If you haven’t been following cryptocurrency closely, you may have missed it. For those of us that do, it was enough to get us sweating. In what seemed to be a coordinated effort, Bitcoin Cash attacked Bitcoin Core. The result of the attack led to Bit-Cash being substantially more profitable to mine than Bit-core was for most of the weekend. Bit-core dropped in value from a high peak of 7.8k down to a bothersome 5.4k, all while Bit-Cash shot up in value from around $600 per unit to over 2k.
Here is a video that will give you some more information on how exactly this attack worked.
Shortly after the attack there was an adjustment to the code of Bit-Cash that made it harder for that kind of thing to take place in the future, however many Bit-Core holders that bit and dumped their Bit-Core for Bit-Cash are likely not happy now – as the value of Bit-Core now sits at close to 6.7k, and Bit-Cash has fallen to under $1300 per unit (still higher than the $600 it started at, though!)
It was quite a digital battleground. The transparency of the Bitcoin network made it possible to see what was being attacked, and how. It was literally watching the drama unfold in real time. What was the most interesting part of this to me, however, was the activity inside the respective sub-reddits.
https://www.reddit.com/r/Bitcoin/ – This is primarily filled with Bit-Core supporters. The /r/BTC community will say they moderate heavily to keep down any propaganda that’s meant to spread FUD (Fear, Uncertainty, and Doubt, which can be crippling to a digital currency still in the proof of model phase.) But for the most part discussion here is somewhat tame, questions, information, memes, etc.
https://www.reddit.com/r/btc/ – This is primarily filled with Bit-Cash supporters. It seems to be a tight-knit community, and there is a cool tipping bot mechanism that they use, to give subscribers Bitcoin Cash when there’s a comment or post they appreciate. However, it seems that most of the posts in this sub-reddit are focused toward attacking Bitcoin Core in some way shape or form.
I won’t get into the messy details of what the attack entailed (see the video above) but part of it was to flood the Bitcoin network, to raise processing fees and extend the wait for transfer times. Then, the Sub-Reddits started their social media propaganda, it felt like almost instantly /r/Bitcoin was inundated with posts talking about the fees and long waits, and it was all anyone on /r/BTC could talk about.
Regardless of which side you take, it’s pretty obvious to most that Bitcoin Cash is far more centralized than is let on, and even publications like Forbes are picking sides.
It’s an interesting look at the dynamics of a monetary system free of government intervention, it’s certainly a bit more “wild wild west” than some are used to, but it’s important to remember something when you’re looking into situations like these and making a judgement call: While this is not the first attack on Bitcoin, nor is it the last, Bitcoin is still a young concept in retrospect. A lot of the issues within the Cryptocurrency code are well known by the developers, and solutions are being worked on as we speak. Even with its weaknesses, nothing to date has been strong enough to bring the Cryptocurrency that has seemed to have taken the world by fire down.
Sit back, strap in, and watch as the powers that are poised to revolutionize the world do battle with themselves, and the story of cryptocurrency continues to be written in real time for the world to see. As for this attack, most people don’t think it will have many egregious long-term effects on Bitcore Core as a whole(video linked below), but it’s never fun to see something you support (Cryptocurrency in general) start to go to war with itself before it even reaches a percentage of its potential.
You can read more from Vinny Marshall on Think Liberty here.