The concept of forks in blockchain technology is quite common and widely used. Forking is basically copying the code and modifying it with the aim of creating a new version or software. Now that you have an overview of what a fork is in blockchain, it is time to dive into this concept. Hard forking involves dynamically changing the protocols and processes of blockchain networks.
Hard fork in blockchain is a common event that blockchain developers use for various purposes. The hard fork working in blockchain can be used as a simple maintenance activity. Regardless of its use, hard fork is an important event that you should be aware of in the blockchain field. Let’s learn more about this concept at a deep level.
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A Look at the Hard Fork
A blockchain hard fork refers to an event that involves a change in programming. Due to such a change, it becomes incompatible with the previous programming. The operation of the hard fork in the blockchain results in the creation of a new blockchain as well as a cryptocurrency. The process may lead to the validation of transactions as well as blocks being classified as valid or invalid. Therefore, the hard fork requires all users who wish to stay on the new chain to upgrade to the latest version of the software.
The rule change that occurs through hard fork can be initiated by blockchain developers. However, the process can also be initiated by blockchain community members. It is essential to note that blockchain hard fork has the potential to give rise to far-reaching effects. Now that you have a clear idea of the specific types, it is time to explore its characteristics and attributes.
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Main features of the Hard Fork
Hard fork in blockchain has a number of unique features. Before diving into how hard fork in blockchain works, you need to familiarize yourself with the concept in depth. Some of the key features of hard fork are as follows:
- Blockchain protocols are changed in a non-retrograde manner. So the change is permanent and
- This process results in the development of entirely new currencies.
- While one branch of the blockchain is the old version, the other part is the newer version which has no resemblance to the old version of the blockchain.
- In blockchain hard fork, there is no fungibility between the new fork and the previous or old cryptocurrency.
- Blockchain hard fork can be considered disruptive in nature as it may give rise to security issues.
How does Hard Fork work in Blockchain?
The hard fork event basically leads to the emergence of a completely new blockchain version, incompatible with the original version. While this can be disruptive, it is not always harmful. In order to understand how hard fork works, you need to have a comprehensive view of blockchain technology.
Blockchain technology involves programs that develop and store information on computer networks. It encompasses a diverse range of software layers. These layers are responsible for performing a wide range of tasks and operations. It is possible to make changes to the underlying programming of the software layers. However, to do so, it is essential that all participants within the blockchain network agree to the same thing.
When a change is released by the developers, it can happen either through a hard fork or a soft fork. Hard fork happens when drastic changes take place. Due to its drastic nature, participants running the old version may be blocked from taking part in the blockchain processes. On the other hand, when it is a soft fork, both the old and new nodes are operational.
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Choices for blockchain participants
In the event of a hard fork, participants or users of blockchain networks must make a choice. One option available to them is to update their software so that it is compatible with the new version. Another option available to them is to not make any updates. If they choose not to make any updates, they can continue using the old version of the blockchain.
The result of a hard fork in the blockchain involves the creation of a permanent chain. It is caused by the division of the previous version of the blockchain into two branches comprising the old version of the blockchain and the new version of the blockchain.
Key steps of the hard fork
Hard fork is initiated when there is a change in the protocols of a blockchain network. In order to have a complete overview of the concept, a sequence of steps has been presented.
- The proposal for changes may be made for various reasons such as resolving security issues or integrating new features.
- Once the changes are agreed, it’s time to do the coding.
- Next, it’s time to choose a particular block number.
- As the particular block number approaches, the notes within the blockchain network are updated to the new or changed protocols.
- After the specific block number arrives, the fork activation takes place.
- Once activation is complete, the blockchain fragmentation takes place into two branches.
Main reasons for blockchain hard fork
Blockchain developers may prefer hard fork in blockchain for many reasons. One of the most common reasons for blockchain hard fork is disagreement among developers. In such a scenario, the specific blockchain fork mechanism serves as a useful method to handle the disagreement. Another common reason for hard fork in blockchain is when there is a need to perform updates on a blockchain network.
In such circumstances, developers have no choice but to use blockchain fork to ensure that the blockchain remains up to date. One can participate in hard fork events in case one wishes to create a new blockchain and cryptocurrency that one controls. The existence of various reasons makes hard fork in blockchain a common practice.
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Advantages of Hard Fork
The hard fork event in the blockchain field can result in many benefits. In order to have a complete overview of the concept, you should be aware of the benefits that can arise within blockchain networks due to a hard fork.
- One of the main benefits is better security. Hard fork can help solve security issues within blockchain networks. Therefore, it can create value for participants within the network. They can perform transactions in a safe and secure manner.
- Can improve the performance of blockchain networks. Creating a new version of a blockchain may have improved features over the previous version.
- This process provides developers with the opportunity to integrate new features into the blockchain. This gives users in the blockchain community the opportunity to pursue diverse visions for their projects.
To understand how hard forks work in blockchain, it is essential to know the associated benefits. This will help you keep an open mind in case of a hard fork.
Disadvantages of Hard Fork
It is true that hard fork can bring a number of benefits. However, it is essential to keep in mind that it can also bring some drawbacks. Blockchain developers as well as members of blockchain communities should be aware of this major drawback.
- One of the main drawbacks of this cryptocurrency is that it can cause confusion among investors. The emergence of a new, similar cryptocurrency can confuse investors and hamper their ability to make transactions.
- Another disadvantage is that it can lead to vulnerabilities within the network. Therefore, the risk of attacks by malicious parties such as hackers and cybercriminals can increase.
- Splitting a blockchain into an old version and a new version can cause value to fluctuate. Therefore, participants may view this as a form of hindrance.
In the event of a blockchain hard fork, a number of negative effects may occur. The disadvantages may decrease the overall effectiveness of the hard fork. It is essential to carefully weigh the pros and cons before determining whether a blockchain hard fork is necessary or not.
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Final thoughts
In blockchain technology, hard forking is a common practice among blockchain developers. Developers or blockchain community members may opt for this process for various reasons like adding new features or functionalities, resolving disagreements or conflicts, etc. To understand how hard forking works, it is imperative to consider both the positive and negative implications.
Blockchain developers need to have a good understanding of hard forks so that they can engage in them when necessary. In the case of hard forks, participants must make their choice carefully regarding whether to use the old or new version of the blockchain. You can learn more about the concept of hard forks and their importance in the blockchain landscape.
*Disclaimer: This article should not be considered investment advice and is not intended to be. The statements made in this article do not constitute investment advice and should not be relied upon as such. 101 Blockchains will not be liable for any losses incurred by anyone who relies on this article. Do your own research!
