A fork of a fork of a fork? With Friday’s birth of a new coin called “bitcoin private,” the cryptocurrency space just keeps getting more meta. The big experiment with airdropped coins was that they’ll just fail, and if people are getting free coins, they’ll just immediately sell them and it will dump down to pennies,” said Bitcoin problems growing Creighton, who’s leading the bitcoin private effort.
Yet, in a number of cases, that notion just didn’t pan out. And for those who owned large amounts of bitcoin or ether, those launches meant big gains with little effort. But for zclassic, its fork wasn’t exactly a success story. 2 per coin, while zcash stayed in the hundreds.
Rather than walk away, though, in December, Creighton doubled down. And although Creighton told members of a Telegram channel he didn’t write any of the code or create the white paper, logo or website, his concept has come to life. In this way, bitcoin private is perhaps the pinnacle of the forking phenomenon, and in turn, it has become somewhat of a punching bag for crypto enthusiasts on Twitter. Yet, the cryptocurrency has garnered a significant amount of interest, for distributing new, free coins to users of, not just one existing blockchain, but two: zclassic and bitcoin. By forking a code base, a user’s private key can be made to access multiple wallets, a method that, while criticized on security grounds, Creighton sees as a feature that could become important over time.
So you have in the case of bitcoin, all these people have their private keys, but when forks spring up now the same private key can be used in different peer-to-peer networks. It seems to be a key piece to the technology. The founder’s fee But is this really innovative? As Creighton puts it, “No one has ever done a fork like this. 20 percent of the cryptocurrency generated by mining to the zcash development team.
But what shook out was a cryptocurrency that failed to keep pace, its wallet causing so many problems it was shut down by exchange Bittrex recently. Zclassic suffered from the same ideas which it derived its greatness: the absence of a founder’s tax led to a lack of active development. So, bitcoin private reintroduces a type of founders’ fee. Prior to the launch of bitcoin private, zclassic miners were asked to contribute computing power to the zclassic protocol in exchange for new private bitcoins, and to put the old coins into a pool that will fund development of the new protocol. The old zclassic chain will keep on running in parallel. The white paper stresses this program was voluntary. Otherwise, bitcoin private looks nearly identical to zcash.