Cryptocurrency is an emerging topic as it is a virtual currency in a digitized form. This currency is very much secure due to Cryptography that verifies each transaction. And what makes a cryptocurrency special is their entries in the database so no one will be able to change them until some conditions are met. One of the most famous cryptocurrency is the Bitcoin and there are many more like the dogecoin or litecoin.

People are having a blurry idea about cryptocurrency. In cryptocurrency, you will experience price fluctuations. Sometimes a coin is duplicated to create another coin, This phenomenon is known as the fork.

So you must be wondering what is the reason behind fork?

We will be talking about Hard fork only here, a Hard fork occurs when some developers make the decision of bringing some changes to the coin’s programming which is creating the incompatibility or needs new features which others are not looking forward to. So a hard fork is done and a coin splits into two different coins with same history but different blockchain after. After the changes are successful, then you should install the application for continuing the use of the coins(for new coin mostly).

 Why did people consider forking to be bad?

• Forking causes great panic and anxiety in the world of cryptocurrency. Because here there will be two blockchains and among them, only one will be majorly supported. So for an investor which coin he/she should invest in is a trouble and for coin holder which coin he/she should sell is also a trouble, which might keep them away from crypto space for new entrants and for holders it will be a mental pain.

• Businesses who deal with coins that are used during forking faces a huge problem. As transaction during this time is prone to get lost/ delayed than the businesses can be handcuffed.

• As cryptocurrency is quite new so any sort of potential loss can easily scare people away. So the community of cryptocurrency should frequently do all the additional work that may lead to less trouble for businesses, exchanges or users and keep on updating the software in order to switch in a stable coin. The coin which is less popular is also less valuable. If you are taking the coins whose fork is fixed then it can lead to incompatibility between the coins.

• When it comes to forking, it is a very stressful event which causes the cryptocurrency community to face great risk. So the investors on this coin will analyze the risk, and then they will select the way for selling which one of them. And during any type of forking, there are chances that the value of both the coins will fall.

Forking can be pretty much difficult for people who are new in the world of cryptocurrency. But with time you will know how to deal with it.