Mining cryptocurrencies can be a lucrative venture, under the right circumstances. When both Bitcoin Cash and Bitcoin SV were launched, people expected miners to support them. Most of that support is now gone, judging by the network hashrate.
The Slow Demise of Bitcoin Cash?
Forking Bitcoin’s code and creating a new project is the easy part. Attributing value to that project is a different matter altogether. Bitcoin Cash, while initially enjoying some support, is seemingly losing the battle. Judging by the mining hashrate and overall profitability, it is no longer playing a role of great importance.
To be more specific, Bitcoin Cash still has a higher hashrate compared to Bitcoin SV. Although it fluctuates a bit, it is often higher for BCH. In recent months, however, it has not reached 5 exohash per second. In fact, it struggles to remain close to 3 exohash per second. Compared to the combined hashpower of BTC, BCH, and BSV, Bitcoin Cash represents just 2.4%.
Furthermore, BCH has 1.3% of the total transaction amount of all three chains combined. It is evident that very few people are using BCH to transact lately, which seems a bit odd. The statistics also show that most network blocks remain far below their maximum limit. Generating blocks smaller in size compared to Bitcoin is the opposite of what this project was designed to achieve, after all.
Bitcoin SV is off Even Worse
The self-proclaimed “Satoshi’s Vision” of Bitcoin forks isn’t faring much better. It too struggles to attract a respectable hashrate. Despite surpassing Bitcoin Cash in this regard not that long ago, things have returned to normal in recent weeks. Miners simply aren’t attracted to BSV, even though Coin.Dance reports it is slightly more profitable compared to mining BTC.
With just 1.7% of the combined hashrate, one has to wonder what the future holds for Bitcoin SV. It does generate 70.2% of all transactions, yet its block size is often very low, or lower than Bitcoin in general. There are exceptions, with blocks hitting 2MB and 4MB on a regular basis. One block was even over 19MB in size earlier today, indicating there were plenty of transactions waiting to be processed.
Similar to Bitcoin Cash, however, the use cases for Bitcoin SV remain limited. Unless people can use it for goods and services, there is no reason to mine it either. A minor difference in profitability will not get people too excited, unless they can switch over manually if the situation changes.