Bitcoin SV — The 9th largest cryptocurrency and how it came into existence

Bitcoin SV — The 9th largest cryptocurrency and how it came into existence

When Bitcoin was launched publicly back in 2009 by Satoshi Nakamoto, it only had a block size of 1MB and could only handle 4-7 transactions per second. There were two reasons why Satoshi had chosen 1 MB block size limit:

 

1) Smaller blocks are easier to broadcast to the whole network in a race condition where everyone is trying to win the block.
2) The bandwidth back in 2009 was very expensive. Propagation of larger blocks would require more bandwidth, thus increasing the cost for the miners.

 

The adoption of Bitcoin in the early days was very low, but it grew rapidly and exceeded the expectations of the Bitcoin network. This resulted in new debates and initiatives around scalability, so that the network can handle more transactions per second and accommodate the exponential growth in the crypto ecosystem.

 

 

 

 

Bitcoin Chain Split and the emergence of Bitcoin SV

 

 

However, some people just wanted to make the block size bigger than 1MB, and therefore a hard fork happened which created Bitcoin Cash (BCH). Bitcoin Cash initially had 8 MB block size and it was increased to 32 MB to accommodate more transactions. With 32 MB block size, Bitcoin Cash could handle up to 120 transactions per second as opposed to 7 transactions per second in case of Bitcoin.

 

In 2018, another ‘civil war’ happened within the Bitcoin Cash ecosystem where one party, Craig Wright, wanted to increase the block size even further. This created another hard fork called Bitcoin SV or Bitcoin Satoshi’s Vision. Bitcoin SV has massive 128 MB blocks and is looking to increase the block size to 1 GB, which would be able to handle up to 2 Million transactions per second. These bigger 1 GB blocks are still in the experimental phase, but the existing experiments have shown positive results.

 

 

Conclusion

 

 

Currently, Bitcoin SV is the 9th largest cryptocurrency with market cap surpassing $2.7 billion USD with a daily 24h trading volume of just over $335 Million USD. As of now, Bitcoin SV is trading for $154.9 and the analysts are positive for good future projections in the longer run.

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