Bitcoin Cash (BCH) – A Brief Intro for Investors

Bitcoin Cash (BCH) – A Brief Intro for Investors

To solve Bitcoin’s scaling problem, Bitcoin Cash was forked from Bitcoin in August 2017 to create a coin with an increased block size limit that allows for more transactions to be processed more quickly.

KEY FEATURES

  • Split from Bitcoin blockchain at block 478,588
  • Block time estimated at 600 seconds
  • 8MB block size that can increase with network adoption
  • Hash difficulty varies based on supply of miners on the network

OVERVIEW

COIN SUPPLY

The 21 million cap is similar to that of Bitcoin core.

TECHNOLOGY

The same technology that saw users flock to Bitcoin (decentralization, immutability, security, etc.), also exists in Bitcoin Cash. Block times and sizes are the biggest change, as well as the difficulty adjustment algorithm (DAA), which allows for a quicker update for the hashing difficulty so that blocks are mined in appropriate time intervals.

PRIVACY

All Bitcoin Cash transactions are broadcasted publicly on the blockchain, allowing transaction information to be traced via public keys

DEVELOPMENT TEAM

There is no centralized development team for the project. Roger Ver is the vocal leader of Bitcoin Cash, going as far to claim that it is the real Bitcoin. Amaury Séchet is the lead developer at Bitcoin ABC client, who was a big proponent in the original fork of the network, and to many is considered the lead developer of Bitcoin Cash.

VALUE PROPOSITION

Satoshi Nakamoto formulated an idea for a cryptocurrency that was not stifled by block size limits and slow transactions times. Bitcoin Cash is the true culmination of digital cash that can be transferred globally at lightning speeds for extremely low transaction costs.

INVESTMENT SUMMARY

As Bitcoin began to see a rise in the usage of its blockchain for transactions, a scaling problem quickly arose that needed to be addressed.

Some Bitcoin adherents believed the blockchain was fine as it was, and scaling could be done in off-chain solutions, while others felt it was imperative to increase the block size limit to allow for more transactions to be processed on the blockchain itself.

Eventually, this latter group split from the Bitcoin core community, forking from the Bitcoin blockchain on August 1, 2017 to form Bitcoin Cash, a peer-to-peer digital cash designed with the same underlying technology as Bitcoin with no limitations on transaction speed.

While Bitcoin limited its block size to 1MB, severely impeding the speed with which it can transact, Bitcoin Cash has taken the block limit and raised it exponentially, to 8MB, while also stating their belief that there should be no limit to block size if demand on the blockchain warrants an increase. This increase in block size allows for more transactions to be processed in a shorter period of time directly on the blockchain.

As demand for cryptocurrency transactions increase, Bitcoin Cash builds a stronger case for its place as a mainstay in the industry.

HOW TO BUY BITCOIN CASH

Bitcoin Cash can be purchased with most major fiat currency as well as Bitcoin and Ethereum, depending on the exchange. After depositing fiat or an equivalent amount in another cryptocurrency, follow the guidelines on the exchange to trade for Bitcoin Cash.

WHERE TO BUY BITCOIN CASH (BCH)

EXCHANGECOIN PAIRS TRADED
BinanceBCH/USDT, BTC, ETH, BNB
CEX.IOBCH/USD, EUR, BTC
HitBTCBCH/USDT, BTC, ETH
LivecoinBCH/USD, RUR, BTC, ETH
AbucoinsBCH/USD, EUR, PLN
BigONEBCH/USDT, BTC
BitBayBCH/USD, EUR, PLN
BitbankBCH/JPY, BTC
BitfinexBCH/USD, BTC, ETH
BitsaneBCH/USD, BTC
BitstampBCH/USD, EUR, BTC
BittrexBCC/USDT, BTC, ETH
COSSBCH/BTC, ETH
CryptoBridgeBCH/BTC
CryptopiaBCH/USDT, BTC
ExmoBCH/USD, RUB, BTC, ETH
ExratesBCH/USD, BTC
GDAXBCH/USD, EUR, BTC
GOPAXBCH/KRW, BTC
Gate.ioBCH/USDT, BTC
HuobiBCH/USDT, BTC
KrakenBCH/USD, EUR, BTC
KucoinBCH/USDT, BTC, ETH, NEO, KCS
OKExBCH/USDT, BTC, ETH
PoloniexBCH/USDT, BTC, ETH
QuoineBCH/USD, JPY, SGD
Trade SatoshiBCH/USDT, BTC, LTC, DOGE
WEXBCH/USD, EUR, RUR, BTC, ETH, LTC
xBTCeBCH/USD, BTC