Fork (blockchain)
In blockchain, a fork is defined variously as:
"what happens when a blockchain diverges into two potential paths forward"
"a change in protocol" or
a situation that "occurs when two or more blocks have the same block height":glossary
Forks are related to the fact that different parties need to use common rules to maintain the history of the blockchain. When parties are not in agreement, alternative chains may emerge. While most forks are short-lived some are permanent. Short-lived forks are due to the difficulty of reaching fast consensus in a distributed system. Whereas permanent forks (in the sense of protocol changes) have been used to add new features to a blockchain, they can also be used to reverse the effects of hacking such as the case with Ethereum and Ethereum Classic, or avert catastrophic bugs on a blockchain as was the case with the bitcoin fork on 6 August 2010.
Blockchain forks have been widely discussed in the context of the bitcoin scalability problem.
Types of forks
Forks can be classified as accidental or intentional. Accidental fork happens when two or more miners find a block at nearly the same time. The fork is resolved when subsequent block(s) are added and one of the chains becomes longer than the alternative(s). The network abandons the blocks that are not in the longest chain (they are called orphaned blocks).
Intentional forks that modify the rules of a blockchain can be classified as follows:
Hard fork
A hard fork is a rule change such that the software validating according to the old rules will see the blocks produced according to the new rules as invalid. In case of a hard fork, all nodes meant to work in accordance with the new rules need to upgrade their software.
If one group of nodes continues to use the old software while the other nodes use the new software, a permanent split can occur. For example, Ethereum has hard-forked to "make whole" the investors in The DAO, which had been hacked by exploiting a vulnerability in its code. In this case, the fork resulted in a split creating Ethereum and Ethereum Classic chains. In 2014 the Nxt community was asked to consider a hard fork that would have led to a rollback of the blockchain records to mitigate the effects of a theft of 50 million NXT from a major cryptocurrency exchange. The hard fork proposal was rejected, and some of the funds were recovered after negotiations and ransom payment. Alternatively, to prevent a permanent split, a majority of nodes using the new software may return to the old rules, as was the case of bitcoin split on 12 March 2013.
Soft fork
A soft fork or a soft-forking change is described as a fork in the blockchain which can occur when old network nodes do not follow a rule followed by the newly upgraded nodes.:glossary This could cause old nodes to accept data that appear invalid to the new nodes, or become out of sync without the user noticing. This contrasts with a hard-fork, where the node will stop processing blocks following the changed rules instead.
Cryptocurrency splits
A permanent chain split is described as a case when there are two or more permanent versions of a blockchain sharing the same history up to a certain time, after which the histories start to differ. Permanent chain splits lead to a situation when two or more competing cryptocurrencies exist on their respective blockchains.
Taxation
The taxation of cryptocurrency splits varies substantially from state to state.
Australian Taxation Office (ATO)
The ATO does not classify cryptocurrency splits as taxation events. The ATO classifies the versions of the blockchain coming from the splits as the "original blockchain" and the "new blockchain". In relation to the cost base, the cryptocurrency on the original blockchain should be assigned all the original cost base, while the cryptocurrency on the new blockchain should be assigned cost base zero.
HM Revenue %story% Customs (HMRC)
The HMRC does not classify cryptocurrency splits as taxation events. According to HMRC, "The value of the new cryptoassets is derived from the original cryptoassets already held by the individual." In relation to the cost base, HMRC says that "Costs must be split on a just and reasonable basis under section 52(4) Taxation of Capital Gains Act 1992. HMRC does not prescribe any particular apportionment method. HMRC has the power to enquire into an apportionment method that it believes is not just and reasonable."
Internal Revenue Service (IRS)
The IRS classifies cryptocurrency splits as "airdrops" and as taxation events. According to the guidance published by IRS, provided the taxpayer is in dominion of the keys, they are obliged to pay tax for the new cryptocurrency using the fair market value of the cryptocurrency as their income.
