update 17 October 2021

The Real Bitcoin – A Beginner’s Guide to Avoiding Confusion Surrounding Bitcoin

Which is the Real Bitcoin? 

Cryptocurrency started with Bitcoin. Bitcoin is a decentralized payment mechanism that started in 2008. This first-ever decentralized digital currency base was backed by nothing but the Bitcoin network participants’ mutual trust.

The Bitcoin protocol was designed to be free from any tampering with the source code. Thus, no single participant can act against the network, nor can he deny use to the network in any way. This made Bitcoin the first in a series of ‘Borderless transparent mutual censorship-resistant immutable’ currency or medium of exchange.

After Bitcoin, it really didn’t take long for other projects to develop, with the main purpose of continuing what Bitcoin started. Finally, however, some wanted to replace BTC altogether. By replacing, it doesn’t mean taking Bitcoin and throwing it away, but rather starting something new and claiming the newly specifically created project as being the “original Bitcoin.”

Bitcoin forks have been a matter of much debate in the cryptocurrency sphere. The consensus is mandatory for forks to be resolved and allow continuously functioning validly. A fork without consensus is what leads to a permanent split.

But Wait, what is a Fork?

Forks can be categorized into 2 different ways: hard fork and soft fork. Both hard and soft fork types create two different versions of the software. However, a hard fork mainly differentiates them because a hard fork is meant to create two incompatible blockchains/tokens. In contrast, a soft fork creates two compatible versions of the software and token.

A hard fork is a non-backward compatible upgrade to an existing blockchain. This means that all the network nodes on the Bitcoin blockchain must either comply with the fork and update their protocol software or continue with the same outdated protocol by forming another separate Blockchain entity.

Up to this date, some of the most famous and relevant hard forks are Bitcoin vs. Bitcoin Cash hard fork, Ethereum vs. Ethereum Classic hard fork, etc.

What sets Bitcoin and Bitcoin Cash apart from other hard forks is that these are internally developed by the network participants and implemented with the consensus of members choosing their own sides based on their own personal beliefs. Thus, if a part of the users doesn’t agree with the change, the result may be two different versions of the same initial blockchain running concurrently.

The Street Fight for “The Real Bitcoin”

Bitcoin Cash’s Argument

Bitcoin Cash is a cryptocurrency created in August 2017 from a fork of Bitcoin. Bitcoin Cash increases the size of blocks, allowing more transactions to be processed. The cryptocurrency underwent another fork in November 2018 and split into Bitcoin Cash ABC and Bitcoin Cash SV (Satoshi Vision). Bitcoin Cash is referred to as Bitcoin Cash because it uses the original Bitcoin Cash client.

The key difference between BTC and BCH is the block size. The Bitcoin block size is limited to 1 MB, while Bitcoin Cash offers a block size of 8 MB, which was later upgraded to 32 MB. In addition, a Bitcoin block holds about 2500 transactions, whereas, for the first BCH blocks, this figure reached 7000. Thus, the prospects of Bitcoin Cash in terms of scalability initially looked much better.

However, most Bitcoin infrastructure (wallets, payment services, etc.) does not support Bitcoin Cash and considers it just another altcoin, not a “new Bitcoin.” This means that its use is limited to speculation on stock exchanges.

Since its inception, Bitcoin Cash has been known partly under the umbrella of Roger Ver to imply tactics that suggest it is the ‘original Bitcoin.’ Some of the tactics employed by Bitcoin Cash to obtain the status of being the “first Bitcoin” are naming their website “bitcoin.com,” using the Reddit channel r/BTC, and so on. This clearly shows how hard Bitcoin Cash is trying to confuse and possibly attract and convince more users about the legitimacy of the large number of “Bitcoins” out there.

Evolution of Craig Wright’s Vision

Bitcoin SV is a fork of the already existing fork, Bitcoin Cash. The differences related to the controversial block size topic between Bitcoin Cash and Bitcoin SV have increased to the extent of separating the 2 distinct approaches. Since splitting, Bitcoin SV has increased Bitcoin Cash’s already existing block size from 32 MB to 128 MB. There has been absolute chaos since the huge block size and how it might increase mining costs and affect scaling.

Craig Wright is a Research and Computer Scientist who has repeatedly claimed that he is Satoshi Nakamoto, the anonymous person who created the Bitcoin protocol. These claims are widely regarded as a possible hoax by most of the Blockchain community in general, in part because other than statements and claims, Craig has never been able to support his statements by facts and proof.

A faction within the Bitcoin Cash community, led by Craig Wright and Calvin Ayre, completely disagreed with these proposed technical updates. They argued that the proposed upgrades weren’t secure and would corrupt Bitcoin’s original vision as “digital cash” by allowing noncash transactions. This faction launched a competing version of the protocol with a higher block size limit of 128 MB on the 15th  November of 2018, leading to a contentious hard fork that split the chain into Bitcoin Cash and Bitcoin SV.

