Since emerging from the shadows of Bitcoin (BTC) in the most famous hard fork to date, Bitcoin Cash (BCH) has done remarkably well to be one of the most well-regarded currencies in its own right. In terms of market cap, it sits 4th in the list, only behind the original Bitcoin, Ethereum and Ripple. It makes its mark in terms of BCH to USD price too, as it is the second most expensive coin on the market, again after the original Bitcoin.
The History Of Bitcoin Cash
Bitcoin Cash was created on August 1, 2017, after disagreeing with Bitcoin’s SegWit implementation to scale the currency up. A new version of Bitcoin had block sizes of up to 8 MB, which was eight times bigger than the original size. Recently, Bitcoin Cash has undergone another upgrade on the network and expanded the block to 32 MB.
Since its inception, the coin has remained quite stable, with some notable spikes in November and December of 2017. Taking into account the growth dynamics of Bitcoin Cash, the coin will unlikely have a bad slump in price any time soon. This would give the investors confidence that they aren’t going to dramatically lose their money that they place into Bitcoin Cash, but should, in fact, imply an increase over time.
The Biggest Selling Points
It’s faster and cheaper than Bitcoin
One of the biggest positives about Bitcoin Cash, especially in comparison to Bitcoin, is the advantage of having a larger block size. The transactions with Bitcoin Cash happen within seconds and get confirmed within minutes. This can be a vital positive in a world where everyone now expects everything to happen very quickly. With some other coins, however, these waiting times can be an issue.
Another advantage to Bitcoin Cash is the low fees that are charged for those transactions. Money can be sent all around the world for minimum fees, whereas with Bitcoin sometimes it’s only worth sending it if you’re dealing with a large amount. Not only do you get the speed and low transaction costs with BCH, but you also know you’re using a reliable network and one that won’t become too congested.
It’s a well-supported coin
Since its inception in August 2017, Bitcoin Cash has received a vast amount of support to improve its infrastructure from exchanges and wallet providers which have helped build it up to the point of where it is today. Numerous firms have helped them achieve the goal of developing an open-source and permissionless blockchain system. There is also an increasing number of merchants who are accepting Bitcoin Cash, which is more than any other currency aside from Bitcoin.
Bitcoin Cash is a well-supported currency which is moving away from the traditional problems associated with the original Bitcoin. In terms of its price, while it has been relatively stable during its existence, there are trends which indicate that now might be a good time to invest. There have been cycles where it has gone through a lull in price only to rise once again. At the moment, it is in one of those lulls as its price has been steadily falling since May.
A Perfect Time To Buy?
In April though, the coin was going through one of the steady slumps before rising again, and it is still above that April level. The long-term future for the coin looks good as it is slowly moving away from Bitcoin. This will only strengthen the coin as it becomes more independent.
The future of Bitcoin Cash looks good though due to the likelihood of it being accepted as a new way of dealing with money. There will still be a time when cryptocurrency moves over to the mainstream and isn’t just seen as an investment opportunity or a tool to be used by merchants. In terms of being used like cash is today, Bitcoin Cash ticks nearly all the boxes.
It’s a portable currency which is highly secure, has the finite supply and is easily stored. When an average person gets switched on to using digital currency in everyday life, that’s where Bitcoin Cash could hold an advantage, and that could mean that its price continues to rise. The ease-of-use, minuscule transaction fees and its decentralized nature are what sets it apart from many currencies.
It Could Thrive When Cryptocurrencies Settle
For that to happen, the whole cryptocurrency market needs to become less volatile, but when it does, Bitcoin Cash could find itself at the forefront of the industry. Bitcoin will remain strong, but it’s likely that it will just become a coin for the rich. While that’ll help its brand, it won’t help it thrive. Bitcoin Cash instead could come to be seen as a coin for everyone.
Bitcoin Cash is a coin for now and for the future. There have been many predictions about its outcome (both positive and negative), but it has remained strong and will most likely continue to do so. The potential is there for it to challenge Bitcoin in the future as more people will see the advantages that it has over the original coin. The potential is also there for it to be lost under the Bitcoin name, while other coins take advantage of the eventual move into the mainstream, which will happen with digital currency.
Due to the nature of the current cryptocurrency market and the lack of understanding of it by many, it feels as though the advantages of Bitcoin Cash won’t be fully seen until years to come. Transaction speeds and fees will only increase in importance over time as people want to make smaller and more frequent transactions. However, given the unregulated nature of cryptocurrency and scrutiny from lawmakers, it might be still difficult to know for sure which direction the market will follow. Invest wisely and don’t venture more money than you can afford to lose.
Bitcoin Cash can be bought with fiat dollars or credit cards on CEX.io or Coinbase.
About the writer: Mary Callahan
As an expert on Bitcoin-related topics, I've found myself as a Journalist at TheCryptoCoinCenter.com and also Cex.io - cryptocurrency exchange. I'm working on articles related to blockchain security, bitcoin purchase guides or bitcoin regulations in different countries.
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