Fork
When a blockchain splits into two separate chains. Can be planned upgrades (soft fork) or permanent splits creating new coins (hard fork).
Example
Bitcoin Cash was created by a hard fork from Bitcoin in 2017. People who owned Bitcoin got equal amounts of both coins.
Related Terms
Core Concepts
⚖️Soft Fork vs Hard Fork
| Feature | soft Fork | hard Fork |
|---|---|---|
| Compatibility | Backward compatible | Not compatible |
| Upgrade | Optional for nodes | All nodes must upgrade |
| Chain Split | No new coin | Creates new coin |
| Example | SegWit | Bitcoin Cash, Ethereum Classic |