Ethereum Classic Fork
One of the most illustrative forks of a crypto currency happened in 2016. A bug in the well known and widely used Ethereum wallet was exploited and about 12 million Ether (then $30 million) was taken.
After patching the bug, most of the community decided to do a hardfork to “reset” the blockchain back to before the exploit occurred. They essential went back in time and started working again from the ledger as it existed at a previous moment in time.
About 15% of the community seemed to believe that the immutability of the blockchain must be a foundational principle, and that undoing transactions manually, even criminal ones, was a slippery slope.
Thus emerged Ethereum Classic.
Continue reading “An Incomplete History of Crypto Currency Forks”
Bitcoin is open source. That means the code is available in a human-readable format. A good programmer, or team of programmers can study it and see exactly how it works. Most commercial software is not open source. It is only available to you in machine-readable format, so you don’t know precisely how it works.
Openness is another reason to believe in the efficacy of crypto currencies.
Continue reading “Beginner Breadcrumbs #2 – Clones and Forks”
What is Bitcoin?
– Decentralized digital money.
– The first and most popular use of a blockchain (as money).
What is a Blockchain?
My favorites definition comes from Etherum founder Vitalik Buterin:
– A distributed accounting system of digital tokens so secure that not even state actors can interfere with it.
Bitcoin represents 55% of the value of all crypto currencies (ie blockchain based digital tokens). The % is dropping, though the price keeps increasing — which tells you how quickly some of the others are gaining steam.
What can a Blockchain do?
Continue reading “Beginner Breadcrumbs #1 What and why blockchain?”