What Are Bitcoin Hard Forks?
A Bitcoin hard fork is a protocol change that creates a new set of rules for the computers that make up the blockchain network. It can cause the cryptocurrency network to split into two if a hard fork is implemented without the complete agreement of other network participants.
A hard fork is different from a soft fork which is a protocol change that doesn't cause a rejection of the pre-existing rule set. A hard fork requires all network participants to upgrade to the new rule set and reject the old rules. A soft fork will continue to accept transactions created by the old rule set.
Various digital currencies have been created through this forking process. It can be difficult for the average cryptocurrency investor to tell the difference between these cryptocurrencies and to map the various forks onto a timeline. We'll walk through many of the most notable forks from the Bitcoin blockchain.
Key Takeaways
- A Bitcoin hard fork refers to a change to the protocol layer of the Bitcoin blockchain that results in a new blockchain.
- A hard fork is often performed to create a blockchain and cryptocurrency when there are disagreements about the path a blockchain is taking.
- Developers generally issue an amount of the new cryptocurrency that they feel is equivalent to the original when a hard fork results in a new cryptocurrency.
- There have been many Bitcoin hard forks that resulted in attempts to improve upon or mimic it.
Investopedia / Sabrina Jiang
Understanding Bitcoin Hard Forks
A blockchain generally consists of five layers: the protocol layer, the consensus layer, the network layer, the application layer, and the data layer. The protocol layer consists of the programming that makes the blockchain work. It's software so it has to be upgraded to address issues or make changes that members of the community and/or developers want to make. These changes are sometimes supported by everyone and sometimes they're not.
It's referred to as a hard fork when changes to the protocol layer create a blockchain that isn't compatible with the previous blockchain. Hard forks essentially make a new blockchain and cryptocurrency but the latest editions aren't always a split away from the original. They might be changes to the main blockchain that require a fork.
Most people use the term hard fork to describe blockchains, cryptocurrencies, developers, participants, and users that separate themselves from the original blockchain and network while using the altered version, however.
Important
Blockchains also undergo soft forks. The difference is that soft forks don't result in a new blockchain. Soft forks are a change to the protocols but the end product remains unchanged and is compatible with the previous, blockchain version.
A Timeline of Bitcoin Hard Forks
Bitcoin XT (2014)
Bitcoin XT was one of the first notable hard forks of bitcoin. The software was launched by Mike Hearn in late 2014 to include several new features he had proposed. The previous Bitcoin version allowed up to seven transactions per second but Bitcoin XT aimed for 24 transactions per second. It proposed increasing the block size from one megabyte to eight megabytes to accomplish this.
Bitcoin XT initially saw some success with updates and nodes operating until late 2018 when it was essentially abandoned. Bitcoin XT is no longer maintained.
Bitcoin Classic (2016)
Bitcoin XT had some attention from the cryptocurrency community but some members still wanted Bitcoin block sizes to increase. A group of developers launched Bitcoin Classic in early 2016 in response. Unlike XT which proposed increasing the block size to eight megabytes, classic intended to increase it to only two megabytes.
Bitcoin Classic saw initial interest like Bitcoin XT and strong support from some developers. The community nonetheless seems to have generally moved on to other options because it's no longer maintained.
Bitcoin Unlimited (2015)
Bitcoin Unlimited has remained something of an enigma since its conception in late 2015. The project's developers released code but didn't specify which type of fork it would require. Bitcoin Unlimited set itself apart by allowing miners to decide on the size of their blocks with nodes and miners limiting the size of blocks they accept, up to 16 megabytes.
Despite some lingering interest, Bitcoin Unlimited has largely failed to gain much acceptance.
Bitcoin Cash (2017)
Some Bitcoin developers and users decided to initiate a hard fork to avoid the protocol updates brought about by the segregated witness implementation. Bitcoin Cash was the result of this hard fork. It split from the main blockchain in August 2017, allowing for blocks of 32 megabytes which speeds up network transaction processing times.
Bitcoin Cash remains the most successful hard fork of the primary cryptocurrency. It was the 13th largest digital currency by market cap as of June 17, 2025.
Bitcoin Gold (2017)
Bitcoin Gold was a hard fork that followed Bitcoin Cash in June 2017. The creators of this hard fork aimed to bring mining back to graphics processing units (GPUs) because they felt that mining had become too specialized in terms of the equipment and hardware required.
Fast Fact
It was initially possible to mine Bitcoin using personal laptops and desktop computers but the growing mining difficulty as well as the advent of Application Specific Integrated Circuit (ASICs) hardware created specifically for Bitcoin mining has made it all but impossible to profitably mine at home using the processing speed of an individual computer.
Some Bitcoin forks, including Bitcoin Gold, have attempted to make Bitcoin more accessible by changing the hardware necessary to establish a network connection.
One unique feature of the Bitcoin Gold hard fork was a "post-mine," a process by which the development team mined 100,000 coins after the fork had taken place. Many of these coins were placed into a special "endowment" and developers have indicated that this endowment will be used to grow and finance the Bitcoin Gold ecosystem with a portion of those coins being set aside as payment for developers as well.
Bitcoin Gold generally adheres to many of the basic Bitcoin principles but it differs in terms of the proof-of-work (PoW) algorithm it requires of miners.
Bitcoin—Satoshi's Vision (2018)
Satoshi's Vision or BSV was created as the result of a split in the Bitcoin Cash community by a handful of figures surrounding Craig Wright, a controversial individual who lied about being the original creator of Bitcoin. Wright's version of the protocol proposed to increase the blocksize by hundreds of times, allowing cheaper transactions and more throughput for decentralized applications.
Important
Craig Wright's claim to be Satoshi Nakamoto was debunked by a London High Court judge in March 2024 who stated in his closing arguments that the evidence against Wright was overwhelming.
Wright's claims to have created Bitcoin have been discredited but the project attracted a following from some developers and supporters. Bitcoin SV was hard forked from Bitcoin Cash in November of 2018 although it has only a fraction of the users and transaction volume of either Bitcoin or Bitcoin Cash.
What Is a Bitcoin Fork for Dummies?
The simplest way to conceptualize a fork in a cryptocurrency's blockchain is to imagine that the fork introduces a new set of rules for Bitcoin to follow. The blockchain diverges into two potential paths forward after the fork. The users mining that particular blockchain can elect to follow one set of rules or another after a new rule is introduced. This choice is similar to a fork in the road.
What Was the First Bitcoin Fork?
The first notable Bitcoin fork was Bitcoin XT, launched in 2014 by Mike Hearn. The previous Bitcoin version allowed up to seven transactions per second but Bitcoin XT aimed for 24 transactions per second. It proposed increasing the block size from one megabyte to eight megabytes to accomplish this.
When Did Bitcoin Fork?
The first major bitcoin fork was in late 2014. Forks are typically conducted to add new features to a blockchain. Bitcoin has undergone many forks since it was first introduced in 2009. Each of these splits has created new versions of the currency.
Is a Hard Fork Good or Bad?
A hard fork can sometimes have a profound impact on a blockchain and cryptocurrency. At other times, it might not. It depends on the circumstances surrounding the fork and the sentiments of the community and developers.
The Bottom Line
Bitcoin has spawned a large number of forks since its introduction in 2009. Some have attempted to imitate it and others to improve upon it in different ways or to avoid changes. No one can say for sure but the cryptocurrency will likely continue to experience both soft and hard forks going forward.