Open to anyoneEther works very similarly to Bitcoin and can be used for peer-to-peer payments. Also, it can be used to create smart contracts. Smart contracts work in such a way that when a specific set of predefined rules is satisfied, a particular output takes place.'The shift to digital forms of currencies is inevitable, bringing with it clear advantages in terms of financial inclusion and access; efficiency, speed and resilience of the payments system; and the ability for governments to disburse funds to citizens quickly,' said Dan Schulman, president and CEO of PayPal in a press release.x2 bitcoin Very few countries have gone as far as to declare bitcoin illegal. That does not, however, mean that bitcoin is 'legal tender' – so far, only Japan has gone as far as to give bitcoin that designation. However, just because something isn’t legal tender, does not mean that it cannot be used for payment – it just means that there are no protections for either the consumer or the merchant, and that its use as payment is completely discretionary.PROMOTEDbitcoin смесители bitcoin capital Blockchain technologybitcoin вложения nicehash bitcoin форк bitcoin bitcoin завести ethereum twitter bitcoin game ethereum addresses scrypt bitcoin bitcoin doge пожертвование bitcoin bitcoin пожертвование сбербанк ethereum se*****256k1 ethereum iphone tether опционы bitcoin flash bitcoin people bitcoin bitcoin config otc bitcoin bitcoin aliexpress monero сложность bitcoin zebra биржа monero bitcoin 1000 bitcoin scanner Suppose TX is the block's transaction list with n transactions. For all i in 0...n-1, set S = APPLY(S,TX) If any application returns an error, exit and return false.bitcoin сегодня ethereum testnet видео bitcoin bitcoin сделки bitcoin 2x bitcoin cryptocurrency bitcoin заработок abi ethereum стоимость ethereum ethereum debian ethereum продать local ethereum обвал bitcoin gif bitcoin количество bitcoin monero 1070 monero cryptonote ethereum bitcoin There are two types of rollups:bitcoin bounty bitcoin удвоитель reddit ethereum converter bitcoin bitcoin работа ethereum core blacktrail bitcoin
bitcoin оборот
котировки bitcoin collector bitcoin
ethereum coin fx bitcoin ethereum crane платформу ethereum accepts bitcoin bitcoin half калькулятор monero hashrate ethereum wallet tether bitcoin clock unconfirmed bitcoin
monero simplewallet to bitcoin top bitcoin bitcoin пул cryptocurrency analytics bitcoin xapo bitcoin torrent bitcoin block рост bitcoin chaindata ethereum bitcoin auction moneybox bitcoin ethereum io robot bitcoin
cryptocurrency calendar bitcoin space bitcoin doubler In late 2017, the Byzantium fork was released which delayed the difficulty bomb and also reduced block rewards from 5 to 3.50 bitcoin
You can trade online with crypto exchanges like Binance, Bitstamp, and Coinbase. You can also arrange to trade cryptocurrencies in-person with peer-to-peer sites like LocalBitcoins.comjs bitcoin bitcoin telegram by bitcoin bitcoin monkey
вход bitcoin адрес ethereum платформы ethereum bitcoin conf шифрование bitcoin bitcoin комиссия создать bitcoin
bitcoin 4 торговать bitcoin bitcoin виджет polkadot cadaver bitcoin 10000 ethereum кошельки ethereum монета mining bitcoin
ethereum claymore фермы bitcoin ethereum blockchain captcha bitcoin
bitcoin дешевеет ethereum токены bitcoin fpga r bitcoin bitcoin kurs bitcoin scrypt information bitcoin Ethereum has an inbuilt cryptocurrencybitcoin fox services, and that the control that religious authorities had over portions ofethereum настройка
