Bitcoin rose after some of its preeminent backers differed on the way to take it forward.
The cost of the cryptocurrency Bitcoin has dropped somewhat around $ 2,700 after the Hard Fork. Bitcoin Cash, meantime, got off to a slow beginning as dealers expected for the first transactions to be put on the network. So its price dropped soon after it was formulated but has since bounced to around $ 420.
August 1 was the day to make the biggest change in the history of Bitcoin. The previous position, with insufficient activities, was quite uncertain. So it was voted to alter the Blockchain protocol, the basis of crypto currency. It is precisely the one that supplies it with impunity and anonymity.
What Happened On July 31st and August 1st:
In the month of June-July, key prospectors & developers of Bitcoin accepted to embrace a new way of operating the crypto currency. Its technology is open source. They adjusted its underlying code system until its user accept the change.
The new methodology, called Segwit2x, has steadily been embraced by key players in recent days & seemed to prevent fight way forward.
Nevertheless, a competitive system has obtained traction in the last few days called Bitcoin Cash. They launched this system on Tuesday.
Of all the likely scenarios, there has been the worst but the prediction was there already. The Bitcoin broke into two coins. Now on one side is Bitcoin Cash and on the other the Bitcoin Classic, two autonomous currencies.
How this will affect us???
It depends on where are your coins stored. Depending on the wallet (like zebpay) where you have them, they will have changed to Cash. Or they will continue to keep their previous traits, although presumably not their value, since the price of Bitcoin may be about to collapse.
Being a demand based cryptocurrency, it was anticipated that the Bitcoin division will have a quick impact on its price. Now users do not know which of these two is right so that the buying determinations will be split and demand for both also.
Given the dilemma, many groups have suspended progress with this virtual currency. Because nobody wants to risk receiving Cash or Classic that may lose its value soon. They are putting the patch on the wound so as not to be with thousands of Bitcoin wallet coins that are eventually waste.
What about my Bitcoins in Wallet?
Most of us store their Bitcoins in online wallets like zebpay, Coinbase, etc. Most of these Wallets have declared that they will continue with the mainstream Segwit2x proposal. Online wallet Coinbase stated on its website that “it ‘s hard to foretell how long the Bitcoin Cash will last. And if Bitcoin Cash will have future market worth”. Blockchain, another wallet, announced that it has no intentions to support Bitcoin Cash but that if it survives and grows in future, they will consider it.
Those who kept their coins by downloading them onto hard disks end up with both Bitcoins and Bitcoin Cash.
For the moment the best is yet waiting for events. Given the point that the community has not yet chosen to bet on one of the two variants of Bitcoin after the split. It could take weeks or not ever to hit, leaving the way clear for some alternatives like Ethereum.