Bitcoin and Bitcoin Cash are sensational and popular cryptocurrencies. They raise more and more questions every day: what to invest in, which of the crypts is more convenient and safer, and is it worth waiting or investing now?
What is Bitcoin (BTC)
Bitcoin is a virtual currency (or cryptocurrency) that allows its users to send and receive funds directly to each other without the involvement of banks or other payment processing intermediaries, making transactions like ETH to BCH easier. This peer-to-peer system is based on blockchain technology that maintains a public ledger of all transfers on the BTC network while preventing fraudulent activities such as double-spending. It is the most popular cryptocurrency in the world.
But it has faced significant challenges as it continues to expand, especially when it comes to scalability and its rapid growth.
What Is Bitcoin Cash (BCH)
Disagreements within the community on how to solve these problems eventually led to a hard fork in its blockchain and the creation of a new standalone cryptocurrency. Bitcoin Cash (BCH) is the first and most popular/expensive cryptocurrency. The main features are:
- Complete anonymity;
- Lack of control by the authorities;
- The ability to issue “coins” on their own (mining).
Users do this with the help of powerful mining farms that solve complex mathematical algorithms to obtain new “coins.” The parent Bitcoin (base) software chain was divided into two (the Bitcoin fork occurred), and the crypto world got a new currency.
Benefits of Bitcoin
In addition to the advantages mentioned above, BTC is also chosen due to such advantages:
- Very low commissions. In addition, commission deductions for BTC transactions don’t depend on the amount of the transfer and become necessary only in the case of very large money transfers (because they heavily load the network and slow down its work).
- Work without days off. To transfer BTC, you only need access to the Internet, and there is no need to stand in line or wait for the bank break to end.
- Security. BTC cryptography is divided into public and private keys, allowing you to protect the data and make it inaccessible to forgery or theft.
- No need to turn to intermediaries, such as banks. Now you manage your funds yourself.
Benefits of Bitcoin Cash
In addition to the standard advantages, Bitcoin Cash can boast:
- A larger block size — 8 MB vs. Bitcoin’s 1 MB. Thus, the ability to conduct more transactions in Bitcoin Cash is higher.
- An improved type of transactions (in the case of Bitcoin Cash, this innovation helps avoid the problems of quadratic hashing).
- The network has a different system of protection against careless user actions. For example, users of the new cryptocurrency are protected from parallel transactions that can occur simultaneously on two networks through the BCH software.
- A larger block size — 8 MB vs. Bitcoin’s 1 MB. Thus, the ability to conduct more transactions in Bitcoin Cash is higher.
- An improved type of transactions (in the case of Bitcoin Cash, this innovation helps avoid the problems of quadratic hashing).
- The network has a different system of protection against careless user actions. For example, users of the new cryptocurrency are protected from parallel transactions that can occur simultaneously on two networks through the BCH software.
- A larger block size — 8 MB vs. Bitcoin’s 1 MB. Thus, the ability to conduct more transactions in Bitcoin Cash is higher.
- An improved type of transactions (in the case of Bitcoin Cash, this innovation helps avoid the problems of quadratic hashing).
- The network has a different system of protection against careless user actions. For example, users of the new cryptocurrency are protected from parallel transactions that can occur simultaneously on two networks through the BCH software.
- A larger block size — 8 MB vs. Bitcoin’s 1 MB. Thus, the ability to conduct more transactions in Bitcoin Cash is higher.
- An improved type of transactions (in the case of Bitcoin Cash, this innovation helps avoid the problems of quadratic hashing).
- The network has a different system of protection against careless user actions. For example, users of the new cryptocurrency are protected from parallel transactions that can occur simultaneously on two networks through the BCH software.
What to Choose
Despite some differences between Bitcoin and Bitcoin Cash, there is not much difference (despite, perhaps, the exchange rate) at first glance. At the same time, to start investing in one of the cryptocurrencies on the crypto anonymous exchange, an investor needs to have the necessary funds and be able to analyze the market.
To begin with, it wouldn’t be superfluous to trace the “behavior” of both cryptocurrencies in recent times and analyze it well. Based on the data received, you can decide whether to invest in it.
As a rule, more risky and/or experienced traders invest in BTC, and these investments are aimed more at increasing profits. Bitcoin Cash will be a convenient cryptocurrency for those who want to pay with electronic money. For it, a mechanism to speed up transactions was invented.
Also Read: Top 20 Cryptocurrencies you need to know about
