This post explains reason why bch is called the real Bitcoin, It also talk about the features of Bitcoin Cash, Bitcoin Cash History & why this Real Bitcoin was Born.
What is Bitcoin Cash? How does Bitcoin Cash work? How to trade on Bitcoin Cash? Is Bitcoin Cash a Scam? What are the differences with Bitcoin ? These and others are the questions that traders are asking themselves about Bitcoin Cash, a new cryptocurrency born from a rib of the more famous Bitcoin, at the behest of a part of its developers who have thus decided to escape from the restrictions imposed by BTC. Bitcoin Cash is already referred to as the true “peer-to-peer electronic cash for the internet” on the Bitcoincash.org platform .
Bitcoin Cash history
What is the history of Bitcoin Cash ? Why was Bitcoin Cash born? It all started on July 20, 2017, when the Bitcoin community voted on the Bitcoin Enhancement Proposal (BIP) 91. The proposal was put forward by James Hilliard, Bitmain's assistant guarantee, in order to activate the Segregated Witness algorithm (SegWit) on August 1, 2017 via a soft fork.
However, some members of the bitcoin community felt that adopting BIP 91, without increasing the block size limit at the same time, would only effectively postpone the resolution of the real Bitcoin problem. That is to say the slowness with which transactions are confirmed. A solution that would have favored users who use Bitcoin for digital investment purposes and not as a transaction currency. The vote closed with 97% of votes in favor of the proposal, with the dissident 3% then expressing his intention to implement a hard fork of the Bitcoin cryptocurrency, calling it Bitcoin Cash. On August 1, 2017. It also inherited the transaction history of the bitcoin currency on that date, but subsequent transactions (after the fork) would then become separate. As mentioned, the main feature of Bitcoin Cash is the block size of 8 MB, making it effectively incompatible with the BTC Blockchain. Bitcoin Cash's debut was on August 23 at 0.5 BTC, but dropped to 0.10 BTC on July 30.
The market capitalization has instead made an appearance at 23:15 UTC on August 1, 2017. If there is one thing that makes similar Bitcoin Cash and its "parent" Bitcoin is the maximum amount of 21 million tokens.
What really led to the birth of the BCH is the limit of scalability suffered by BTC, due precisely to the blocks in the blockchain limited to 1 MB in size. Blocks larger than one megabyte are automatically rejected by the network because they are deemed invalid. Bitcoin blocks carry transactions on the bitcoin network since the last block created. There are about 3 transactions per second of maximum capacity possible on the Blockchain. Thus, the one megabyte limit has created a “bottleneck” effect in the bitcoin network, resulting in an increase in the cost of transaction fees and the delayed processing of transactions that cannot be included in the block.
To overcome these problems related to the scalability of bitcoins, various proposals have been presented in recent years. Defined by the authoritative Business Insider portal in 2017 as a real "ideological battle over the future of bitcoin". And so we come to July 21, 2017, when, as mentioned, the adoption of SegWit was proposed through BIP 91, which would therefore have "improved" Bitcoin without the need to create a hard fork. However, many miners felt that the SegWit update was not enough to speed up the Blockchain and a much more radical change would have been needed.
Another factor in the dispute, however, was the increase in commissions to translate bitcoin, up to 83 cents per operation. These commissions, it should be remembered, are not mandatory, but can be paid by traders to speed up the transaction. To be clear, the bitcoin network manages seven operations per second compared to Visa's 2 thousand. The SegWit proposal provided for a partial shift of transaction management to a network external to the blockchain. And it has also been complemented by a doubling of block capacity to 2 Mb.
When Bitcoin Cash was born, the initial fear was that it could erode Bitcoin's value. Or, vice versa, that it would never take off as it was seen as an ape of the latter. And instead, all in all it went well for both. Rather. Bitcoin after August 2017 has experienced an incredible surge, while Bitcoin Cash has gradually settled in the top 7 cryptocurrencies in terms of price and trading volume in a couple of months.
Why was Bitcoin Cash born?
Why was Bitcoin Cash cryptocurrency born ? It is fair to ask and the answer lies in what we have said so far. On the one hand, its developers wanted to speed up BTC transactions, still at 1MB as it was when it was launched in 2009. On the other hand, there is also a more ideological reason, let's face it. The creators of BCH did not tolerate the fact that the first cryptocurrency, created precisely to make the monetary system democratic and decentralized, ended up having monopolies (the so-called mining pools) within it. In fact, these monopolies are able to grab 20% of the bitcoins in circulation. With the consequence of creating inequalities of economic and political power (1 btc 1 vote) within the Blockchain. In short, BTC ended up betraying its initial mission.
Bitcoin Cash benefits
What are the benefits of using Bitcoin Cash? Here they are summarized below:
Speed: Very fast transactions in minutes
Reliability: there is no congestion and “bottleneck” effects in the Blockchain
Low commissions: ability to send money around the world by spending only a few cents
Ease of use
Stability: the system on which it rests is highly reliable
Transaction security
Thanks Again @Read.Cash for this amazing platform I hope someday you will include Table of Contents.
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