Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multiplicity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the largest concern among traders, however, was not how the two assets would rival given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two contesting coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two contesting technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m witnessing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold sustained before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multiplicity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the thickest concern among traders, however, was not how the two assets would rival given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two contesting coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two contesting technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio hurting losses. I don’t like what I’m watching so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a stringent set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold sustained before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the fattest concern among traders, however, was not how the two assets would rival given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two challenging coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two rivaling technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively come in into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio hurting losses. I don’t like what I’m watching so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a stir that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold stable before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multiplicity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the thickest concern among traders, however, was not how the two assets would contest given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two rivaling coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two rivaling technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio hurting losses. I don’t like what I’m observing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a stringent set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold sustained before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multiplicity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the largest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two contesting coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two challenging technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m witnessing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a stir that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the fattest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two contesting coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two challenging technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m observing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a stringent set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a stir that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multitude of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the fattest concern among traders, however, was not how the two assets would contest given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two challenging coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two contesting technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m witnessing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove thicker blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multiplicity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the fattest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two contesting coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two challenging technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively come in into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m witnessing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold stable before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multiplicity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the largest concern among traders, however, was not how the two assets would rival given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two challenging coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two rivaling technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m witnessing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a stir that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multitude of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the largest concern among traders, however, was not how the two assets would contest given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two rivaling coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two rivaling technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m watching so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove thicker blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the thickest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two rivaling coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two rivaling technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m eyeing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a stringent set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a multitude of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the largest concern among traders, however, was not how the two assets would contest given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two challenging coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two challenging technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively come in into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio hurting losses. I don’t like what I’m watching so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a stir that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold constant before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the fattest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two contesting coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two contesting technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively come in into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m watching so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove thicker blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold stable before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the thickest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two challenging coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two challenging technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively come in into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio hurting losses. I don’t like what I’m observing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a rigorous set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove fatter blocks are the best solution for enlargening network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a budge that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold stable before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instant and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantaneously dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the largest concern among traders, however, was not how the two assets would rival given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two challenging coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may budge from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two contesting technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively come in into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio hurting losses. I don’t like what I’m eyeing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a stringent set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

Will Bitcoin Cash Influence the Bitcoin Price? Traders Split on Possible Fork

Без кейворда

Jul 31, two thousand seventeen at 05:15 UTC by Pete Rizzo

Bitcoin traders may soon be able to bet on their preferred version of the blockchain.

As if a years-long debate over the network’s technical roadmap wasn’t dramatic enough, Tuesday could see yet another twist in bitcoin’s scaling debate. That’s when a group of miners and developers say they will go as far as to create an alternative network to prove thicker blocks are the best solution for enhancing network capacity.

Called Bitcoin Cash (BCC), the effort will effectively fork bitcoin’s existing software and transaction history, and in the process, give every bitcoin user fresh cryptocurrency tokens on a fresh blockchain with different rules.

Should users own two BTC, this means they’ll now be able to claim two BCC on the Bitcoin Cash blockchain, a stir that could generate millions of dollars in fresh value for traders.

Not without precedent, a similar event took place on ethereum last summer, when members of that community created a fresh cryptocurrency to protest a design decision by developers.

Yet if you were expecting that sort of uncertainty to be scaring away traders, according to Ripple gateway operator Rafael Olaio, the end result is anything but. Given the creation of the fresh network, Olaio and others expect traders to hold stable before claiming their fresh funds.

He told CoinDesk:

“People want to dual their coins. Nobody is selling bitcoin.”

Overall, analysts suggested a diversity of opinions on what could develop in the days and months ahead, commenting on what they believe could be the instantaneous and long-term influence of the creation of a fresh, widely traded cryptocurrency bearing resemblance to bitcoin.

However, it’s significant to note that not all traders believe Bitcoin Cash will meet this definition.

