Bitcoin Cash is considered to be the pioneer cryptocurrency in the world, as it was the first to appear. This has made its relevance and popularity one of the largest due to the large number of users and time in the market that it accumulates.
Within Bitcoin we can find an alternative that has the same concept as the original currency, but with important improvements. This cryptocurrency is known as Bitcoin Cash, and it is precisely about it that we will talk to you here. We will tell you everything you need to know about its origin, technology, etc.
✨What is Bitcoin Cash? ✨
Bitcoin cash is a cryptocurrency developed by the same community, which emerged as a response to the scalability problems of Bitcoin. Bitcoin Cash is based on an open and decentralized source made from the technology of Bitcoin.
This change in the code made it possible to adapt this currency to a global environment, making it widely used, which partly solved the scalability problems. This coin solved the Blockchain overload that Bitcoin faces due to high transaction volumes which are limited by the number of blocks.
It can be said that Bitcoin Cash was born after the discussion and search for solutions by the community. This is due to the fact that Bitcoin has been centralized which has made the cost of commissions higher, as well as the control over it.
Known as FORK, in 2017 developers and users who did not reach an agreement on Bitcoin decided to create their own cryptocurrency. This is how Bitcoin Cash appears with its own independent Blockchain to Bitcoin, what has done that, although they share a name, they are totally different in blockchains.
✨Differences between Bitcoin Cash and Bitcoin✨
- Block size: The main difference between Bitcoin Cash and Bitcoin is in the size of the blocks that make up the chain. The maximum block size for Bitcoin is 1 MB while that of Bitcoin Cash is 8 MB.
- Transaction speed: Another difference that we can find is that the speed of transactions is much higher in Bitcoin Cash. This is due to the fact that, by having blocks of greater size and capacity, the exchange of information is made faster.
- Transaction costs: One of the main disadvantages is that this has been centralized increasing transaction costs. On the other hand, in Bitcoin Cash the commission costs are much lower which makes it one of the most accessible currencies in terms of operating costs.
- Safety: In order to offer much greater security to users, Bitcoin Cash has incorporated a SigHas signature system. This system will replace quadratic hashing, which seeks to increase the scope of security systems. In this way, both transactions and virtual wallets will be covered.
- Decentralization: One of the current disadvantages of Bitcoin is that its use has gradually become centralized. This has caused their operation and mining to be subject to the control of few users.. Bitcoin Cash can boast that it really is a decentralized cryptocurrency.
It was developed on Blockchain technology, although making some adjustments. The blockchain is open source Peer to Peer, although it is completely independent from Bitcoin. In this way, some Bitcoin problems are solved due to its old Blockchain.
The main characteristic of Bitcoin Cash is that it managed to solve the scalability problems of Bitcoin. For this, larger blocks are incorporated, 8 MB, in addition, a new algorithm was used to adjust the difficulty of mining known as EDA. This is to make BCH mining more attractive and profitable.
This algorithm was later replaced with a much higher quality one known as DAA. In addition, a new type of virtual signature known as SigHas was added, which focuses on improving the quality and security of transactions.
In order to solve mining problems and improve the validation of transactions, Bitcoin Cash incorporates a Proof-of-Work system and a SHA256 algorithm. In this way, the mining process is much more efficient, as well as its use in different digital transactions.
And, although many might think that to mine Bitcoin Cash you need powerful computers, in reality this is not the case. Thanks to the use of 8 MB blocks, as well as an optimized Blockchain, mining turns out to be much easier, which helps that they can be mined on less powerful computers.
Regarding mining operation costs, by requiring a lower power it is logical that these are reduced, although in reality there is not much information about it. If it is possible to mine with a common computer, as some users comment, then the energy consumption will be much lower.
✨How to use it? ✨
One of the advantages of Bitcoin Cash is that, Like Bitcoin and other cryptocurrencies, it has quickly gained value as a digital currency. This means that we can use it to pay transactions as if it were a dollar or a euro, albeit digitally.
Of course, you should take into account that not all stores accept Bitcoin Cash because its use is not yet as widespread as a Visa credit card. That is why you should verify if you can use it as a payment method in digital or even physical stores.
✨How to get Bitcoin Cash? ✨
To get a Bitcoin Cash, if you don't want to mine, then you can buy it through the main exchange houses. And is that Being one of the most used cryptocurrencies, it is available both in small exchange houses and in other larger ones.