What is a fork coin, what is an airdrop coin, and what is the difference?

php Xiaobian Yuzai will give you an in-depth understanding of what fork coins and airdrop coins are, and the differences between them. Forked coins refer to new currencies generated after a hard fork on the blockchain, while airdrop coins refer to the free distribution of a certain digital currency to specific currency holders. The main difference between the two is the generation method and the objects to which they are issued. Understanding these concepts will help investors better invest and trade in digital currencies.

What is a fork coin? Introduction to fork coins:

Fork coins, as the name suggests, are the coins that are generated after a fork. A major feature of blockchain is decentralization. There is no need to go into details about the various advantages of decentralization, and the disadvantages are also obvious. One of them is that the consensus is easy to split. After all, it is difficult to reconcile the consensus.

When the two parties cannot reach a consensus on a certain issue, and each other insists on their positions and is unwilling to compromise, hard differences usually occur, causing one chain to split into two, each heading towards a different development path.

At first, the community was in turmoil over the dispute over BTC’s large and small blocks and its future development direction. In the end, BTC forked into BCH.

In the article "Compared with this matter, "BCH fork" is just a small case! So what is a fork?", we also focused on the difference between soft fork and hard fork, and mentioned : The original holders of the currency, after the hard fork, theoretically own every currency after the fork.

It should be noted that not all hard forks will generate forked coins. Only when the two parties have serious differences of opinion and receive sufficient community support will forked coins be produced and these forked coins likely to survive.

Although Ethereum’s Constantinople upgrade was a hard fork, the community was not divided on this aspect and therefore no forked coins were left.

Fork coins refer to cryptocurrencies that are generated after a hard fork occurs in the blockchain network, usually due to community disagreements that cause the blockchain to split. Currently, some forked coins have survived and exist in the digital currency market.

What is an airdrop coin?

Introduction to airdrop coins:

Airdrop coins, as the name suggests, are coins that "fall from the sky" and are given to you.

Unlike forked coins, which fork on the original blockchain and then develop independently, airdrop coins "start from scratch" and stand on their own. Forked coins are like brothers breaking up, and airdrop coins are like various coupons given to you by a newly opened shopping mall.

Some airdrop coins require you to fill in your wallet address to receive them; some require you to register an account or complete certain tasks before sending them to you; the most convenient thing is for the project team to directly take a snapshot, and then according to your certain Airdrop coins will be sent to you in proportion to the amount of assets.

Take EOS as an example. According to statistics from eosdrops.io, as of now, there are 62 types of airdrop coins on EOS, most of which are direct snapshots. According to the number of EOS in the account, airdrops will be given out in proportion. currency.

There is no free lunch in the world, and airdrop coins are also a marketing tool for the project side: on the one hand, airdrops can acquire precise users and increase the enthusiasm of participants; on the other hand, through the distribution of chips, accelerating related The circulation of Token expands the influence and scope of use.

What is the difference between fork coins and airdrop coins?

Fork coins are coins generated after the blockchain forks, and airdrop coins are coins given to users for marketing purposes. Whether it is a fork coin or an airdrop coin, the corresponding project needs to be valuable and recognized by users before the relevant currency will be valuable.

The same point is: the purpose of both is to obtain the most accurate users.

The difference is: forked coins have strong compulsory force, which is mainly reflected in exchanges, wallets, etc.

The difficulty of listing forked coins on exchanges will be much lower than other types of currencies. "Fork" and "airdrop" are two ways to distribute candy. The community generally believes that the two concepts are the same. In fact, it is not the case. We can think that "fork" belongs to the category of "airdrop", but "airdrop" does not necessarily have to be a "fork".

You need to be vigilant about airdrops: everyone should be careful when eating free lunches. First, do not fill in your private key. The private key is equivalent to your entire wallet. If you give it to anyone, your money will be gone. Don't transfer your coins to any account, these are all scams.

Will the fork really cause Bitcoin to plummet?

Will the BCH fork really cause Bitcoin to plummet? The answer is not necessarily.

Need to understand the reasons for the BCH fork. The BCH fork was due to a dispute within the BCH community over the block size, which led to BCH being divided into two factions. The impact of this incident on Bitcoin is not direct, because Bitcoin and BCH are two independent blockchain projects.

You need to know that Bitcoin price changes are determined by market demand and supply. The impact of the BCH fork on Bitcoin depends on the market's demand and supply for BCH, as well as the market's sentiment and confidence in Bitcoin. If market demand for BCH increases, the BCH fork may attract more investors and traders, thereby affecting the price of Bitcoin. But if the market's confidence in BCH decreases, then the BCH fork may cause the price of Bitcoin to rise, as investors may move funds from BCH to Bitcoin.

In addition, it should be noted that Bitcoin price fluctuations are normal. The price of Bitcoin is affected by many factors, including policies and regulations, market sentiment, technological progress, etc. Therefore, whether the BCH fork will cause Bitcoin to plummet is not a definite conclusion, but needs to be judged based on market conditions.

The BCH fork will not directly lead to the collapse of Bitcoin, but factors such as market demand and supply, market sentiment and confidence need to be considered. At the same time, Bitcoin price fluctuations are normal, and investors need to have a certain degree of risk awareness and investment knowledge to make reasonable investment decisions.

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