Bitcoin Split: What is Bitcoin Segwit?

Why Bitcoin Prices Are so Volatile

Bitcoin Split  Anyone interested in cryptocurrencies has seen strange terms like “Bitcoin split,” “BIP 148 UASF Bitcoin,” and “Bitcoin SegWit.”

FOREX INVESTORS BUZZ Bitcoin Split  Anyone interested in cryptocurrencies has seen strange terms like “Bitcoin split,” “BIP 148 UASF Bitcoin,” and “Bitcoin SegWit.” What do they mean? More importantly, are they connected to the sudden increase in Bitcoin volatility?

The short answer to the second question is yes. They are related to Bitcoin volatility.

What is Bitcoin SegWit?

The proposed change is called “Segregated Witness” (SegWit). It tweaks Bitcoin’s code to allow more data in each block, thus making the platform faster. Transfer times would be a fraction of what they are right now.

It’s like if you came to a river, and there was a ferry crossing to the other side. For some reason or another, the ferry only takes TWO people at a time. It has space for FOUR, but it’s only taking two. Obviously a traffic jam starts to build on this side of the river.



Bitcoin Split

READ  Bitcoin Price Prediction 2018: Should You Invest in Bitcoin?
READ  Bitcoin Surpasses $7,300 - Nov 2nd Cryptocurrency News
READ  Interview: Ethereum Co-Founder Explains How Ether Could Surpass Bitcoin

 

Now imagine that someone yells out “Hey! Why don’t you take four people at a time! Then we’ll all get across faster!”

Why is August 1 Important for Bitcoin?

The deadline for SegWit adoption is August 1, 2017. If the community of Bitcoin developers and miners does not reach an agreement by that point, the currency will likely split.

This doomsday scenario is called a “user activated soft fork” (UASF). It would cause major confusion in Bitcoin markets, especially since Coinbase and other exchanges have not explained how they would handle a Bitcoin split.

You’ll also see the term “UASF” lumped in with “BIP 148” because that is the protocol that pushes it into action.

This doomsday scenario is called a “user activated soft fork” (UASF). It would cause major confusion in Bitcoin markets, especially since Coinbase and other exchanges have not explained how they would handle a Bitcoin split.

You’ll also see the term “UASF” lumped in with “BIP 148” because that is the protocol that pushes it into action.

Should You Worry About Bitcoin August 1 Split?

Oddly enough, I’m not that worried about the August 1 deadline. I know it injected a lot of volatility into Bitcoin prices (which scares investors), but the data is optimistic.

The number to watch is the percentage of blocks signalling support for Bitcoin SegWit.

|Chart | Calendar   | TRADE NOW | FORCAST | cryptocurrency 

Market Quotes by TradingView

Like up on FACEBOOK


logo



Click here for reuse options!
Copyright 2017 Investors Buz

Jadtecnic

Richard Dambrosi (JADTECNIC) Has Been Sharing FOREX INVESTORS ANALYSIS FORECAST since 2011. Editors and Founder of InvestorsBuz.com, has a passion for Forex Social Sharing analysis and Market Trends Such as Self Driving Cars, Electric Cars, Medical Marijuana, 3d printing and Cloud computing, Refers to Readers as BUZ INVESTORS.

Leave a Reply

Create Account



Log In Your Account