You are eager to become a part of the crypto community and then you recognize a great number of coins to choose from. No doubt, there is hardly a person that would not like to become the owner of the first digital cryptocurrency. However, the huge list of coins attracts a newcomer and the leaders of the crypto list offer numerous advantages. In this article, we will explain pros and cons of using Bitcoin Cash in comparison to Bitcoin itself.
What is Bitcoin Cash?
Bitcoin Cash is a fork of Bitcoin, but in simple words, it is anyway a cryptocurrency with its own blockchain. This cryptocurrency was created in 2017 as a decision for solving Bitcoin’s extremely long transaction times and high transaction costs.
Bitcoin miners found a solution in separating from the Bitcoin network. Implementation of Bitcoin Cash increased the block size; that is instead of 2MB for Bitcoin, there is 8MB for Bitcoin Cash. Additionally, the Bitcoin Cash protocol has a flexible hash complexity that allows adaptation to the number of miners in the network. What concerns the speed, the transaction time is four times faster.
Bitcoin Cash advantages
The crypto fan needs to understand the major differences between these two significant cryptocurrencies. Firstly, Bitcoin Cash offers cheaper transfer fees, around $0.20 per transaction when a Bitcoin transaction costs around $1 per transaction. Secondly, you have to wait for 10 minutes to verify your Bitcoin transaction and Bitcoin Cash does not make you wait that long, as it lasts 2minutes and a half. Finally, Bitcoin Cash is more scalable; it is able to make more transactions per second in comparison with Bitcoin. All this gives great potential to the higher level of usage of the cryptocurrency.
Bitcoin Cash disadvantages
Could ever Bitcoin’s fork have the edge on its patriarch? They say it can never happen. Bitcoin is the profound currency of the entire crypto world. Who knows, it might happen in the future that there exists some coin leaving Bitcoin behind. Nevertheless, certainly, not now. Speaking about Bitcoin Cash, let’s come over several disadvantages to be more precise. First of all, Bitcoin Cash has lower adoption rate and market penetration.
The coin is much newer and does not have that much of investor trust as Bitcoin. Secondly, the cost for Bitcoin Cash mining is almost the same as mining Bitcoin, but its price is only 10-15% of Bitcoin price. That means minimum twice less profit for mining Bitcoin Cash in comparison to Bitcoin. What’s more, in terms of trading, Bitcoin Cash is less tradeable; Bitcoin is the most popular cryptocurrency ever and it has most of trading pairs with other cryptocurrencies.
Bitcoin Cash and its fork
In 2018 Bitcoin Cash presented its fork Bitcoin SV (Satoshi Vision). Bitcoin SV restores the original Bitcoin protocol adjusting it with larger block sizes to reduce transaction fees. The name of the coin reflects its mission that is to fulfill the vision of Bitcoin. Bitcoin SV is developed by nChain a company in research and development of blockchain technologies. Craig Wright who claims to be the original Nakamoto leads the cryptocurrency.
To conclude, Bitcoin Cash has its own advantages in usage. It might become the great tools for transactions with higher adoption among users. However, Bitcoin is used as a store of value; it is the most precious coins in the digital world. They have a lot of predictions for Bitcoin’s future, but we can analyze its past to be sure that it does have the future. The coin is a worthy investment for a smart user. At the end of the day, Bitcoin will still be number one in the digital race.