First launched globally in 2017, Bitcoin Cash is now available for trade, in Malaysia alongside its crypto peers, Bitcoin, Ethereum, Ripple, Litecoin and countless others.
What is Bitcoin Cash?
Going back a few years to 2017, Bitcoin saw a major spike in popularity, and because not all popularity is good, the site noticed longer transaction times and frequent network overloads. Several solutions were tried and tested, however, the security of Bitcoin was at risk with every single one.
The solution, creating a hard fork, Bitcoin developers created Bitcoin Cash that came with its own blockchain and larger block size. Bitcoin Cash can process transactions faster and more efficiently than the Bitcoin network, so wait time is shorter with smaller fees. It also allows for more users to be on the platform compared to its predecessor Bitcoin.
Should I buy Bitcoin Cash?
Bitcoin and Bitcoin cash are like waffles and pancakes. Similar ingredients but overall difference in taste and texture. The question is, are you a waffle or a pancake person?
The most significant difference between the two branches of crypto lies in its philosophy. Bitcoin (BTC) is a censorship-resistant, decentralised, permissionless, and trustless community, sounds harsh, but they’ve accepted the fate.
Bitcoin Cash (BCH) is a community that views the consumers’ mass adoption of bitcoin as more important than decentralisation. So you decide which philosophy you want to adhere to. No judgement here, we promise.
There are enough differences between the two that you may want both for different reasons.
Differences between Bitcoin and Bitcoin Cash.
Some of you may need a little more help with the decision making process. So let’s break it down. Starting with Bitcoin Cash (BCH);
Bitcoin Cash Advantages
The most prominent advantage of BCH is that it’s cheaper, faster. Due to the larger block, more people can transact on it faster, making it more scalable. BCH is also cheaper to move around between exchanges, meaning it might one day be a better trading asset against Bitcoin.
Bitcoin Cash Disadvantages
The adoption rate and penetration of BCH into the market are slow compared to its older brother Bitcoin. Keep in mind that it is a much newer coin and does not have the same investor confidence, but that will change with time.
Let’s now move on to the OG, Bitcoin (BTC);
As mentioned, it is the OG of cryptocurrency, it is what all other cryptocurrencies trade against. Despite the last couple of weeks following Elon Musk’s tweet (you know the one), in 2021, Bitcoin is worth an average of 43.9% of the entire crypto industry. With its closest competitor Ethereum coming in at only 18.3%. (sourced on 25th of May, 2021)
Aside from that, the Bitcoin community has almost a cult-like trust in cryptocurrency. Yes, it is that popular.
Scalability is the number one problem with Bitcoin. Going back a few years or 10, Bitcoin developers grossly underestimated the volume of users that would enter the blockchain, which is why their initial modal has the drawbacks that we see today. One of the problems they intended to solve with the release of Bitcoin Cash surrounded this topic, which is why BCH has a larger block.
The other disadvantage, BTC and BCH have two different core development teams. If you are from or have ever worked in the tech space, having opposing development teams or people is a red flag. This clear divide of leadership makes implementations for new features and scaling solutions more difficult.
In conclusion, BCH is the future of transactions, it’s easier to adopt and more flexible when you want to move it around. BTC however, is still the gold standard for cryptocurrencies and obviously has more store value.
The question remains, which do you prefer? We always encourage independent research so don’t take our word for it.
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Coin Market Cap, https://coinmarketcap.com/charts/
Fintech News, https://fintechnews.my/27225/blockchain/luno-offers-bitcoin-cash-for-trading-following-approval-from-the-sc/
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