What is
A soft upgrade mechanism that allows adding new features to a blockchain without requiring all nodes to upgrade simultaneously.
Velvet forks are a blockchain upgrade mechanism that enables backward-compatible protocol changes. Unlike hard forks (which split the chain) or soft forks (which require majority miner adoption), velvet forks allow new features to be added gradually. Nodes that don't upgrade continue to function, while upgraded nodes can use new capabilities.
Adding NiPoPoWs to existing blockchains
Gradual protocol upgrades
Cross-chain bridge deployment
Light client support on legacy chains
Velvet forks work by embedding new data structures (like NiPoPoW interlinks) in blocks without changing consensus rules. Old nodes ignore this extra data while new nodes can use it. This is particularly useful for adding light client support to chains that didn't originally have it.
Common questions about this topic
Start by getting a wallet (Nautilus for browser, Terminus for mobile). Back up your seed phrase securely offline. Get some ERG from an exchange (Gate.io, KuCoin) or DEX (Spectrum). Make a test transaction. Then explore: try DeFi on Spectrum, check out NFTs, or dive into the technology if you're a builder.
Ergo provides tools for financial sovereignty: self-custody with no third parties, censorship-resistant transactions via PoW, optional privacy with Sigma Protocols, and programmable money without permission. Unlike VC-backed chains, Ergo has no central authority that can freeze funds or comply with sanctions. Your keys, your coins, your freedom.
This is not financial advice. Ergo has strong fundamentals: fair launch (no VC dump risk), innovative technology (eUTXO, Sigma Protocols, NiPoPoWs), active development, and a cypherpunk ethos. It's a smaller market cap project with higher risk/reward than established chains. Research thoroughly, understand the technology, and never invest more than you can afford to lose.
Ergo is a fair-launched Proof-of-Work blockchain with advanced smart contract capabilities. It combines Bitcoin's security model (UTXO, PoW) with Ethereum-style programmability through the eUTXO model and ErgoScript. No pre-mine, no ICO, no VC control - built by cypherpunks for financial freedom.