Author: ZmnSCPxj 2017-09-26 00:01:10
Published on: 2017-09-26T00:01:10+00:00
An individual named Patrick Sharp proposed a Bitcoin side chain implementation that would be officially supported, tracked and built by official bitcoin software. The chains would have an identifier in the block header, and each address would be assigned to a chain via chain = (address) mod (number of chains). If the address is sending to another chain, their transaction will be submitted to both chains and transaction fees will be split between chains. The chains would come into being via a fork or split, and every 2016 blocks, if some percentage of blocks on any chain are larger than a specified amount, all chains are called to increment their power value and fork on their block. It is important to note however, that sidechains were originally designed to add and prototype new features to Bitcoin, and increasing the effective block size is not what they were expected to do. For scaling, Lightning Network is a superior solution as it keeps most transactions off-chain.
Updated on: 2023-06-12T19:01:30.564305+00:00