Bitcoin Cash is a cryptocurrency that is a fork of Bitcoin. Bitcoin Cash is a spin-off or altcoin that was created in 2017.In 2018 Bitcoin Cash subsequently split into two cryptocurrencies: Bitcoin Cash, and Bitcoin SV. Bitcoin Cash is sometimes also referred to as Bcash and, it is represented by the symbol BCH.
About Bitcoin Cash
On its emergence, it caused a not so subtle disruption in what was initially business as usual for the bitcoin industry. A code change that essentially halved the bitcoin market was affected, eventually splitting it into two. This crypto phenomenon can be said to have birthed the bitcoin cash.
The innovation was meant to boost the bitcoin ledger referred to as the blockchain and was aimed at increasing the number of transactions. This objective was achieved by raising the block-size limit from two megabytes to eight megabytes.
Bitcoin Cash uses a proof-of-work algorithm to timestamp every new block. The proof of work algorithm used is the same in both cases. It can be described as a partial inversion of a hash function. Additionally, both Bitcoin and Bitcoin Cash target a new block to be generated every ten minutes on average. The time needed to calculate a new block is influenced by a parameter called the mining difficulty. If the total amount of mining power increases, an increase of the mining difficulty can keep the block time roughly constant. Vice versa, if the mining power decreases, a decrease of the mining difficulty can keep the block time roughly constant.
To keep the block generation time equal to ten minutes on average, both Bitcoin and Bitcoin Cash use an algorithm adjusting the mining difficulty parameter. This algorithm is called the difficulty adjustment algorithm (DAA). Originally, both Bitcoin and Bitcoin Cash used the same difficulty adjustment algorithm, adjusting the mining difficulty parameter every 2016 blocks. Since 1 August 2017, Bitcoin Cash also used an addition to the DAA, called an Emergency Difficulty Adjustment (EDA) algorithm. EDA was used alongside the original DAA and it was designed to decrease the mining difficulty of Bitcoin Cash by 20%, if the time difference between 6 successive blocks was greater than 12 hours.[
EDA adjustments caused instabilities in mining difficulty of the Bitcoin Cash system, resulting in Bitcoin Cash being thousands of blocks ahead of Bitcoin. To address the problem with stability, a change of the Bitcoin Cash DAA was implemented and the EDA canceled. The change took effect on 13 November 2017. After the change, the Bitcoin Cash DAA adjusts the mining difficulty after each block. To calculate the difficulty for a new block, the Bitcoin Cash DAA uses a moving window of last 144 blocks.
A group of researchers demonstrated that, as of June 2019, Bitcoin DAA fails to generate new blocks at a constant rate as long as the hash supply is elastic. In contrast to that, the group demonstrated that Bitcoin Cash DAA is stable even when the cryptocurrency price is volatile and the supply of hash power is highly elastic
The Revelation of Bitcoin Cash.
This achievement caused a raucous in the business of bitcoins and its community. From conception to execution, it was met with massive resistance from miners benefitting massively from its other half.
The members sitting on the other side of the fence mostly treated the cryptocurrency as an investment scheme rather than the transactional currency that it was.
The bitcoin cash is said to have arisen to retrace the steps of the bitcoin project. It is estimated to be more favorable and here are five (5) reasons why it stands out;
- Fantastically Low Transaction Charges.
The fees levied on bitcoin cash transactions is almost next to nothing. The Bitcoin cryptocurrency faction stands out immensely by its remarkably decreased transaction rates. This makes it much cheaper for the bitcoin users and favors both the sender and the recipient in the short and long run.
- Fixed Market Value.
The bitcoin cash has a measure in place to ensure the non-existence of more than twenty-one million coins. As a more futuristic currency, it solves the problem of inflation, a nuance consistent in most currencies. Its cycle effectively preserves value which makes for a more productive payment system.
- Complete Governance Over Your Money.
The government or the management of banks in different countries can easily decide the fate of bank accounts and monies kept in said accounts, as easily as the wind blows. With bitcoin cash, you maintain complete control over your funds in addition to possessing ultimate operational ability from anywhere in the world. There are no barriers; there are no middlemen. You do not require anyone or any entity’s permission to determine how your money moves.
- Simplicity, Speed and Reliability.
The bitcoin cash is remarkably easy to use and maneuver. This simple, yet effective, mode of transaction is very appealing to customers who do not wish to spend excessive amounts of time to make or receive payment. It remains one of the fastest ways to receive and send money without hassles.
The bitcoin cash is pivoted on a reliable network. Its design was crafted to combat and defeat obstruction in the system.
- Discounts: Ease of Doing Business.
With the growing number of bitcoin cash users (many businesses included), merchants are now able to offer numerous discounts on goods and services. This is splendid news to the buyer making use of bitcoin cash as payment. But, it is also made possible as a result of the averted cutbacks in profit margin, usually owing to credit card fees or overly high transaction charges.
To Wrap It Up
The bitcoin cash has proven evidentially, to be a more feasible payment method as it pertains to cryptocurrency. It stands out and for good reasons too.