Forks in the cryptocurrency world represent a point in the development cycle when the blockchain splits in two. From a user’s perspective, you can think of them as a planned upgrade, one that can include backward compatibility (soft forks) or represent an irreversible shift in the underlying structure of the blockchain (hard forks).
Hard forks are a bigger deal than soft forks, mainly because transactions made after the fork are not compatible with the old blockchain. This means that miners and wallet holders will need to update their software to keep using the currency.
When a hard fork occurs, the coin usually continues forward without showing obvious signs of internal changes. Transactions are carried out, hodlers sit atop their hoards, no big deal. Other times significant shifts are introduced, including new coins based on the old blockchain’s code.
The classic example of this is Bitcoin spawning Bitcoin Cash, a move that still sparks hot debate across the web.