Bitcoin cash birth

Created in 2009, bitcoin is a virtual currency (or cryptocurrency) that allows users to send and receive money directly to a bank or other payment intermediary for ease of transaction. This peer-to-peer system is based on blockchine technology, which keeps a public ledger of all transfers in the bitcoin network by preventing fraudulent activities such as double spending.

Bitcoin is the most popular cryptocurrency in the world with a large margin, but continues to expand, especially when faced with serious difficulties in managing scalability and its rapid growth. Disagreements within the Bitcoin community over how to address these issues have eventually led to a difficult loophole in the blockchain, leading to the emergence of a new independent cryptocurrency called Bitcoin Cash (BCH).

More operations, more problems

Bitcoin uses the Proof-of-Work (PoW) method to validate transactions over the network and then add them to the blockchain. When a transaction first occurs, it is grouped with others that have not yet been authenticated in a cryptographically protected block.

Computers, often referred to as miners, use the processing power of their GPU and / or CPU cycles to solve complex mathematical problems. When passing the data as a whole through the SHA-256 algorithm, the collective force finds a solution and therefore solves the block.

Removed, the block is added to the restricted block, and all relevant operations are confirmed and fully processed at this point. Miners who solve the block are rewarded with bitcoin, with a variable amount based on everyone's respective hashing power.

The maximum block size in a Bitcoin block is limited to 1 MB and limits the number of transactions that can be verified at any one time. As a result, people who provide transactions have been found to wait longer and longer to confirm that the use of bitcoin continues to spike.

Those who chose to pay for larger transactions took precedence, but the general bottleneck became clear. The average time to confirm the legitimacy of a bitcoin transaction has slowed significantly, a trend that is likely to continue.

Birth of Bitcoin Cash

The solution for this problem may appear to be simple from the start: simply increment the block size. Making such a change, however, is not easy because of the very high pluses and minuses. While many in the Bitcoin community advocated abandoning things, others opposed a larger maximum blogging.

In the end, this difficult block of the block was decided by the latter groups. This split marked the creation of Bitcoin Cash on August 1, 2017 as its independent cryptocurrency. This showed that the nation that kept bitcoin during the hook also had an amount similar to Bitcoin Cash.

All transactions that take place after the block number 478558 on Bitcoin and Bitcoin Cash blockkains are part of completely separate entities and have no connection to each other. Bitcoin Cash is an alternative cryptocurrency known as an altcoin that contains a unique code base, developer community and set of rules.

Bitcoin Cash vs Bitcoin: Key Differences

The maximum block size of Bitcoin Cash is 8 MB, unlike the 1 MB limit of bitcoin. This theoretically provides lower transaction fees and faster approval.

Bitcoin Cash Transactions uses an updated signature hashing (SigHash) algorithm to invalidate the original bitcoin blocker and prevent replay attacks.

Unlike Bitcoin's core development team, Bitcoin Cash is protected by a group of many independent programmers for software decentralization.

The Emergency Force Settlement (EDA) is designed to encourage miners to migrate to the Bitcoin Cash Network and to protect against sharp fluctuations in the hash rate.

Bitcoin Cash to buy, sell and trade

On many popular exchanges, such as Bitcoin Cash, Coinbase, Bittrex, Kraken, and CEX.IO, bitcoin itself is traded and traded for fiat currency, such as the US dollar or other cryptocurrencies.

Bitcoin Cash Wallets

Like Bitcoin, Litecoin, Feathercoin, and other cryptocurrencies, Bitcoin Cash can be stored in digital wallet apps or in a physical hardware wallet - both protected by special keys. You can also choose to keep BCC in an offline paper wallet, but this method is only recommended for advanced users.