Bitcoin price just jumped to a new all time high of over $10,000 CDN at press release time. This comes as news that the Hard Fork has been called off and that there should be no disruptions or turbulence for the cryptocurrency in November.
Bitcoin has always struggled with the seemingly trivial question of how to allow more transactions through the network. In May of this year a hard fork was proposed splitting the network and creating two competing chains. The SegWit2x solution for the network problem was called off today, just eight days away from the proposed split. A brief email sent by a lead Segwit developer has offered a compromise creating a Segwit and a hard fork 2mb block:
"Our goal has always been a smooth upgrade for Bitcoin. Although we strongly believe in the need for a larger block size, there is something we believe is even more important: keeping the community together. Unfortunately, it is clear that we have not built sufficient consensus for a clean block size upgrade at this time. Continuing on the current path could divide the community and be a setback to Bitcoin’s growth. This was never the goal of Segwit2x. ... We are suspending our plans for the upcoming 2MB upgrade."
This move of unity comes shortly after the CME announced earlier it would launch Bitcoin futures in the fourth quarter and coupled with the suspension of the hard fork sent Bitcoin prices up nearly $300 US to a new all time high and sent the market cap north of $125 billion.
The constant debate on how to scale the network and provide cheaper and faster transaction rates has still to be completely determined. A good sign for the cryptocurrency suggests that everyone is willing to work things out and decide as a group what’s best, rather than force options on the community. It may have been a strategic withdraw propelling Bitcoin closer to that $10,000 and choose to not hard fork the chain but one thing is for certain, we have not seen the last of network scaling debates and hard fork propositions.