Homework on Soft and Hard Forks - Questions

Blockchain and Bitcoin 101
#2731

  1. What is the difference between a softfork and a hardfork? A hardfork update makes previous invalid blocks valid and a soft fork makes previous valid blocks invalid.

  2. What are some of the reasons why you would do a hardfork? You would do a hardfork update if you were wanting to expand the rules/protocols. If you want to create a new currency.

  3. What are some of the risks with performing a hardfork? The chain is split and the community is split based on who wants to mine on the new update and who doesn’t. That will create a separate chain and in doing so you loose hash power which can make the network less secure as you don’t have as many miners now mining on the same chain with the same rules and protocol.

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#2732
  1. A hard fork is an update which makes previous invalid blocks valid whereas a soft fort makes previous valid blocks invalid.
  2. A reason for a hard fork is when you want to expand the rule set
  3. Splitting the chain and dividing the community. In addition, the network becomes less secure.
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#2733
  1. What is the difference between a softfork and a hardfork?

Softfork: previously valid blocks become invalid after a softfork update. Contraction of rules. Lack of validation due to confusion on the new rules by the nodes left behind. Non-democratic. Non split of chain if more than 50% of nodes update. Keeps the community.

Hardfork: previously invalid blocks become valid after a hardfork update. Expansion of rules. Democratic. Split chain. Division of community.

  1. What are some of the reasons why you would do a hardfork?
    If developers or users decide that there is the need for a complete/radical update/change of the protocol, or to bring in a new currency.

  2. What are some of the risks with performing a hardfork?
    Lower security due to hash power split, split chain, and division of the community because a hard fork requires all nodes/users/computers to upgrade to the latest version of the protocol software, and many nodes will be left behind when the chain splits.

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#2734

The difference between a soft fork and a hard fork lies on whether the new validation rules are more or less strict than the previous ones. If they are stricter, as long as the majority of nodes follow the new rules, the valid blockchain will become the one with the new rules. If the same stricter rules are deployed but the majority of nodes keep the original validation rules, a fork will happen. On the other hand, if the new rules are less strict, a fork will be created no matter what, as nodes with the old rules will keep rejecting blocks that comply with the new rules.

A hard fork is in a way more democratic, as it forces the nodes to chose one end of the fork or the other. Also, maybe the problem that has arisen can only be solved with less strict validation rules, so a soft fork would not be possible.

The main risk of a hard fork is that as the community is split, the hash power is also split. This makes both blockchains relatively weaker and less safe than before the fork.

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#2735

  1. Soft forks can do updates that are supported by the current ruleset. Updates that aren’t supported by the current rule set are hard forks.

  2. If you want to implement some improvements that aren’t supported by the current rule set you need a hard fork.

  3. A hard fork leads to a chain split that has lower security because there are fewer miners the supports the ruleset in the hard fork.

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#2736

  1. the difference is the outcome of them. The hard fork makes previous invalid blocks valid and create a new chain with that. A soft fork makes previous valid blocks invalid and only create a new chain if the majority accept the new update.

  2. A change of rules,

  3. That you split the currency and also the community. That you decrease the network and with that you decrease the hashrate which decrease the security.

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#2737
  1. What is the difference between a softfork and a hardfork?

A soft fork is when you make previous valid blocks invalid, and hardfork is when you make previous invalid blocks valid.

  1. What are some of the reasons why you would do a hardfork?

When we want to change consensus.

  1. What are some of the risks with performing a hardfork?

Hash power splits between two chains and lowering security.

1 Like
#2738
  1. Soft fork makes previously valid blocks invalid, this aims to tighten the consensus rules. None updated nodes can still process transactions and push new blocks to the blockchain but must adhere to the new rules or get there blocks rejected.

Hard fork is an update that makes invalid blocks valid and requires 100 percent of network to update. If the update is not done they cannot get there blocks accepted to the blockchain.

  1. Best used to change or improve an existing protocol.

3.Not a mutual decision to hard fork and it can split the community, splits the chain, Hashpower split.

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#2739

1.What is the difference between a softfork and a hardfork?

SF> previously valid blocks invalid>update tightens consensus
HF< previously invalid blocks valid<100% agree update

2.What are some of the reasons why you would do a hardfork?

Clear update, some say more democratic.

3.What are some of the risks with performing a hard fork?

Split chain, split community and split hash power.

1 Like
#2740

  • What is the difference between a softfork and a hardfork?
    A softfork makes previously valid blocks invalid by contraction of the rule set, whereas a hardfork makes previously invalid blocks valid by expansion of the rule set. A softfork does not necessarily split the blockchain, unless more than 50% of the network updates, where a hardfork always creates a new blockchain. A hardfork is much more democratic, as those devs who vote for the change in code can move to the new cryptocurrency and those who do not want to, keep their current development environment intact. However, this does cause a split in the community.

