What exactly is Bitcoin Cash?
Bitcoin Cash, a cryptocurrency, is used to increase the block size which will allow processing more transactions every second. Bitcoin Cash is basically a payment network and a cryptocurrency. In relation to Bitcoin, Bitcoin Cash is generally classified as a strand, spin-off, a hard fork product, the second version of Bitcoin, a clone, an offshoot or even an altcoin.
The history of Bitcoin Cash
The Bitcoin Cash was created in the month of August 2017. Bitcoin was facing issues due to its scalability factor. The size of the blocks of Bitcoin was slowing down the transaction speed and hence restricting the true potential of the currency when it has actually started to gain popularity. When the value of Bitcoin was low, a limit was added to the block size in order to prevent the spam attack on the Bitcoin network. The term hard fork is used to describe the creation of the Bitcoin Cash in 2017 which is generally used to describe a change or an upgrade. It was done in order to allow the miners to process more transactions per second. A change has been made with regards to a technology named Segregated Witness (SegWit) which would allow more transaction data to be compressed and thus more transaction data could fit in every block.
The features of Bitcoin Cash
- Since the month of July 2018, the Bitcoin Cash is traded in the exchanges at a comparatively lower rate than the Bitcoin. However, the traffic is comparatively less as well. The increase in the block size was not necessary to process the transactions faster than Bitcoin.
- The transactions can be processed easily and quickly. The user can receive the confirmation regarding the payment in minutes.
- The Bitcoin Cash network is more reliable as compared to the other cryptocurrencies because it is operated without congestion.
- The Bitcoin Cash transactions can be processed at very low transaction fees.
- The Bitcoin Cash network is very simple to use and there are no hassles involved.
- The payment system of the Bitcoin Cash is stable and has also proven a store of value.
- The Bitcoin Cash transactions are robust with the most secure blockchain technology.
The pros of Bitcoin Cash
- There are some of the benefits of the Bitcoin Cash which might attract people to invest in it:
- The exchange of funds can be virtually carried out from anywhere and with anyone in the world. There will be no need for transferring the money through any bank account or any private merchant.
- The transaction fees to process the transaction is very low so the user does not have to pay a huge amount to transfer or exchange the funds.
- The Bitcoin Cash transaction can be processed without the personal information of the transferor. This makes it safer as compared to the other methods of payment. There is no threat to the identity of the transferor and the transferee getting stolen.
- There is always uncertainty but the current value of the Bitcoin Cash is expected to rise in the future and hence it can prove a great investment.
- Another important benefit of Bitcoin Cash is that the money can be sent and received immediately. There is also no waiting time unlike with the other methods of transactions.
The cons of Bitcoin Cash
- There are possible drawbacks to every cryptocurrency which should be carefully considered before making the investment:
- There is still a chance that it might get hacked. The development team is aware of the threat of hacking and they are continuously working to improve and enhance their defenses on their websites. There still remains no guarantee to whether the account of the user will get hacked.
- The price is prone to fluctuations but there is no saying how much it would fluctuate. The exact time of the fluctuation cannot be predicted as well. And thus the right time to invest cannot be predicted.
- Generally, the business owners are advised to stay away from Bitcoins.
How is Bitcoin Cash different from Bitcoin?
The block size has increased from just 1 MB of Bitcoin to 8 MB of the Bitcoin Cash. It has also removed the Segregated Witness which is a proposed code for adjustment created to free up the block space through removal of some parts of the transaction. The primary goal of Bitcoin Cash is to raise the number of transactions which can be processed every second. This will allow the Bitcoin Cash to compete with the number of transactions which are handled by other major online transaction methods by raising the size of the block. The transaction fees will be lower on the Bitcoin Cash. Bitcoin Cash does not, however, have much acceptance in the community and hence there is a little support from wallets and exchanges as compared to Bitcoin. The Bitcoin enjoys higher support from the miners and it is more secure and stable.
The future of Bitcoin Cash
The change could mean a number of different things for cryptocurrency in the future. The situation is quite fluid and the market conditions are constantly volatile and calibrating as well. It would be difficult to say anything about the future of the Bitcoin Cash unless it is allowed to run for some time. The only thing certain about the Bitcoin Cash is that people who were holding Bitcoin before the fork in August 2017 then they will be holding the same amount of Bitcoin Cash after the fork as well.
Everything you need to know about Bitcoin-cash
The introduction of Bitcoin-cash
Bitcoin Cash, a cryptocurrency, which can be used to increase the block size to allow processing more transactions every second. Bitcoin Cash is a payment network and a cryptocurrency. The term hard fork is used to describe the creation of the Bitcoin Cash in 2017 which is generally used to describe a change or an upgrade. It was done in order to allow the miners to process more transactions per second. A change has been made with regards to a technology named Segregated Witness (SegWit) which would allow more transaction data to be compressed and thus more transaction data could fit in every block.
The exchange of funds can be virtually carried out from anywhere and with anyone in the world. There will be no need for transferring the money through any bank account or any private merchant. The Bitcoin Cash transaction can be processed without the personal information of the transferor. This makes it safer as compared to the other methods of payment. There is no threat to the identity of the transferor and the transferee getting stolen.
The price is prone to fluctuations but there is no saying how much it would fluctuate. The exact time of the fluctuation cannot be predicted as well. And thus the right time to invest cannot be predicted. There is always uncertainty but the current value of the Bitcoin Cash is expected to rise in the future and hence it can prove a great investment. The only thing certain about the Bitcoin Cash is that people who were holding Bitcoin before the fork in August 2017 then they will be holding the same amount of Bitcoin Cash after the fork as well.
The primary goal of Bitcoin Cash is to raise the number of transactions which can be processed every second. This will allow the Bitcoin Cash to compete with the number of transactions which are handled by other major online transaction methods by raising the size of the block. The transaction fees will be lower on the Bitcoin Cash. Bitcoin Cash does not, however, have much acceptance in the community and hence there is a little support from wallets and exchanges as compared to Bitcoin. The Bitcoin enjoys higher support from the miners and it is more secure and stable.