It’s time to introduce another token! Today, we’re looking at the infamous Bitcoin spin-off, Bitcoin Cash (BCH).
So, let’s get started.
BCH is a blockchain network and cryptocurrency that was created from a hard fork of the Bitcoin blockchain. Its aim was to solve Bitcoin’s scalability issues by accommodating a larger block size. This means it can process transactions more quickly and at a much lower cost than the Bitcoin network, as well as be used by more people at the same time.
The intention behind BCH was to restore BTC’s original vision of being a payment system - it was designed to be spent as an “electronic cash”, rather than be held as a store of value. To achieve that, a bigger block size was required in order to handle a greater number of daily transactions and ultimately speed them up. So, the decision to fork the network was eventually reached.
You can buy, store, exchange, save and spend BCH with Wirex - give it a go today.
BCH is the result of a Bitcoin hard fork that took place in August 2017. It came about following a disagreement surrounding how best to increase Bitcoin’s block size limit. One group of developers, miners and investors favoured a proposal called SegWit2x – those who opposed it went on to create BCH.
Interestingly, BCH underwent a fork itself in November 2018, splitting it into Bitcoin Cash ABC and Bitcoin SV. Bitcoin Cash ABC is pretty similar to Bitcoin Cash, except it reinvests 8% of every block reward into innovating the network, effectively paying the developers a salary.
Bitcoin SV, aka Bitcoin Satoshi Vision, is led by the Australian scientist and self-proclaimed Bitcoin creator, Craig Wright. Bitcoin SV’s main focus is on providing even bigger block sizes than Bitcoin Cash.