Bitcoin Cash [BCH] stresses over the stress test
Bitcoin Cash [BCH] has been tackling allegations of massive centralization since 2017. Sondre Bjellås, a software architect, argued that 51% of the BCH nodes were hosted by Alibaba in the previous year. Bitcoin Cash goes against the basic concept of cryptocurrencies which is decentralization. The beginning of the year saw Microsoft’s statement pointing fingers at Bitcoin Cash for the lack of effective decentralization. They stated that the increase in block size of BCH can be a potential risk to decentralization.
Microsoft Identity Division Director of Program Management, Alex Simons said that “While some blockchain communities have increased on-chain transaction capacity (e.g. blocksize increases), this approach generally degrades the decentralized state of the network and cannot reach the millions of transactions per second the system would generate at world-scale.”
Bitcoin Cash Network Under Stress
Bitpico, an anonymous developer, conducted a stress test on Bitcoin Cash to find the extent of decentralization on the coin network. The stress test affirmed that BCH network is operating with numerous full nodes situated in the same server rack. This proves the highly centralized nature of Bitcoin Cash. This revelation has caused a controversy in the crypto world regarding the status of Bitcoin cash.
A stress test was announced by Bitpico on June 22, 2018. Bitpico launched an attack that would target thousands of attack nodes over a period of six weeks. It argued that 85% of the nodes on the network were stationed within two data centers. Bitpico’s stress tests indicated that 98% of the show nodes were on the same server rack. This could lead to potential security threats and seizure of the network.
Bitpico’s stress tests claim that 49% of Bitcoin Cash nodes are operating on Alibaba facilities. However, the statistics published by BCHNodes displays a fair distribution between the US and China-based nodes. Despite the controversy, BCH has exhibited a spike in prices and is continuing an uptrend. The 200 EMA line shows hopes a stable uptrend and the MACD also displays an upward momentum in prices. It is currently trading at $768.4 and is gaining against USD by 6.27%.
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