Bitcoin is set to Undergo [Another] Hardfork to Create ‘Bitcoin Atom’

Since the creation of Bitcoin by Satoshi Nakamoto, there have been several changes to the underlying protocol and new projects have been generated from this original protocol. Litecoin, Dash, Bitcoin Cash, Bitcoin Gold among others have all found their existence with each of them demanding particular improvements of Bitcoin.

In its current state, the Bitcoin blockchain is faced with a number of weaknesses that have drawn huge criticism to the most popular front-runner and blockchain in existence. This is not a surprise since even Satoshi himself, from the beginning, made it clear that he was open to discussing his idea. The inherent weaknesses identified have led to several predictions by opposing groups of the possible depreciation of Bitcoin as NODC.

Speed
The speed with which transactions are confirmed today on the Bitcoin blockchain is far from what it was two years ago. Deferred transactions have become a common scenario on the Bitcoin blockchain, leaving users frustrated most of the time. This development is considered the main reason why cryptocurrency is not suitable for trading purposes, coupled with its high rate of volatility. Apparently, to encourage traditional adoption, the value at the time of execution of a transaction should not vary from the time of receipt. This is not really the case today because Bitcoin transactions take several hours, and sometimes days to be confirmed. Several arguments have emerged as a result of this weakness and innovations such as SegWit and even the possible hardfork that gave birth to Bitcoin Cash have all been based on network efficiency.

Cost of the transaction
Transaction fees have become a fright in the Bitcoin ecosystem. The fees are often so high that they can be called ridiculous. Technically, Bitcoin transaction fees are determined based on the number of transactions and the size in kilobytes of each transaction. However, these fees are not given to any central authority, but rather to minors as a reward for the confirmation of the transaction. As a result, transactions with higher inputs will require more work, so during periods of increased market volatility, as is generally the case today, miners are attracted to transactions with fewer inputs. This implies less work for them, so transactions with higher numbers of inputs (which are generally more popular) will have to pay higher fees in order to appear attractive to minors.

These fees most often deny the hypothesis of peer-to-peer transactions as a less expensive method of transfer.

Quasi-centralization
The Bitcoin blockchain is a decentralized platform, at least on purpose. However, the recent configuration of the ecosystem leaves the majority of mining powers in the hands of a few individuals. As a community governed by consensus, this implies that these few miners who control most of the hash power still call the shots. Many say this gives the community a vision of a centralized system and as such, works like this.

Another hardfork - Bitcoin Atom
The Bitcoin blockchain is about to experience another fortress by an anonymous team claiming to defend the original principles of Satoshi Nakamoto as they create Bitcoin Atom (BCA).

According to the leader of the team who chooses to remain anonymous, providing a solution to the dual problem of speed and cost, the protocol will perform both chain and off-line mechanisms (i.e. atomic exchanges). It notes that even if centralization is a less obvious weakness for Bitcoin, the risks posed by the exchanges on which cryptocurrency is generally dealt with is a sufficient concern for the industry.

"The centralization is less obvious but the problem with the main transfer of value in the crypto world is that of exchanges.Centralized exchanges can be hacked or disappear or be stopped by the regulators, and decentralized exchanges such as Etherdelta do not exchange bitcoin and only trade ERC-20 chips, and even that can be pirated, "he says.

The Bitcoin Atom team claims to include protocol-level exchange capabilities on the Bitcoin nodes itself, so no one can control the exchange but the system itself.

This protocol, however, will combine both proof of work and proof of wagering that will be based on the old Bitcoin code base, unlike similar implementations before it.

The fork is expected to happen between January 24th and 25th 2018 at Block 505 888.