What Is Bitcoin SV (BSV)?

What Is Bitcoin SV (BSV)?

Bitcoin SV (BSV) appeared as a hard fork of Bitcoin Cash in 2018 with a view to become more technologically advanced regarding the continuation of the original Bitcoin protocol. The guide will help you to understand what is BSV and why it is more useful for businesses.

Bitcoin SV (BSV) is a full-node implementation for Bitcoin Cash (BCH). The project name represents the “Satoshi Vision” or SV, reflecting the mission of the original Bitcoin (BTC). Created at the request of leading BCH mining enterprise CoinGeek and other miners, Bitcoin SV intends to provide a clear BCH implementation choice for miners. It also aims to allow businesses to build applications and websites on it reliably.

Since the introduction of Bitcoin in 2009, there has been a significant progression on the blockchain network and its cryptocurrency. The objective behind the design of Bitcoin was to democratize the global monetary system. As a result, many new cryptocurrencies besides Bitcoin (popularly known as Altcoins) have appeared.

What most of these alternative blockchain frameworks have sought to do is to carry out an upgrade on the shortcomings the Bitcoin protocol is perceived to have. As a result of this, the Bitcoin Cash (BCH) fork took place in 2017. The aim of Bitcoin Cash was to increase the transaction speed of Bitcoin as well as its overall transaction throughput. BCH also intended to create awareness about the enterprise scalability and mass adoption of Bitcoin and cryptocurrencies.

Bitcoin Cash experienced a hard fork on November 15, 2018, which resulted in the creation of a new cryptocurrency – Bitcoin SV (BSV). The purpose of Bitcoin SV is to become more technologically advanced regarding the continuation of the original Bitcoin protocol. It is worth adding that Bitcoin SV is an acronym for Bitcoin Satoshi Vision. It was created by Craig Wright with the aim of executing the vision of Satoshi Nakamoto, the supposed founder of Bitcoin.

From Bitcoin to Bitcoin SV

It is not a secret that only the most innovative, unique, genuinely useful projects thrive in the crypto industry. There is constant competition between blockchain projects and their associated cryptocurrencies as they jostle to provide investors, institutions, and everyday users utility.

The purpose behind the design of many existing alternative cryptocurrencies was to expand on the original uses that necessitated the Bitcoin blockchain. More often than not, a lot of these projects made attempts to carry out new cases with novel functionalities such as decentralized application, anonymity, or decentralized storage. Improved programmability that is tailored to the development of specific types of smart contacts can be included.

During the early stages of the development of Bitcoin, the network could only manage the transaction load of a small community. It basically consisted of developers and cryptography enthusiasts. The growing popularity of Bitcoin led to a situation where the network was beginning to get bogged down as a result of an increasing volume of transactions, which drastically impacted processing time.

There was therefore a growing concern that Bitcoin transactions may take days or weeks to clear. There was also the concern that this delay would increase transaction fees. Hence, these two concerns formed Bitcoin’s scalability issue.

In order to solve this scalability problem, Bitcoin Cash (BCH) was the first Bitcoin fork to consider. The creation of Bitcoin Cash via a major network hard fork resulted from the desire to increase the volume of transactions per second. The concern of Bitcoin’s scalability is reflected in the makeup of Bitcoin Cash, which increased the block size of the original BTC significantly.

The presence of more data in each individual block meant that the rate of processing transactions increased. Measures were also taken to cut down the total amount of data requiring verification in each transaction.

Bitcoin SV as an Enterprise-Friendly Blockchain

Owing to the fact that Bitcoin SV was created for business, all business enterprises should be built upon it. Bitcoin SV is independent as a blockchain and a token, although it emerged from BCH’s hard fork. The objective of Bitcoin SV includes the restoration of the original Satoshi protocol, stability, and massive scaling on-chain.

Native Bitcoin businesses have quickly announced #WeChooseSV, a campaign to drum up support for BSV. Some BCH applications which have moved exclusively to BSV include Centbee, HandCash, Keyport TV, and Money Button.

BSV vs Original BTC

Despite Bitcoin SV (BSV) developing from Bitcoin, there are distinctions that exist between them.

Firstly, BSV charges the least transaction processing fees as a result of its larger block size. This larger block size reduces the number of transactions on the mempool, improving the BSV network throughput.

On the other hand, high transaction processing fees affect Bitcoin as a result of the congestion of its blockchain.

Secondly, in terms of speed, Bitcoin SV’s network has the capacity to hit about 9,000 transactions per second via its scaling platform, BSV Scaling Test Network (STN). Besides, BSV’s large block size permits it to set a new record when bundling about 16.4 million transactions in a single block. For Bitcoin, it is able to handle seven transactions per second.

Furthermore, for Bitcoin SV, its biggest adoption utilizes cases from a banking application known as Gravity, and an education platform Bitcoin SV Academy. For Bitcoin, on the other hand, a number of big corporations and institutions including Tesla Inc (NYSE: TSLA), Square Inc (NYSE: SQ), and MicroStrategy Inc (NYSE: MSTR), have added it to their balance sheet as a safe haven asset to cushion it against the effects of the weakening US dollar.

Bitcoin SV’s Benefits

There are several benefits that lie in building the foundation of your business on BSV.

First of all, BSV promises a protocol that is stable. One of the objectives of BSV is to restore Bitcoin to Satoshi’s version 0.1 protocols. This means that there would be a re-enabling of the Satoshi opcodes, as well as eliminating the artificially imposed limits.

The basis for this is the belief that the original Bitcoin has all to sustain a vibrant and scalable network. Also, BSV offers a solid rock foundation that would enable global businesses to reliably build robust applications, projects, and ventures.

Further, BSV could be a massively scalable network. The BCH in its November 2018 upgrade limited its default block cap to 32 MB, in contrast to BSV who raised its default block cap to 128 MB. BSV aims to remove limitations on block caps completely. It also wants to give miners the liberty to configure what block sizes they deem sufficient.

The bigger the blocks, the more attracted big businesses are. So businesses would only develop enterprise-level applications on the Bitcoin blockchain that has a reputation for being scalable. In the future, BSV hopes to see 1-2 GB size block caps. BSV is even planning bigger terabytes size blocks. It would make it the global public ledger for the world’s biggest enterprises for their data and financial transactions.

Another benefit for your business is its regulation-friendly mindset. The platform guarantees that using its currency and blockchain is legally safe. In addition, BSV uses a professionalized approach when it comes to security. It has laid down plans to create the industry best practices and become a reference when it comes to commitment to quality assurance and professionalized engineering.