Soft Fork
By CoinGecko | Updated on Aug 12, 2021
Due to the decentralized nature of peer-to-peer cryptocurrency netowork, any updates or changes must be agreed by all participating nodes. Such code changes in the blockchain occur via chain forks, whereby when the network virtually splits in 2, each following different sets of rules. A soft fork event refers to when a fork occurred but old nodes can still participate in the network.
Related Terms
Blockchain
In Bitcoin's case, blockchain describes its decentralized, public ledger which contains transactional information.
Off-chain
It refers to transactions occuring outside the blockchain and executed instantly.
Permissioned Blockchain
It is a private blockchain where the nodes must be previously authorized by a central entity.
REKT
A shorthand slang for “wrecked”, typically describes bad trades that results in losses.
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