waxwing's avatar
waxwing 3 months ago
With the drama of BIP444 I've seen a lot of people confused about the nature of soft-fork vs hard-fork. This might help: Back in the block size war we had a lot of similar confusion, mostly because it isn't really very clear cut. Some people talked about "evil soft forks" to try to get rid of the simplistic notion: "soft forks are much better and hard forks are much worse" which tends to persist (naturally). The problem is that whether a fork is contentious or not is *much more important* than whether it fits the "soft" or "hard" technical definition. When a fork isn't contentious, then the soft vs hard distinction (restricting the ruleset or relaxing it) really matters a lot, because "passive" network participants (imagine a piece of hardware that will never get updated to a new bitcoin version, in the extreme) will be fine with the first and not with the second. When a fork *is* contentious, and miners, following economic incentive, end up choosing different rulesets to support different bitcoin users, then the chain genuinely forks into two histories. The fact that one ruleset is more restrictive than the other is part of the story but doesn't change the fundamental point that we have a chain split. This of course did actually happen meaningfully with bitcoin-cash in 2017. The term "evil soft fork" was some people trying to shake others of the misconception that if a fork is "soft" it's not coercive and not forcing action on anyone; that's definitely not true *if the fork is contentious*. #bitcoin

Replies (16)

PlebInstitute's avatar
PlebInstitute 3 months ago
I don’t get the thing with counter forking the softfork. What would that look like in case of segwit?
dangershony's avatar
dangershony 3 months ago
Softfork tightens the consensus rules, I suppose bip44 limits the opreturn. To enforce that miners must agree to run a node that will enforce the new rules, and the majority of blocks need to signal that right? How will he code the consensus rules change? He can't change core so he has to do it on knots, miners don't run knots or do they?
Baerson's avatar
Baerson 3 months ago
If were to summarise, are you suggesting that we should be careful supporting BIP444? And furthermore, that you're against it?
>When a fork *is* contentious, and miners, following economic incentive, end up choosing different rulesets to support different bitcoin users, then the chain genuinely forks into two histories. This is only true if the soft fork chain has the *minority* of hash power. If and when the soft fork chain has the *majority*, the minority non-soft fork chain will be re-orged away, and there will be no (lasting) split.
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Laukess 3 months ago
And the minority hash power would be economically incentivised to move to the other side to avoid being reorged. I don’t understand why we would get a split if the majority of miners are going with bip 444. Would it not require a URSF or some sort of code change from the anti 444 group to force a chain split? Am I missing something?
You’re right. (Could be as simple as using the invalidateblock command though.)
Venison Coffee's avatar
Venison Coffee 3 months ago
So then Knots would be the forked chain and V30 Core would be the continuous chain? How do I support Knots being the main chain besides running it instead of Core? Is BIP 444 a Knots thing? Excuse my ignorance.
Venison Coffee's avatar
Venison Coffee 3 months ago
But a separate chain means a new ticker? What does my BTC become? Does one of the chains become something else, like Bitcoin cash did?
In the case of a chain split you'd have coins on both chains. You could literally just do nothing until the dust settled, and you'd be good to go when you finally updated your software to the winning chain's implementation, or your custodian did. Or, if you wanted you could sell the coins on the chain you don't agree with and buy more of the ones you do agree with. In that case the .gov likes to tax you. Really the best path forward is just not to do anything as a user. This is also why forking-off into a new chain tends to not work so well, since you have to convince enough people to move with you.