what is segwit bitcoin future?????hard fork vs soft fork????????????steemCreated with Sketch.

in #bitcoin9 years ago

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SegWit, is the name used for a soft fork change in the transaction format of the cryptocurrency Bitcoin which has already been implemented on currencies like lite coin ,digi bite etc

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Hard fork

As per CoinDesk, a hard fork is a change of rules that allows to create new blocks not considered valid by the older software.[11] As per Investopedia, a hard fork term refers to a situation when a blockchain splits into two separate chains in consequence of the use of two distinct sets of rules trying to govern the system
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Bitcoin XT and Bitcoin Classic both proposed a block size limit parameter increase called a "hard fork" by Core contributor Eric Lombrozo as a method to improve scalability, however support for both proposals fell over time.[13] Bitcoin Unlimited also proposes to adjust a block size limit, which may result in a hard fork.

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A hard fork can split a network if all the network participants don't follow the fork. For example, Ethereum Classic came into existence as a result of the hard fork of the Ethereum network, which was a response to the DAO hack

soft fork
As per CoinDesk, in contrast to a hard fork, a soft fork is a change of rules that creates blocks recognized as valid by the old software.As per Investopedia, a soft fork can also split the network when non-upgraded software creates blocks not considered valid by the new rules.

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Segregated Witness is an example of a soft fork proposal. Blockstream co-founder and developer Pieter Wuille proposed Segregated Witness in December 2015. Segregated Witness (SegWit) is an update aimed at solving transaction malleability, a known quirk in the bitcoin software. Segregated Witness is a system by which the signature data is segregated from other transaction data. Segregated Witness has been proposed as a solution for scaling, and has impacts in two ways. First, CoinTelegraph predicts it to expand capacity in the range of about two megabytes immediately after SegWit’s activation (compared to bitcoin's current one megabyte capacity).not in citation given] Second, by solving transaction malleability, CoinTelegraph supposes SegWit to allow new second-layer solutions on top of bitcoin.[18][not in citation given]

A user-activated soft fork (UASF) is a controversial idea that explores how to perform a blockchain upgrade that is not supported by those who provide the network's hashing power.

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