What Is Hard Fork?

In cryptocurrency, a hard fork is a significant divergence in the blockchain caused by changes in mining, user activity, or rule changes. We are not saying that you have to mine with a fork, but you get the point. While hard forks can be scary, they're a normal part of the evolution of Bitcoin and other cryptocurrencies. They don't just happen randomly, and they're usually caused by new software that changes some aspect of how a cryptocurrency works. So what happens during a hard fork? Well, it depends on whether you're using Bitcoin Core or Bitcoin Cash. If you're using Bitcoin Core and you don't upgrade your software (to remain using the old rules), then every transaction you make will be invalidated by the new rules used by everyone else who upgraded their software. That means that any coins you receive will be lost forever! The term "hard fork" is a bit of a misnomer. It's often used to describe a situation where the blockchain splits into two, but that's only sometimes the case. A hard fork occurs when the blockchain branches into two paths, such that subsequent transactions on one path are not validated on the other. It is also referred to as a chain split. This happens when miners and users refuse to recognize blocks mined by miners using an incompatible protocol or rule change. The original Bitcoin Cash was a hard fork of Bitcoin Classic. Soft forks are backward compatible with older software versions and don't result in a permanent split in the blockchain. They are often used to introduce new functionality or performance improvements without jeopardizing the stability of the overall network. So If you want to keep using Bitcoin Core after a hard fork, you need to upgrade your software before it happens. Otherwise, bad things will happen once again!