Arthur Hayes, founder of crypto derivatives trading platform BitMEX, for example, noted that “theoretically” the launch of Bitcoin Cash should cause bitcoin’s price to drop. Still, he questions whether this indeed will happen given that, historically, traders have not been kind to assets that have attempted to fork away from bitcoin.

“There have been many similar distributions based on bitcoin ownership that caused no such drop in price, including bitcoin clams, byteball, etc. I think the Bitcoin Cash distribution will have minimal to no influence on the bitcoin price,” he said.

“I don’t believe most holders expect longevity of this chain past the point at which they instantly dump their ‘free money’ to purchase bitcoin.”

Consumer confusion

Perhaps the thickest concern among traders, however, was not how the two assets would challenge given a level playing field, but what might happen if the market doesn’t provide such equity.

Charles Hayter, co-founder of crypto exchange service CryptoCompare, for example, noted that he believes consumers may be misled by the option to choose inbetween two rivaling coins – and he wasn’t alone.

“In the long term, these two variants will cause confusion with their similar naming which no doubt will cause some problems,” he said.

Marc Van der Chijs, a Dutch serial entrepreneur and VC, noted that he believes bad actors may even maliciously seek to create confusion inbetween the two assets as a way to profit.

“I could imagine scammers selling people ‘bitcoin with a discount’ and then providing them BCC instead of BTC,” he told CoinDesk. “Those stories will make potential retail investors even more worried about buying their very first coins.”

Because of issues like these, and others perhaps unforeseen, Van der Chijs said he expects the combined price of bitcoin and Bitcoin Cash to fall below $Two,700, the average latest price of bitcoin as observed on the CoinDesk Bitcoin Price Index (BPI).

“Because of uncertainty, people may stir from BTC and BCC to ETH or other coins. So, I don’t think this is good for the price of bitcoin,” he said.

No ETC

Still, other market observers sought to stress that a bitcoin fork might be less competitive against the larger bitcoin cryptocurrency because of its entrenched network effect.

Unlike ethereum classic, which split off of an ethereum network that was less than a year into its operation, the argument goes that the BTC price will remain more sturdy simply because it already benefits from a broader network of stakeholders and more developed infrastructure.

“Bitcoin is more like currency, not like ethereum. A lot of infrastructure such as payment services are built and implemented in many places already,” said Takao Asayama, CEO of cryptocurrency exchange Zaif.

Kevin Zhou, operator of crypto hedge fund Galois Capital, responded similarly, arguing that he believes the fork will be “lopsided” in how it allocates the underlying network effect inbetween the two rivaling technologies.

Still, Zhou’s comments suggest he sees this as a positive, potentially enabling existing bitcoin users to align more capital with their preferred technical specifications.

“This kind of differentiation permits capital to selectively inject into either side without buying the combined package where it may not have entered,” he said.

What to expect

As for what could happen now, it seems it’s anyone’s guess.

While miners and developers are claiming a desire to go through with the split, it’s still possible that the code necessary to create the break won’t be introduced at all. Others worry that if it does go through, it could usher in a period of high volatility that, while benefitting advanced traders, turns off more casual investors.

Investor Vinny Lingham, long known for his bitcoin price predictions, indicated that he’d be keeping most of his capital out of the markets ahead of what he expects will be a “turbulent few months” for the protocol.

“High risk equals high prize but also chance of portfolio bruising losses. I don’t like what I’m eyeing so I’m going to sit on the sidelines a bit longer,” he said.

As for practical advice, Zhou, like others, stressed that traders who want to take part in any trading should withdraw their bitcoin from exchanges on the off-chance they aren’t suggesting support for the fresh cryptocurrency.

While he recommended this as the fastest way to “dump BCC,” the advice is still useful for bitcoin traders who want to speculate along partisan lines.

“I’d recommend getting your BTC off exchanges.”

The leader in blockchain news, CoinDesk is an independent media outlet that strives for the highest journalistic standards and abides by a stringent set of editorial policies. Interested in suggesting your expertise or insights to our reporting? Contact us at [email protected] .

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