Understanding Bitcoin and It’s Fork, Bitcoin Cash

  • It’s been a long war between Bitcoin (BTC), and Bitcoin (BCH) cash, and the former has been superior always.
  • There was a major disagreement among a group of Bitcoin miners, which eventually led to the formation of BCH.
  • Only time can tell which will prevail, as Bitcoin Cash is gaining users much faster than its original counterpart.

It’s been a long war between Bitcoin (BTC), and Bitcoin Cash (BCH) cash, and the former has been superior always. A ‘fork’ of Bitcoin or Bitcoin itself? Where should you invest? In the long-run, what seems better? The answers to all these questions would surface once we dive deep into them and understand their intricacies. 

Bitcoin

It is the first cryptocurrency that ever came into existence on 09.01.2009. Just after the world was reeling off a financial crisis, Satoshi Nakamoto’s invention of this fintech currency came about and used as a peer-to-peer bitcoin network. One unique feature is that it is neither controlled nor issued nor regulated. However, you can use it to trade, sell, or buy goods in the open market. It is a decentralized mechanism where anyone with a computer can deal with this cryptocurrency. The coins’ limitation is 21 million. The currency goes through halving every four years. ‘Miners’ solve various algorithms on their computers known as ‘mining.’ 

Bitcoin Cash 

It is a fork in the actual Bitcoin. The cash comes into existence when a small group of miners do not agree on a particular transaction and cease to take part in that particular node. BCH worked similarly and discovered in late 2017. There was a major disagreement among a group of Bitcoin miners, which eventually led to the formation of BCH. The forked version of Bitcoin has a cheaper transaction rate but, in an ideal situation, has a faster transaction time. 

As stated earlier, cryptocurrencies derive their value from how much they are demanded, traded, and used. If miners do not agree to certain updates in Bitcoin, then they fear to lose the battle with its forked version. The moving average of BCH is within 10-15% of BTC. Bitcoin cash is on the surge with more people using it. Only time can tell which will prevail as Bitcoin cash is gaining users much faster than its original counterpart. One can analyze them in terms of growth and return on investment (ROI) before planning to invest in them.    

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