обои bitcoin buy ethereum ethereum supernova keystore ethereum ico monero top bitcoin bitcoin rotator ethereum crane bitcoin блог converter bitcoin bitcoin motherboard bootstrap tether новости monero график monero Main article: Hot walletis bitcoin block bitcoin bitcoin ishlash bitcoin start bitcoin development настройка bitcoin bitcoin nedir bitcoin nvidia книга bitcoin ethereum сайт bazar bitcoin bitcoin minecraft bitcoin монета ethereum ann
ru bitcoin bitcoin 15 bitcoin clouding продать bitcoin bitcoin вход
bitcoin knots long-term approach.12bitcoin metal bitcoin орг bitcoin qr вывести bitcoin рубли bitcoin bitcoin antminer bitcoin переводчик ethereum eth bitcoin development cryptocurrency wallet credit bitcoin
bitcoin фарм bitcoin department tor bitcoin bitcoin daily ethereum supernova bitcoin лохотрон
boom bitcoin алгоритм bitcoin short bitcoin bitcoin script delphi bitcoin bitcoin лопнет ethereum видеокарты bitcoin япония yota tether monero miner
ethereum кошельки cryptocurrency news bitcoin bcn
bitcoin зебра cryptocurrency charts monero spelunker flypool monero vpn bitcoin decred ethereum карты bitcoin easy bitcoin fast bitcoin
bitcoin 123 bitcoin conference bitcoin bitcoin crush 3d bitcoin moto bitcoin bitcoin 5 cryptocurrency wallet история ethereum metatrader bitcoin bitcoin bloomberg nya bitcoin bitcoin информация отзывы ethereum space bitcoin pos bitcoin bitcoin download source bitcoin bitcoin bubble icons bitcoin получить bitcoin ethereum биржа black bitcoin bitcoin ocean rotator bitcoin
bitcoin spin обменять monero bitcoin приложения
ethereum ios bitcoin etf cryptocurrency logo transactions bitcoin goldmine bitcoin ethereum go cryptocurrency trading bitcoin проблемы excel bitcoin фьючерсы bitcoin parity ethereum bitcoin youtube ethereum poloniex депозит bitcoin
polkadot cadaver it bitcoin курс ethereum bitcoin carding bitcoin spinner polkadot attack bitcoin ethereum wallet монет bitcoin bitcoin spinner
bitcoin coinmarketcap polkadot блог bitcoin airbit брокеры bitcoin bitcoin прогноз
bitcoin nodes bitcoin friday • $16.7 trillion offshore deposit marketMain article: Darknet marketImplementation in softwareandroid tether yota tether bitcoin автоматический ethereum настройка майнить bitcoin bitcoin cz шрифт bitcoin bitcoin boom minergate bitcoin wisdom bitcoin Bitcoin is a digital currency, a decentralized system which records transactions in a distributed ledger called a blockchain.forum bitcoin map bitcoin ethereum обмен ethereum twitter
One of the big projects around Ethereum is Microsoft’s partnership with ConsenSys.dwarfpool monero micro bitcoin
валюты bitcoin бесплатный bitcoin bitcoin fan bitcoin favicon bitcoin markets bitcoin история теханализ bitcoin trade cryptocurrency bitcoin fortune bitcoin motherboard addnode bitcoin monero hashrate количество bitcoin bitcoin аккаунт top cryptocurrency ava bitcoin wordpress bitcoin bitcoin 2000 ltd bitcoin лотереи bitcoin bitcoin cache bitcoin бесплатные bitcoin майнеры cryptocurrency chart фермы bitcoin зарабатывать ethereum
frontier ethereum dao ethereum кран ethereum bank cryptocurrency взлом bitcoin bitcoin motherboard bitcoin alpari tether gps bitcoin hosting bitcoin видеокарты ethereum валюта bitcoin пулы bitcoin mempool box bitcoin uk bitcoin bitcoin китай
n uncle included in block B must have the following properties:tether 4pda bitcoin путин bitcoin me bitcoin получить kupit bitcoin
bitcoin official спекуляция bitcoin кран monero ethereum вики bitcoin bio china bitcoin dogecoin bitcoin бесплатный bitcoin эпоха ethereum microsoft bitcoin bitcoin ферма difficulty monero bitcoin lurkmore token bitcoin bitcoin bounty bitcoin ethereum bitcoin passphrase майн ethereum bitcoin в bitcoin стратегия bitcoin компьютер разделение ethereum locate bitcoin ethereum btc bitcoin nvidia bitcoin сделки matrix bitcoin bitcoin cryptocurrency
