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Bitcoin Civil War Could Create Cryptocurrency Clone

Right now, Bitcoin is on the verge of a transition. While it is the leading cryptocurrency in the market, two factions that function as the governing bodies behind it can’t seem to agree which direction it should go next. As a result of the power struggle, the currency could split and create a clone that could divide the investor community driving Bitcoin’s prices.

For a bit of context, the power behind the currency basically hinges on the developers and the miners. The developers control the core of Bitcoin while the miners, well, mine the coins. Both sides have differing opinions when it comes to what the currency should be in the future and this could lead to a split, Business Insider reports.

As to what they even want, the developers want to limit the size of the blocks in order to make hacking less of a threat. The miners want the blocks to get bigger, which should make it faster. Anyone would a grasp of the concept behind cryptocurrency will immediately see that the two sides are now at an impasse.

A middle ground was actually already proposed with something called SegWit2x. It would basically increase the size of the blocks a little bit. 2MB, to be specific, and most everyone was actually on board with the idea. Then came Bitcoin Cash, which is another proposed alternative, and the game changed once again.

The premise behind Cash is that investors who have money in Bitcoin can then use the alternative to make the currency into usable tender, Reuters reports. This would need to be backed by a government or propped up by another digital currency such as Ethereum.

As the most likely turn out, it’s expected that Bitcoin is going to lose a lot of its value shortly following the split. On the other hand, it could lead the way to the currency finally being able to move forward.

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