The launch of Bitcoin, the first decentralized cryptocurrency, heralded a new era for digital financial systems that would change how value is transferred. Since its launch in 2009, Bitcoin has grown tremendously to become an accepted form of exchange albeit in the digital realm. The blockchain technology also came about as a result of the cryptocurrency and because of it, the way electronic money moves has evolved substantially. Of the many electronic currencies existing online, Bitcoin and Bitcoin Cash draw the most attention currently. This is mostly due to their sharing of a name but also somewhat due to their shared evolution story. Here is a quick look at the two cryptocurrencies and what differentiates them.
What is Bitcoin Cash?
To start off, we look at Bitcoin Cash. Bitcoin Cash is a cryptocurrency that only hit the market recently. This currency can be simply termed as the unexpected but inevitable evolution of Bitcoin. It is considerably fast, comes with lower fees and supports the modern technological infrastructure. The crypto came into existence in 2017 after some differences arose on how Bitcoin was supposed to be scaled.
Since its first block in August 2017, the crypto has continued to grow on the back of its key supporters. This cryptocurrency is now part of the huge sea of alternative currencies that came after Bitcoin. Since it charted its own path, Bitcoin Cash (BCH) is no longer of the same value nor interchangeable with Bitcoin (BTC). In fact, the only thing shared between the originator currency and the offshoot is the underlying infrastructure that established them in 2009. Other than that, the two are traded separately and under different terms.
What is Bitcoin?
Bitcoin (BTC) is the first decentralized cryptocurrency that introduced the first decentralized blockchain to the world. This cryptocurrency has been the most accessible and most preferred electronic currency for nearly a decade. It is traded in various online markets and its value has risen and fallen severally. Despite that, it remains to be the chief electronic currency that most users wish to invest in. Since its inception, there have always been debates about the upgrade and scalability of the cryptocurrency. The discussions and disagreements are what have largely resulted in the split between Bitcoin and its related alternative Bitcoin Cash.
The Main Differences Between BTC and BCH
- Bitcoin is more acceptable among users since it is more established. There are also more BTC than BCH wallets.
- BCH allows for bigger blocks and thus more transactions per day.
- BCH is considerably faster than BTC owing to the upgrades and change of operating mechanism.
Other than the few differences noted above, much of the structure and core aspects of the two cryptocurrencies remain the same.
The Future of the Two Alternatives
The establishment and development of BCH were chiefly led by a community of miners who wanted improvements that would make the mining and processing of the electronic currency easier. The changes proposed by this community were however not supported by the core users of Bitcoin. For now, the two currencies will continue being subjects of the market forces. The success of either depends on how they will address the needs of core users.