What do you think, is it worth buying Bitcoin Cash instead of Bitcoin?
It can be confusing to choose one between Bitcoin and Bitcoin Cash since each has its own set of pros and cons. It comes down to the investor’s personal choice at the end of the day.
Bitcoin was the first successful cryptocurrency that was launched in the year 2009. It was not even intended to be a cryptocurrency when it was first written about in a paper by Satoshi Nakamoto.
Bitcoin and other cryptocurrencies have taken the whole world by storm with the record-breaking rise in their values.
As the name implies, Bitcoin Cash has been originated from the cryptocurrency market leader, Bitcoin. But, it is not like you could invest in one and reap the benefits of another.
Is It Worth Buying Bitcoin Cash?
Despite being a spinoff of Bitcoin, Bitcoin Cash is a self-sustained cryptocurrency with its own blockchain and transaction history. It came into existence in the year 2016, which makes it fairly young.
Bitcoin Cash was forked because the developers of Bitcoin wanted to make a few minor changes to blockchain that they deemed important. But, since members of the community could not come to a common solution, the fork was introduced. This gave way to a new and modified version of Bitcoin featuring the same codes.
- Unique functionality
There are a couple of vital protocol improvements that make Bitcoin Cash stand out:
- Brand name
The “Cash” aspect of the name says it all. The idea of cryptocurrency being used as a cash-like commodity was particularly appealing to the users who once advocated Bitcoin. With the release of BCH, they were expecting it would more easily be exchanged or traded with minimal to no additional fees.
The community has always voiced their support for an increased transaction capacity for Bitcoin. This has become a reality with the limit of Bitcoin Cash’s block size being increased to 8MB initially and 32MB later on.
In order to promote a better and safer way of protecting data, Bitcoin Cash has come up with a new way to make transactions. It is loaded with additional features, like input value signing as well as removal of the quadratic hashing problem.
- Protection from a replay attack
If ever in the future, Bitcoin Cash decides to split up, then a wipeout protection plan is already thought out for both the chains. With the help of this, both chains will be able to coexist with the least amount of disruptions possible.
As of 7 June 2018, the present value of BCH has increased about 1.22% and is currently at $1,147.92. On the other hand, Bitcoin is not doing as well as it was expected to do in the first quarter of 2018. It is currently $7,704.88.
What makes BCH an attractive investment option?
The forecast for Bitcoin Cash for this year is as high as $6,700. Although it might remain secondary to Bitcoin, the chances of Bitcoin Cash’s appreciation in the coming times are quite high.
The whole purpose of creating Bitcoin Cash was to speed up and ease the process of transactions. The investors are more drawn to Bitcoin Cash than they are to other cryptocurrencies.
This is not because of the ease of use or the increase in speed of transactions, but also because of the growth in value.
Clash of the Titans
The main differences between Bitcoin and Bitcoin Cash are as follows:
- Bitcoin Cash was born as an outcome of forking;
- Bitcoin Cash is supposed to be much faster and more reliable in finalizing transactions;
- Though, Bitcoin offers better security.
Which is better as an exchange medium?
Bitcoin’s tremendous growth in the past and the estimated growth of Bitcoin Cash in the future is what is attracting people towards them. But, Bitcoin Cash seems to be a better exchange medium because it is closer to being a currency as we know it and it is also much faster to use than Bitcoin.
Which cryptocurrency is better as an asset?
Bitcoin saw phenomenal success in the past and it is estimated to continue growing in the future. It means that a lot of people will probably be joining the platform.
But, the problem of Bitcoin scaling will be real if it is not able to keep up with the growing number of users. Comparatively, Bitcoin Cash has better fundamentals to offer but on a much smaller scale. It depends on what the individual user’s expectations and needs are.
Where to buy the coin?
Bitcoin Cash did phenomenally well till the point. However, not all exchanges were open to accepting the changes when the fork was introduced.
Initially, BCH was listed by only a few pioneer exchanges that not only weathered the split but also granted their users with the due amount of newly released coins.
Today, BCH is gradually winning the market and getting a firm hold among other cryptocurrencies. It can be easily traded at cryptocurrency platforms and exchanged to a wide range of fiat currencies.
- The largest markets for BTC – Binance.
- The largest markets for USD – Coinbase.
- The largest market for EUR – Kraken.
In addition to these pairs, BCH can also be traded against JPY (take Quoinex, for instance), or GBP (as is said in the overview of CEX.IO).
Both coins are separate from one another and offer different benefits. They cater to different markets and thus different audiences, although they do complement one another. It all comes down to the individual who is looking to invest. His/her needs and expectations out of making the investment are what drives the decision.