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What is the Concept Behind Bitcoin Cash (BCH)?

What is the Concept Behind Bitcoin Cash (BCH)?

Bitcoin Immediate Connect is an open-source currency with decentralised nature so its blockchain technology can be accessible by anyone using the source code. In blockchain technology, everyone has the right to access the code base and to make a new chain of their transactions. When an essential alteration has been made to the protocol, that will change the way it will be operated and during the development level, a fork will be generated. Forks generated are of two types. 1. Soft fork 2. Hard fork

A soft fork is generated when changes have been implemented by the whole community but without compromise, whereas a hard fork occurs when the chain segregates into two blockchains that share the same past but future aspects in different forms.

What was the History Behind Bitcoin Cash?

 When the digital community had to deal with the issues relating to block size and the versatility of digital currency, then bitcoin cash started. The majority of the communist is not in favour of changing the size of the blocks but some were in favour of enhancing the block size to increase the transaction speed and reduce costs. Thus, these were the limitations due to which bitcoin was unable to explore as a viable cash alternative. However, it is a fact that increasing the transaction speed per block will ultimately reduce the cost. But due to increased size of blocks is a direct threat to decentralisation because several miners could be out of the race for cryptocurrency due to a lack of storage space to validate the network. The solution to this problem is generated by the bifurcation of the community in implementation to increase the network capacity and enhance the scalability of bitcoin cash.

Difference Between BCH Vs. BTC

The hard fork software converted to the bitcoin codebase; therefore, the bitcoin cash shares the same aspects as its predecessor. Both have issued more than 20 million coins with BCH to all BTC holders during the layer of a hard fork in 2017. The working protocol was also the same for both as the Proof-of-Work algorithm. Although BCH mining is remarkably less beneficial than BTC mining. The core difference between them is within the block size of their network or the capacity of the blocks and how many transactions can fit in it to verify them at one time. Relatively Bitcoin cash has been forked many times since its beginning. This might happen for blocks of the same size. In 2018, when the first fork occurred when BCH forked into Bitcoin SV which is known as Bitcoin Satoshi vision. In 2017, Bitcoin cash was launched in the race for cryptocurrency. The starting price of the coin was $3500 per coin at its highest peak, the value of 0.2 BTC at the end of December. From that period, the value of bitcoin cash has dropped slightly.

Sale and Purchase of Bitcoin Cash

However, Bitcoin cash is available on centralised exchange platforms. If we see the market exposure, Bitcoin stands at 14th number as a valuable cryptocurrency among the market cap in totality where $2 billion trading has been executed on a daily basis. However, the rank of Bitcoin cash exchanges is fixed by Huobi, Coinbase, and Finance. Although the Bitcoin core is anointed by the BCH proponent as it’s paying procedure us somehow tricky. However, the trading of BCH on decentralised exchanges, as it is incompatible with intelligent contracts outlets. Only Ethereum-based ER20 tokens were hosted by several top decentralised exchanges. Although bitcoin cash is left out from the decentralised marketplace. Komodo is supported by the BCH community which has raised funds in currently ongoing scenarios for the integration of the SLP token standard which is reproduced to the Bitcoin cash network of blockchain.

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