Bitcoin SegWit Challenges Bitcoin Cash
Both soft and hard forks have always presented an interesting conceptual and practical issue on the blockchain. Bitcoin’s blockchain creates forks in its overall chain when the community decides that a certain idea or issue is simply too important to continue along the same path.
When some people felt as though it only made sense to increase the size of blocks on the chain, for example, Bitcoin Cash was created. But as the blockchain upon which transactions are built continued to expand, it has become more and more common for new derivations of Bitcoin to crop up.
The newest iteration of Bitcoin is Bitcoin SegWit. The SegWit protocol is an upgrade to the Bitcoin blockchain which was created out of a desire to increase the overall number of transactions which can be conducted on each block on the Bitcoin chain.
The desire to do so is clear and justified, because increasing the transaction limit would be one way to solve the massive Bitcoin scalability problem, which is one of the biggest issues plaguing developers on the Bitcoin blockchain.
Researchers have found, though, that SegWit may be growing far faster than anyone initially anticipated, too. BitMEX’s Research Division released statistics on Twitter revealing that Segwit has had over 22.1 million total BTC SegWit transactions on the BCH network since it went live.
SegWit vs Bitcoin Cash transaction volume update & Bitcoin Cash investor flow update
— BitMEX Research (@BitMEXResearch) October 14, 2018
But in this same amount of time, BCH itself has only seen a total of 18.9 million. Quickly doing the math, the blog article concluded that the SegWit transaction volume eclipses its mother network by around 17%.
It isn’t just Bitcoin Cash that SegWit seems to be eyeing. According to some sources, the currency had recently climbed to all-time-highs in transaction volume, comprising an impressive 50% of total daily transaction volume for Bitcoin momentarily before falling back down to 40%, a percentage at which it has hovered in these last couple of months.
This is a major move for the currency, which has been relatively new to the Bitcoin scene but has been quick to captivate the interest of investors on the blockchain eager for a potential solution to the massive scalability problem.
As SegWit continues to grow, the true test of the scalability of the BCH network will come clear. What problems might arise and be exacerbated as more investors become interested in pouring their own funds into the largely new and untested waters of Bitcoin SegWit?
Times Of Growth
The Bitcoin Cash network and its leaders are set for an enormous time of expansion, even amid the troubling waters of this cryptocurrency drought. According to a Bloomberg report, Roger Ver of Bitcoin Cash has expressed his interest in launching his own new crypto exchange, which would function to boost the overall liquidity of his cryptocurrency, Bitcoin Cash.
BCH has remained relatively steady at its place as the fourth top cryptocurrency in the world, averaging a market cap of around USD $7.9 billion with a price which has been particularly hard hit by the value crashes of the past few months in the crypto space.