The world of cryptocurrencies and digital assets has seen many Bitcoin clones. One could go so far as to claim that almost all currencies developed after Bitcoin is, in the end, a Bitcoin clone. Bitcoin Cash is not an exception in this regard. Although he tried to solve one of the biggest problems in the cryptocurrency. However, things have not exactly gone according to plan.
The creation of Bitcoin Cash
Bitcoin, although it remains the world’s leading cryptocurrency market valuation, has some very important problems. It is slow and expensive to use, and the currency is rather a speculative vehicle. As no real progress was made to combat these technical problems, a group of dissatisfied users decided to “fork” Bitcoin and create their own version known as Bitcoin Cash.
Why is Bitcoin Cash different?
There are some key differences between Bitcoin and Bitcoin Cash. The “bifurcated” currency pursues a much larger block size, which effectively allows a greater performance of the transaction. It uses the same data mining algorithm as Bitcoin, which makes it easier for miners and mining groups to switch between the two currencies, depending on which is more profitable than the mine at that time.
In addition, Bitcoin Cash has faster transactions than the Bitcoin legacy. One of the big problems with BTC retention is how to take between 30 and 120 minutes to get the transactions confirmed (assuming 6 confirmations are needed).
Combined with the lowest transaction rates and the largest block size, Bitcoin Cash has successfully received a lot of positive attention. It is also backed by some notable individuals, including the same “See Bitcoin” Roger Ver.
There were some initial concerns about how the Bitcoin Cash bifurcation would get value from Bitcoin itself. During the initial weeks, that seemed to be the case, although since then lines of battle have been drawn between the two projects.
Bitcoin remains the most successful cryptocurrency to date.
Bitcoin Cash, although relatively successful last year, has unfortunately lost a lot of ground and strives to maintain a position among the top five at this time.
The challenged network update of 2019
Although Bitcoin Cash successfully survived its first year, the current perspective is a bit different. The most recent update of the network protocol, which took place on November 15, 2018, has effectively divided the Bitcoin Cash community into two.
A new fork, known as Bitcoin SV, has been created in the process. Since then, there has been a constant battle for the control of hash power and the domination of prices. Both currencies tend to pair quite frequently lately.
The road ahead
At the moment, there is no real indication that Bitcoin Cash is going anywhere. The split with Bitcoin SV has caused some bumps along the way, but it seems that both versions of Bitcoin will coexist for some time.
Also published on Medium.