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The Bitcoin Cash difficulty adjustment algorithm is a crucial component of the Bitcoin Cash network that ensures consistent block times and network stability. This algorithm automatically adjusts the mining difficulty based on the network\“s hash rate to maintain an average block time of approximately 10 minutes.
Unlike Bitcoin\“s original difficulty adjustment mechanism, Bitcoin Cash implemented several improvements to provide better protection against hash rate fluctuations and ensure more predictable block production. The algorithm recalculates the mining difficulty after every block, making it more responsive to changes in network hash power.
The primary goal of the Bitcoin Cash difficulty adjustment algorithm is to maintain network security while preventing extreme difficulty fluctuations that could disrupt transaction processing. This sophisticated mechanism helps ensure that Bitcoin Cash remains reliable for everyday transactions and maintains its position as a practical electronic cash system. |
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