Warns of Potential Fork Problems

Announcements, FinTech, Investing, News, Opinion | July 14, 2017 By:

The community site issued a warning on Wednesday via its website, outlining the potential problems that will be created by blockchain updates later this month. It particularly warned traders to halt activity two days before the proposed changes.

The warning indicates the panic that may ensue if bitcoin splits into two camps, those who upgrade the blockchain and those who do not, creating two separate systems. The system is set to take effect at 8 pm Eastern/6 pm Pacific on July 31.

“As a result, some nodes may propagate confirmed transactions that other nodes may not accept or recognize. This may result in unreliable¬†confirmation scoring¬†for an unknown length of time. This means that any bitcoins you receive during this period could disappear from your wallet or be a type of bitcoin that other people will not accept as payment, until the situation is resolved.”

The warning added: “Once the situation is resolved, confirmation scoring will either automatically return to their normal reliability or there will be two (or more) competing versions of bitcoin as a result of a split block chain. In the former case, you may return to using bitcoin normally; in the latter case, you will need to take extra steps in order to begin safely receiving bitcoins again.”