Bitcoin Bitcoin Cash Bitcoin SV
Block No Is the original protocol

 

Implementation was done by the pseudonym Satoshi Nakamoto with the help of fellow CyberPunk Hal Finney.

Forked off Bitcoin from Block 478558

 

The fork was done due to internal differences arising between developers about the block size. Proponents of Bitcoin Cash, headed by Roger Ver,

Forked off Bitcoin Cash from Block 566766
Current Market Price

December 2019

$7509

Bitcoin has seen a tremendous fluctuation in the past week, with highs of $8600 and lows touching $6800

$218

Bitcoin Cash has been nothing but a downfall ever since its splitting. Interestingly, the fall is persistent despite recent crucial internal developments.

$89

Not much can be commented on the history of Bitcoin SV, as it is still nascent.

Network Hash Rate 92,346,897 TH/s

 

The hash rate has seen an uptrend since the start of the year. Interestingly, Bitcoin recently touched an all-time hash rate high, much further than the late 2017 bull score.

Approx. 6600 PH/s

 

Bitcoin Cash’s hash rate has recently stabilized at mid-2000, after seeing a huge drop since the bitcoin SV split.

Approx 1.1 EH/s

 

After dropping from its initial high of 5 EH/s, a decrease in attention and interest has led to a 90% downfall in network hash rate.

Fee Structure Current Daily Avg. Fee: $1.2

 

Bitcoin’s fees per transaction are known to be the most volatile in the business. The fees have been known to correlate with the increase in transactions.

Current Daily Avg. Fee: 0.0004

 

Keeping up to its promise, Bitcoin Cash has been consistently supporting transactions at a negligible rate.

Current Daily Avg. Fee: $0.0002

 

Since most of the idea has been inspired by its parent fork, Bitcoin Cash, and owing to its inferior unit price, the transactions are being propagated and 50% of Bitcoin Cash’s fee.

Block Size Supports 1MB per block

 

Usually is full due to high demand and low transaction per block count.

Supports 32 MB Supports unto 128 MB

 

Much must be researched about the effects of the large block and the relative cost to mine, also keeping it feasible enough for technology to catch up

Avg. Transaction/per day 300,000 per day

 

Owing to high demand, the transactions per day usually stay within the limit until further block size increases are made.

30,000 per day

 

Bitcoin Cash has seen highs of 1 million transactions back in January 2019 but has since then seen a decrease in daily users

200,000 per day

 

SV has periodically touched north of 2 million transactions per day but has stabilized the currency average.

How to Avoid all the Confusion?

Sometimes, people think that ‘realness” comes from the price reflection. This means that the highest valued iteration is the most widely supported one, the ‘real’ bitcoin. To help our readers distinguish the different Bitcoin named coins, below is a list of all the community’s various factions.

Note: There are probably over 100 coins that have the Bitcoin name in them. However, so far, only Bitcoin Cash and Bitcoin SV have claimed they are the real Bitcoin.

Bitcoin Bitcoin Cash Bitcoin SV
Website Bitcoin.org Bitcoin.com Bitcoinsv.io
Pushed By Bitcoin Core Roger Ver Craig Wright
Reddit Handle r/bitcoin r/BTC r/Bitcoinsv
GitHub Repository https://github.com/bitcoin/bitcoin https://github.com/zquestz/bitcoincash NA
Major Pools –    AntPool

–    Slush Pool

–    BTC.com

–    Bitcoin.com

–    BTC.com

–    AntPool

–    viatc.com

–    f2pool.com

–    prohashing.com

There are loads of sneaky and shady tactics employed by many cryptocurrencies there. To underline our discussed example, Bitcoin Cash named their website “bitcoin.com,” used the Reddit channel r/BTC, etc. This clearly shows how hard Bitcoin Cash and cryptocurrencies came after forks are trying to confuse and possibly manipulate users about the legitimacy of the wide number of “Bitcoins” out there.

In our opinion, the easiest way to navigate through the multitude of Bitcoin names is to use the coin’s symbol: BTC, to be able to ignore the rest of “Bitcoin” findings.

Btc
Bitcoin
$61.715
price
1.85024%
price change
BUY NOW

I hope this article had enlightened and was explicit to anyone who got overwhelmed by looking at different types of ‘Bitcoin’ out there. We hope that any decision you take henceforth will be an informed one, rather than one that is forced upon you.

