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Bitcoin cash fork hits investors’ pocketbooks as two coins slip

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The combined value of the two coins spawned from the so-called forking of Bitcoin  is less than that of a single Bitcoin Cash coin Wednesday, according to data from exchange Poloniex. Bitcoin Cash SV, as one version is called, is trading at about $96.50, and Bitcoin Cash ABC, the other is $289, or lower than what Bitcoin Cash closed at $425.01 yesterday.


The fallout is markedly different from a year ago, when Bitcoin Cash initially split from Bitcoin in August of 2017. The two coins ended up being worth more than Bitcoin alone, benefiting investors. As a result, that split lead to a so-called forking craze, in which multiple developer teams rushed to get out new versions such as Bitcoin Gold by tinkering with the software code.

The two coins are likely trading sideways amid uncertainty over whether both of them will stick around, and which one will end up leading further development on the main branch of Bitcoin Cash. Companies and investors supporting each version are jockeying for dominance, and “it’s too early to tell” which will win out, said Lucas Nuzzi, director of technology research at Digital Asset Research.

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Volkswagen to spend $50 billion on electric car ‘offensive’

Volkswagen has committed to spending tens of billions of dollars as part of a dramatic shift to electric and autonomous vehicles.

The Germany carmaker said Friday that it would invest €44 billion ($50 billion) by 2023 to develop electric cars, self-driving vehicles and other new technology.

Speaking at a press conference following a meeting of the company’s supervisory board, CEO Herbert Diess described the company’s strategy as an “electric offensive.”

Diess acknowledged that increased spending on new technology could initially harm earnings growth. The investment is roughly €10 billion ($11.4 billion) above what the company set aside for new tech in last year’s budget plan.

“Volkswagen must become more efficient, more productive and more profitable in order to finance the high expenditure in the future and in order to stay competitive,” Diess said during the press conference.

Volkswagen’s stock, which declined roughly 12% so far this year, dropped another 1.3% on Friday.

Diess said that talks with US automaker Ford (F) about working together were “progressing positively.”

So far the only alliance firmly in place between Ford and Volkswagen involves an agreement to work together on commercial vehicles. But Diess sees potential in more cooperation.

“We can solve the transformation of our business more easily with partnerships,” he said Friday.

Automakers are spending billions of dollars as they try to develop the electric and self-driving vehicles they believe are the future.

They’re also facing more competition from tech companies, including Uber and Google parent Alphabet (GOOG). Upstarts like Tesla (TSLA) have proved formidable too.


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