Catastrophic cryptography goes live, everyone wants to save their skin – Bitcoin Cash (BCH) record on the exchanges
It’s going to hurt for BCH – A possible new „hash war“ is shaping up on the Bitcoin Cash (BCH) network this Sunday, November 15th.
In this prospect of a contentious fork, which could create 2 different cryptos, many people are repatriating their BCH on the crypto stock exchanges ready for the clash to come.
A story of tax that does not pass
To make it short, the Bitcoin Loophole community is divided between those who want to implement an 8% tax on mined block awards and those who categorically reject this forced taxation.
The pro-taxers have grouped together under the banner of Bitcoin Cash ABC (or BCHA) led by Amaury Séchet, while the anti-taxers have allied themselves with Roger Ver, under the name Bitcoin Cash Node (or BCHN).
Faced with the prospect of having two cryptos for the price of one, data from the Chainalysis site clearly indicates that a significant influx of BCHs has landed on cryptos exchange platforms.
Incoming flow of BCH on the exchange platforms
In the last 7 days, $270 million of Bitcoin Cash has been deposited on the crypto exchanges. This is equivalent to just over 1 million BCH. Therefore, if the hard fork were to create a BCHA and a BCHN, the BCH owners would simply have the 2 new cryptos, without any manipulation to do.
All this for nothing?
We will note in passing, still thanks to Chainalysis data, that the BCH exchange volumes have not moved. So there doesn’t seem to be a wave of purchases or conversions to BCH.
As the owners of this BTC fork do not want to sell either (in view of the hard fork and its possible doubling of cryptos), the trading volumes of the last 7 days even constitute a 6-month low.
Trading volumes of the BCHs on the crypto exchanges
So, will all this really lead to a viable demerger? Indeed, if the BCHA camp was already very much in the minority, it even seems now that this type of knots has, so to speak, disappeared.
Indeed, the CoinDance site allows us to see that, out of the last 1,000 mined blocks on Bitcoin Cash, 843 (i.e. 84.3%) were mined by BCHN nodes, and… 0 for those of BCHA.
Distribution of the clients of the nodes that validated the last 100 blocks of Bitcoin Cash
Although 15.7% of the knots still have not chosen their side at D-2, the pro-tax clan seems to have been swept away.
The forks of the unrivalled Bitcoin (BTC) are definitely not doing well. After Craig Wright’s BSV that allows to empty multi-signature wallets because of a code error, it is now the BCH that has seen its community fighting, to the point that its historical developers (Bitcoin ABC) have been ousted.