More posts

Earliest Cryptocurrencies with DeFi-like Characteristics

A recent Chainalysis report shows how Europe accounts for 25% of the world's cryptocurrency transactions. The news came as a surprise to many. However, Decentralized Finance (DeFi) is the center of these crypto transactions. So, it takes about 50% of the total amount from the region's trades. DeFi is an innovative niche that many enthusiasts still have not explored fully. Nevertheless, numerous smaller crypto assets with similar characteristics to DeFi tokens already exist. Binance Chain, PancakeSwap, and Uniswap are examples…

Which Altcoins Made The News in H1 of 2021

Altcoins are constantly jostling to make a mark in the crypto world. After Bitcoin and Ethereum, the race to be the third cryptocurrency force keeps heating up every year. Many strong contenders with different use cases promise more than what the big two currently offer. As a result, many are making their mark in a big way, for good and not so good reasons, as long as they stand out from meme coins that ride the celebrity popularity wave and…

Top Altcoins with the Most Potential For 2022

In 2017, altcoins became a thing when thousands of Bitcoin competitors flooded the market. Today, many altcoins have evolved beyond expectations and are stand-alone products with unique real-world applications. Furthermore, they provide an opportunity for investors to diversify their portfolios. Identifying the best cryptocurrencies to invest in can be overwhelming for most newbies, primarily since thousands of them exist. We bet you're having difficulty finding the most promising altcoins in the crypto space. So, this article should help you get…

Institutional Investors who have Expanded their Portfolio in 2021

Cryptocurrency and blockchain investments from the first 9 months of 2021 have surpassed last year's grand total. In the first half of 2021, the worldwide crypto and blockchain activity was $8.7 million, more than double last year's figures. It is a significant sign that institutional money is streaming into the crypto space. Furthermore, it increases the investor base, and thus the institutional awareness and knowledge of this sector are also surging. The "institutional adoption" of crypto is already underway. Today…

Understanding Cardano, IOHK, and EMURGO

Cardano is the first decentralized public blockchain platform that developed on a research-first driven approach. Charles Hoskinson, the co-founder of Ethereum, created it in 2015 and later launched it in 2017. It comprises a development team of global researchers and engineers. This platform's development continued thanks to academics and computer scientists and their peer-reviewed papers. The Cardano ecosystem involves three founding entities that work together. These partners are EMURGO, IOHK Company, and The Cardano Foundation. Cardano in a Nutshell Cardano…

Billionaires Who Have Publicly Showed Interest in Cryptocurrencies

The cryptocurrency boom of 2017 saw a rise in their acceptance from prominent economic figures. Since then, their volatility hasn't stopped significant investments in them. Today there's a push for their global mass adoption. Industry-leading lights and renowned celebrities have expressed their support for the assets. Nothing best captures this reality than Forbes's recent list of the world's wealthiest people. It indicates a growth in the number of crypto billionaires over time. From an asset that courted controversy and skepticism,…

Which is the Most Crypto-Friendly Country in Europe?

When cryptocurrencies made their first appearance in the financial world, many people were skeptical about them. Governments mainly felt threatened because the digital currencies dispelled the need for central banks. A little over a decade later, cryptocurrency mainstream adoption has made strides. However, many jurisdictions remain hostile toward digital currencies.  There's no denying that cryptocurrencies present several advantages, which is why many enthusiasts and investors are jumping on board. However, for mainstream crypto adoption to go globally, jurisdictions must accept…

Crypto Signals to Stop You from Succumbing to FOMO Woes

In the case of cryptocurrency, FOMO is popular due to enormous and rapid gains. However, as more people realize these great opportunities, they are afraid that they will miss them. When you think that you can win a particular cryptocurrency, you begin to buy it in huge numbers. As numerous investors and traders believe that blockchain and crypto are in the early stages and have excellent development potential, FOMO appears to be more than just a driving force in the…

Understanding Ethereum’s Solidity Programming Language

Ethereum is a cryptocurrency capable of storing value and making payments. However, that's not all. It is also a fully-fledged platform for creating smart contracts, and this is where Solidity comes in. Solidity is a high-level language for implementing smart contracts. It gets its inspiration from C++, Python, and JavaScript and should target the Ethereum Virtual Machine (EVM). This article will uncover all about the Solidity programming language and how it works. But first, we'll look closer at the Ethereum…

Hedera – A Comprehensive Guide to a Revolutionary Consensus System

Blockchain is the digital environment supporting cryptocurrencies and decentralized app (DApps). You may know it as one of the greatest innovations of the 21st century. However, this remarkable invention has its shortcomings. For instance, it is difficult to scale and consumes too much energy, making it bad for the environment. Fortunately, some projects aim to solve these issues. One of them, Hedera, has come up with a potentially better alternative to blockchain: Hashgraph consensus. Consequently, Hedera used it to open…