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Git 3.0's upcoming SHA-256 default will be a costly mistake
(blog.gitbutler.com)
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There's no reason to use md5 if you don't care about security and only want speed. Non-cryptographic hashes are incredibly fast to calculate and there are far faster hashing algorithms if you want to go that route. Using md5 is a "I don't want to think hard" answer, and if you don't want to think hard, then you might as well be secure in your default answer.