  • What are some of the reasons why you would do a hardfork?
    A hardfork would occur when the development community of a cryptocurrency is split as to a proposed change to the rule set, such as the BCH split from BTC to change the block size of a BTC block, for the purpose of increasing the transaction throughput time (speed of transactions). Other reasons could be to fix bugs or for other performance.functionality improvements.

  • What are some of the risks with performing a hardfork?
    Splitting the community and creating a loss of value or demand for the cryptocurrency.

1 Like
#2741

  1. What is the difference between a softfork and a hardfork?
    Hardfork makes previously invalid blocks valid (expansion). Softfork makes previously valid blocks invalid (contraction).

  2. What are some of the reasons why you would do a hardfork?
    New community with new currency. Also to add features that werent in the original blockchain. Miners are able to decide whether or not to update based on the new consensus rules.

  3. What are some of the risks with performing a hardfork?
    Split chain and lower level of security due to the drop of the hashrate. You also split the community.

1 Like
#2742

  1. A softfork makes a valid block and invalid block and a hardfork makes an invalid block a valid block

  2. A hardfork is necessary when the consensus rules change.

  3. There is security risk because minors are split between two forks thus reducing the number of nodes verifying the blocks (aka hash power split).

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#2743
  1. Hard Fork occurs when following an update previously invalid blocks are considered valid whereas Soft Fork forms when previously valid blocks are considered invalid. HF -expansion SF - contraction
  2. to improve functionality, increase the block size and also improve scalability. It can be also a foundation for a new currency.
  3. reduces security, splits the chain, the community and the hash power
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#2744

  1. A hard fork makes previously invalid blocks valid and a soft fork makes previously valid blocks invalid.

    • a clear update of consensus rules
    • a new currency
    • split of chain leads to split of community
    • decreased hash power and security
2 Likes
#2745

  1. Soft fork makes invalid blocks valid. Hard fork makes valid blocks invalid. This corresponds to the protocol being updated upon the rules.

  2. Reasons for example would be to implement correcting important security risks found in older versions of the software, to add new functionality. It would allow invalid blocks to be become valid.

  3. Risks would be that the blockchain will split in two parallel blockchains. Miners, merchants, users (via wallets and other software), etc. that did not upgrade will support/use blockchain A and miners, merchants, users, etc. that did upgrade will support/use blockchain B.

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#2746
  1. The difference is that a hard fork is an expansion of the ruleset whereas a soft fort is a contraction of the ruleset.
  2. To avoid confusion and be democratic about the new direction of the coin.
  3. It will split the chain in 2, and thus will cut the hash power in half as well which means halving the security of the network.
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#2747
  1. What is the difference between a soft fork and a hard fork?

With the soft fork, blocks that were previously valid become invalid (consensus rules get tighter), and with hard fork, blocks that were previously invalid, become valid (consensus rules are expanded). Also, with the hard fork, 100% of the nodes in the network have to be updated, while with the soft fork, only the majority (>50%) need to be updated. Another important thing is that hard forks will usually result in a new coin, while soft fork will only produce an update to the existing chain, such as segwit.

  1. What are some of the reasons why you would do a hard fork?

Usually to update consensus rules and to expand the network to include some previously rejected blocks. Most importantly, hard fork is a good solution when a conflict within mining community occurs, as the hard fork can produce a new coin, with the updated consensus.

  1. What are some of the risks with performing a hard fork?

In the process of hard fork, the hashpower is divided and weakened, therefore impacting network’s security. Also, it presents a split within the community.

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#2748
  1. What is the difference between a softfork and a hardfork?
  2. What are some of the reasons why you would do a hardfork?
  3. What are some of the risks with performing a hardfork?
    1 Hard fork expands the rule set , where previous invalid blocks can be seen as valid. A soft fork is the opposite in which the rules are contradicted, previous valid blocks are invalid.
    2 A change in general agreement on the chain/
    3 This will split the community furthermore security will be lowered.
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#2749

  1. A hard fork is an expansion of the rule set and previous invalid blocks are made valid. Hard forks make changes that don’t work within the current rule set. Whereas a soft fork is a contraction of the rule set and valid blocks are now invalid. Soft forks make changes that can work inside the current rule set.

  2. To improve performance and consensus rules.

  3. It reduces security of the network as hash power is reduced for each chain. It results in a split community\falling trust in the coin/token as a result.

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#2750

  1. Hard Fork makes previously invalid blocks valid and soft fork makes valid blocks invalid.

  2. A change in the consensus and the vision.

  3. Chain split, Community split, Hash power split (less secure network)

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