Dashjr's Hard Fork Test: Will Bitcoin Split on September 1?

Bitcoin is facing a hard fork on September 1, which will split the network into two chains. This comes after Luke Dashjr resigned as chairman and chief technology officer of Bitcoin mining pool OCEAN, citing concerns over centralized management. The new chain, dubbed 'Spamcoin' by Dashjr, will use the BLAKE2b mining algorithm, which existing Bitcoin machines cannot run.

Dashjr argues that the current Bitcoin network has lost its decentralized nature and that BLAKE2b will punish concentrated mining power. However, critics dismiss this claim as nonsense and argue that Spamcoin is no more decentralized than the US dollar. OCEAN still operates as a non-custodial pool, while Dashjr channels his efforts into CONVOX.

Bitcoin holders face practical questions about replay risk and which chain their wallet tracks. Dashjr recommends using a light wallet over a full node to mitigate these risks. The market will then price which chain carries value after the hard fork.