Forking

Crypto terminology refers to the specialized vocabulary and phrases used in the cryptocurrency world, providing clarity on concepts, processes, and technologies.

Forking refers to a change or modification in the software of a blockchain, resulting in the creation of two separate paths or versions of the blockchain. This usually happens when there is a disagreement within the community about the direction of the project or how the protocol should function.There are two main types of forking: hard forks and soft forks. A hard fork occurs when the changes are significant enough that they create an entirely new version of the blockchain that is incompatible with the old one. This often leads to the creation of a new cryptocurrency. An example is Bitcoin Cash, which forked from Bitcoin in 2017.On the other hand, a soft fork is a backward-compatible change. This means that users who do not upgrade to the new version can still interact with the network. Soft forks typically add features or improve security without permanently splitting the blockchain.Overall, forking can serve as a way to implement upgrades or resolve conflicts within a community, allowing for flexibility and evolution in the underlying technology.

Latest Resources and Blogs