Polymesh Glossary

Contents
Overview

Forks

The result of the blockchain splitting into two separate chains. Because of its decentralized nature, when there is a disagreement in the community (usually regarding an update), the chain can split or fork into two. Forks expose major legal and tax challenges for security tokens, especially since they lead to the duplication of assets and prevent deterministic finality. While they commonly occur during upgrades, forks can be considered more of a governance failure than technology issue since their essence is a disagreement in the direction of the chain. To counter this problem, Polymesh features forkless upgrades and an on-chain governance process to decide the official version of the chain should disagreements arise.