ViaBTC’s Coinex crypto exchange will list Craig Wright’s BSV if a chain split does occur this November. In a statement this Saturday, Coinex said:
“We’ve recently noticed that nChain, an influential company in Bitcoin Cash community, published an announcement of the creation of Bitcoin SV.
Bitcoin-SV (BSV) is the altered version of Bitcoin Cash protocols. BSV is likely to bring a potential fork of Bitcoin Cash by causing incompatibility with Bitcoin Cash network and therefore create a new cryptocurrency asset – Bitcoin-SV (Token: BSV).
Should it happen, all Bitcoin Cash holders will then receive BSV assets against a 1:1 ratio on your BCH assets.”
Wright’s response to it was: “There is NO BCH split. SV will not be a separate fork. It will compete as per the whitepaper on hash power.”
He seems to be under the mistaken belief that hashpower has any say over the rules nodes follow. It doesn’t. The worst it can do is double spend its own coins, something which would be a 51% attack and would attract considerable measures, including changing Proof of Work (PoW) if circumstances warrant it.
As the BitcoinSV client follows different rules to other BCH clients, then the first block mined on BSV creates a new chain with its own nodes, miners, coin, rules and so on.
The split, in effect, duplicates BCH, so you’d have two BCHs. That means, if replay protection is not implemented, if you spend a coin in BCH, then it can be spent again in BSV. This can cause some problems because the ability to replay the transaction might lead to theft of coins if one is not careful.
Usually, therefore, minority coins implement replay protection to gain good will, but not always. ETC, which at the time was seen as an attempted attack on ETH by bitcoin maximalists, did not initially implement replay protection. The chain still split, of course, because the nodes had different rules, with ETC then eventually implementing replay protection as exchanges effectively kept metaphorically shouting at them.
The “war” over the ticker has now already begun, with Amaury Sechet, lead dev of BitcoinABC, publicly stating:
“The bch ticker is not stolen by anyone. ABC produced the code and ViaBTC mined it and listed it on its exchange first. nChain can either find a compromise or create their own chain if they do not like bch.”
BitcoinSV proponents are claiming it is hashpower that decides things like tickers, but that decision of hashpower is limited to only within a chain where all are running the same consensus rules. Where different miners are running different rules, hashpower has no cross chain decision making ability.
BTC’s hashpower, for example, can’t decide what goes on in BCH. The only way they can, and even then limited to double spending, is if that hashpower moved over to BCH by running a BCH client like BitcoinABC.
For a fairly big coin like BCH, we haven’t really seen a scenario like above, but Wright has suggested he might move his hashpower over to BCH to in effect try and orphan blocks. That would be a 51% attack which would in all ways be completely pointless.
Coinex, therefore, seemingly thinks their only choice is to fork off to BSV where they can have 128MB blocks, unlimited op_codes and whatever else.
The question is whether Wright will in fact do so, and the answer isn’t clear, just as it is not clear how he can back down now. He has been calling canonical ordering and all the rest all sorts of names, so he probably can’t keep his own persona and not go off to his own coin.
If he does, there will now be a market. That in effect would translate to dividends for cashers who may be given free money. BCH’s price, thus, shot up some 20% yesterday.
The question however is whether the developers Wright has employed are competent enough to get out the BSV client in time for the hardfork considering they apparently asked for more time.
It may be the case they’ll rush it out, bugs and all, in which case there might be some popcorn and then if it is finally listed, there might be some more popcorn as traders have a fiesta.
Eventually then, BSV becomes just another coin without any real positive differentiator, so everyone moves on after cryptos once more show to the world just how freedom works.