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What is Bitcoin Cash (BCH)?
Explore the world of decentralized finance with Bitcoin Cash (BCH) - a blockchain technology-based cryptocurrency with faster transaction speeds and lower fees.
Bitcoin Cash (BCH) is a cryptocurrency that was created by forking the Bitcoin blockchain in 2017. It is currently one of the most traded crypto currencies on the market.
One of the main issues with the original Bitcoin system was that transactions were slowing down due to a restricted limit on the number of transactions that could be included in each block. Bitcoin Cash addresses this problem by increasing the block size from 1MB to 8MB, allowing for faster and more efficient transactions.
In the early days of Bitcoin, developers attempted to find a solution to this issue but were unable to do so. Instead of altering the original Bitcoin system, they chose to create a new coin that runs on the same blockchain. At the time of its creation, Bitcoin Cash was given a value equivalent to the amount of Bitcoin held by users.
Advantages of Bitcoin Cash:
- Faster confirmation times due to increased block size
- Removing the SegWit protocol found in the Bitcoin system
- Widely traded on various crypto exchanges
Mining Bitcoin Cash: To mine Bitcoin Cash, you need to have specialized ASIC devices as well as a wallet to store your earned BCH. The process of mining is essential for the security and continuity of the network. It is possible to mine BCH individually or as part of a mining pool. Since the process of creating new blocks is complex and requires a lot of computational power, it is often more profitable to join a pool if you lack the necessary equipment.
Differences between Bitcoin and Bitcoin Cash:
- Bitcoin Cash was created as a separate version of Bitcoin
- Block size in Bitcoin Cash is 8MB, whereas in Bitcoin it is limited to 1MB
- Bitcoin Cash does not use the SegWit protocol that is present in Bitcoin
- Bitcoin Cash has a faster and cheaper trading system compared to Bitcoin.