Fork Mean In Cryptocurrency
A fork in cryptocurrency refers to a change in the underlying code of a blockchain.
This change results in two separate versions of the blockchain, each with its own set of rules and transactions.
Forks can occur due to a disagreement among developers or due to an intentional change in the code.
Some popular cryptocurrency forks include Bitcoin Cash, Ethereum Classic, and Litecoin.
When a fork occurs, existing holders of the original cryptocurrency will automatically receive the new version in equal amounts.
For example, if you had 1 Bitcoin prior to the Bitcoin Cash fork, you would now have 1 Bitcoin and 1 Bitcoin Cash.
The value of the new cryptocurrency is determined by the market, and can vary widely depending on demand.
In some cases, the new cryptocurrency may have a different purpose or use case compared to the original.
For instance, Bitcoin Cash was created to address scalability issues in the original Bitcoin blockchain.
When a fork occurs, it is important for cryptocurrency users to keep their private keys secure, as they will need them to access their new coins.
Some exchanges and wallets will automatically credit users with the new coins, while others may require users to take action.