What is a Fork in Blockchain and Git?

Fundamental Concept of the Fork

A branching or fork occurs when a blockchain network splits into two independent paths. This event is caused by changes in the protocol that modify the rules for validating transactions. Each node in the network maintains a complete copy of the transaction record, so these changes require all operators to decide whether to adopt the new version or remain on the previous one.

The term “fork” is also used in version control systems like Git, where it represents the creation of an independent branch of code. Although the contexts are different, both concepts share the idea of divergence and the creation of parallel paths.

Soft Forks: Backward Compatible Changes

A soft fork is a protocol update that maintains compatibility with previous versions. Nodes that do not update will continue to recognize the chain as valid, even if they do not implement all the new features.

This type of branching is considered safer because it does not require all participants to update simultaneously. New features can be added gradually without fragmenting the network. The implementation of SegWit in Bitcoin during August 2017 perfectly exemplifies this type of fork: it introduced significant improvements without breaking compatibility with the previous version of the protocol.

Hard Forks: Incompatible Breaks

A hard fork represents a fundamental change in the protocol that is not backward-compatible. All nodes must mandatory update their software to continue being part of the network.

If the consensus is not unanimous on these new rules, the blockchain splits into two independent histories. Each branch progresses with its own transaction record from the point of division. A prominent example is the split between Ethereum and Ethereum Classic, which occurred when the community decided to reverse transactions after the DAO attack. Those who did not accept this decision continued on the original chain, creating two parallel networks with their own cryptocurrencies.

Impact on the Ecosystem

Forks generate significant consequences: they can lead to new digital assets, volatility in the prices of existing tokens, and changes in the governance structure of the network. The choice between a soft fork and a hard fork determines the speed of adoption and the degree of disruption in the user community.