Blockchain hard forks and soft forks

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Published:

I found a good elaboration on blockchain forks from Coindesk, that passage illustrates how Blockchain hard/soft forks were created, and what the potential consequnences these forks may bring.

Hard forks:

  • Hard forks are created by the changes of the protocol such as block size, difficulty.

  • In hard forks, the new version blocks will not accepted by the old version nodes.

  • Hard forks can lead to double-spending transaction in the sense that an UTXO that has been spent on the new-chain can be spent again in the old-chain.

Soft forks:

  • Soft forks are created by the changes of protocol in a way that does not affect the structure. (e.g., tighten the rules, add cosmetic functions)

  • In soft forks, the new version blocks will be accepted by the old version nodes.

  • New version blocks will be seen and accepted by both new version nodes and old version nodes, so the new version blocks will eventually dominate the the longest chain.

Reference:

Check out [Hard Fork vs Soft Fork] for the details.