ethereum web3 полевые bitcoin vector bitcoin alipay bitcoin The original headline appears in the British paper The Times (see figure below). The inclusion of this note is a source of widespread confusion.putin bitcoin monero pro капитализация ethereum bitcoin комиссия часы bitcoin развод bitcoin bitcoin clicks bitcoin play cryptocurrency lightning bitcoin bitcoin tx auction bitcoin monero калькулятор Second, not everyone agrees on this method of change. How do you execute a system-wide upgrade when participation is decentralized? Should everyone have to update their bitcoin software? What if some miners, nodes and merchants don’t?lurk bitcoin algorithm bitcoin bitcoin рухнул bitcoin ммвб mastercard bitcoin bitcoin ethereum xpub bitcoin дешевеет bitcoin bitcoin ann bitcoin map bitcoin main bitcoin etf
bitcoin desk bitcoin laundering bitcoin phoenix зарегистрироваться bitcoin bitcoin balance
lazy bitcoin
вебмани bitcoin tether 2 bitcoin автокран bus bitcoin история bitcoin doubler bitcoin keepkey bitcoin cryptocurrency wallets bitcoin allstars ru bitcoin monero dwarfpool bitcoin депозит краны monero bitcoin casascius магазин bitcoin
bitcoin 10 торговать bitcoin donate bitcoin moon bitcoin андроид bitcoin flash bitcoin cgminer ethereum bitcoin switzerland bitcoin puzzle bitcoin курсы bitcoin c bitcoin теория bitcoin net
hd bitcoin
ethereum перевод webmoney bitcoin bitcoin start Interested to learn about Blockchain, Bitcoin, and cryptocurrencies? Check out the Blockchain Certification Training and learn them today.bitcoin принцип options bitcoin
bitcoin purchase bitcoin отзывы bitcoin bazar bitcoin автоматически ethereum homestead abi ethereum bitcoin links обменник monero bitcoin андроид linux ethereum raiden ethereum tcc bitcoin ethereum news биткоин bitcoin bitcoin купить ethereum fork
alliance bitcoin продам bitcoin bitcoin explorer bitcoin convert ethereum russia p2pool ethereum kinolix bitcoin exchange bitcoin
hyip bitcoin se*****256k1 ethereum bitcoin instagram bitcoin 30 биржи ethereum bitcoin форекс Due to the unique nature of virtual currencies, there are some inherent advantages to transacting through bitcoin over fiat currencies. Although over a decade old, the digital currency landscape is constantly changing, with most tokens being untested as a medium of exchange, and users should be careful to weigh their benefits and risks. That said, bitcoin is designed to offer users a unique set of advantages over other payment methods. We'll take a closer look at those below, but before we do, it will be useful to explore what bitcoin is. By better understanding how bitcoin was designed, it will be easier to see what the advantages of using bitcoin for payments are.bitcoin кошелек bitcoin youtube bitcoin шахты bitcoin blue bitcoin rpg окупаемость bitcoin tor bitcoin bitcoin investing algorithm bitcoin bitcoin кредиты cryptocurrency tech мерчант bitcoin payeer bitcoin lamborghini bitcoin bitcoin japan bitcoin minergate bitcoin играть ethereum бесплатно
bitcoin apk википедия ethereum bitcoin dollar bitcoin суть
trezor bitcoin faucet bitcoin
tether gps bitcoin cap bitcoin service bitcoin курс bitcoin half bitcoin rotator bitcoin bloomberg blogspot bitcoin exchange cryptocurrency microsoft bitcoin bitcoin mixer bitcoin статья
bitcoin games bitcoin обвал bitcoin mercado
accepts bitcoin bitcoin приложения bitcoin location bitcoin фильм майнинг monero bitcoin настройка ethereum difficulty xpub bitcoin bitcoin collector
ethereum котировки bistler bitcoin
