Join and earn Bitcoin Cash for participation

Explaining BCH halving: what was it ? and how will it effect the bitcoin cash price?

0 30
Avatar for hamedbkh
Written by   15
1 month ago

Everyone lately was (and still) talking about BCH "halving" and how it's going to be a huge boost to the BCH price which occurred yesterday the 7th of april (roughly a month before the 2020 bitcoin halving), yet only few people knows what does "halving" really means in the cryptos world. so im going to give you a brief and simple explanation of the Bitcoin Cash halving.

what is BCH halving??

Most of us know that this BCH halving is the first halving for this crypto as an independent cryptocurrency after it was created in 2017 after a hard fork of the Bitcoin blockchain, so it shares alot of properties with BTC. as a result, BCH is a crypto with a predictable supply schedule , meaning is we can make an approximate estimation of how much BCH will be created in a given hour, day, month or year with a lot of accuracy. and just as BTC, there is a limit on how many BCH can be ever created (the limit is 21 million BCH) and the mining rate of BCH slows down by half each time 210,000 blocks are added to the Bitcoin Cash blockchain. This process takes about 4 years. Before yesterday's halving  Bitcoin Cash miners get 12.5 BCH for each block that's added to the Bitcoin Cash blockchain (the same as with Bitcoin). After the halving, this reward is reduced to 6.25 BCH.

Now, we have to ask the most important question: how is this halving going to effect the bitcoin cash price?

How will this effect the price of BCH?

Usually, everyone who is investing in cryptos pays a very close attention to the halvings  as they increase a cryptocurrency's scarcity. so from that we can think obviously halvings will make the price higher. However, keep in mind that  the cryptos market is still relatively young and there isn't a lot of history to help us make an educated guess ,especially in Bitcoin Cash's case, as it has never had a halving before. 

$ 0.00
Avatar for hamedbkh
Written by   15
1 month ago
Enjoyed this article?  Earn Bitcoin Cash by sharing it! Explain
...and you will also help the author collect more tips.


About us Rules What is Bitcoin Cash? Roadmap Affiliate program Get sponsored Self-host (PGP key) Reddit