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Which One Should You Choose: Bitcoin Cash vs Bitcoin

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Written by   129
1 year ago
Topics: Bitcoin Cash

Bitcoin Cash vs Bitcoin - a war of two crypto titans!

Did you know that Bitcoin Cash originated from Bitcoin itself? That’s right — Bitcoin Cash nodes were once a part of the Bitcoin blockchain. Bitcoin Cash is a fork of Bitcoin.

But which of the two should you choose to invest in? What is the difference between Bitcoin Cash vs Bitcoin? What’s a “fork’? There are so many questions, and I’m here to answer them all!

By the end of this guide, you will know the difference between two different cryptocurrencies - Bitcoin Cash vs Bitcoin.

You will learn more about their history, value and their potential for the future. After this, you should be able to decide which one you would prefer to invest in, or whether you’d like to invest in both.

First, let’s look at a little about Bitcoin and its background. Then, I’ll explain what a fork is. After that, we’ll look at the story behind Bitcoin Cash and its features.

If you’re already familiar with Bitcoin and Bitcoin Cash and are just here for the comparison, skip to the section labeled Bitcoin Cash vs. Bitcoin: The War of The Prices!

Bitcoin

Bitcoin was the first ever cryptocurrency and for many years it wasn’t very known. It is just like any other real currency. You can use it to buy, sell and trade for goods, services, investments and more.

The blockchain technology that it’s made of prevents it from being counterfeited. It also means it is not owned, issued or controlled by any one single group or party.

For example, the US dollar is issued by the US government and is controlled by banks. In this scenario, the central party are the government and the banks. When you transfer dollars to a friend, you are relying on the bank to authorize and process the transaction.

Bitcoin, on the other hand, is not issued or controlled by any central authority. The transactions on the blockchain are verified by the computers that run the blockchain, and these computers can be owned by anybody — the blockchain is decentralized.

On the blockchain, transactions are stored and submitted in blocks. The computers verify the entire block of transactions at once by solving a complicated math problem. When the problem is solved, the transactions in the block are verified and new Bitcoin is created — it is given to the computer that solved the problem. This process is called mining!

The total number of Bitcoin that will ever exist is limited to 21 million. Even though there are already over 16 million Bitcoin, it’s going to be a long time until the count of Bitcoin reaches 21 million! This is because every 4 years, the amount of Bitcoin created per block is cut in half.

As more people try to get their hands on some Bitcoin and the rate of creation decreases, the common belief is that the value will increase. That is why so many people are crazy about Bitcoin now!

Today, Bitcoin is the most valuable cryptocurrency currently on the market. While other currencies are attempting to outrank Bitcoin and reduce its dominance over the digital-coin sector, few are getting close. However, Bitcoin Cash may be an exception to that due to the difference between Bitcoin and Bitcoin Cash!

As Bitcoin Cash is a fork of Bitcoin, I'll explain what a fork is before I explain Bitcoin Cash!

Bitcoin Cash

Like Bitcoin, Bitcoin Cash is a cryptocurrency with its own blockchain. It works just like a digital currency and new BCH (Bitcoin Cash) is created through Bitcoin Cash mining. It was created at the end of 2016, making it much younger than Bitcoin.

Bitcoin was forked to create Bitcoin Cash because the developers of Bitcoin wanted to make some important changes to Bitcoin. The developers of the Bitcoin community could not come to an agreement concerning some of the changes that they wanted to make. So, a small group of these developers forked Bitcoin to create a new version of the same code with a few modifications.

The changes that make all the difference between Bitcoin Cash vs Bitcoin are these:

  • Bitcoin Cash has cheaper transfer fees (around $0.20 per transaction), so making transactions in BCH will save you more money than using BTC. A BTC transaction can cost around $1 USD per transaction, although it previously went up to around $25 per transaction!

  • BCH has faster transfer times. So, you don’t have to wait the 10 minutes it takes to verify a Bitcoin transaction!

  • BCH can handle more transactions per second. This means that more people can use BCH at the same time than they can with BTC.

All these changes are due to the fact that a Bitcoin Cash block (in the blockchain) is eight times bigger than a Bitcoin block. This makes BCH faster, cheaper and more salable than Bitcoin. Bitcoin cash is becoming more and more adopted by the day because of this.

Bitcoin Cash vs Bitcoin: The War of the Prices

As mentioned earlier, cryptocurrencies like Bitcoin or Bitcoin Cash derive their value from how much they are adopted, used and demanded. We can analyze them in terms of ROI (return on investment) and value growth.

They are both holders of value, and while Bitcoin has been the holder of the most value up until now, Bitcoin Cash is gaining users and value fast.

Bitcoin Cash is still less than a year old. So, it is still in the stage of capturing and realizing its own place in the crypto market. Many people speculate that Bitcoin Cash might take a good portion of Bitcoin’s market share, making it the new dominant crypto in the industry. This is because Bitcoin Cash has addressed the scaling issues that Bitcoin faces, allowing more people to use it with ease and lower fees.

If the Bitcoin developer community doesn’t find a way to agree to a mutual update to the Bitcoin code to fix its problems, Bitcoin might lose in the war between BTC vs BCH. This means that more people will likely switch to using BCH as their main store of value and transaction currency.

In the recent past, Bitcoin Cash has been worth as low as 5% of Bitcoin, to as high as 33%. It is currently staying within the range of 10-15% of the price of Bitcoin. Below are charts of the BCH vs BTC prices over the past nine months.

(The orange line is BCH to BTC)

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Written by   129
1 year ago
Topics: Bitcoin Cash
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Comments

ill go for Bch because bitcoin now was having a high gas fee.that when you send some money you have to pay some huge about just to send a small amount.

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1 year ago

Thanks a lot

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1 year ago

I choice Bitcoin Cash because Bitcoin Cash has cheaper transfer fees. 🥰

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1 year ago

BCH is more stable than BTC and can handle multiple transends also may be

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1 year ago