Buy Bitcoin Cash [BCH]
What is Bitcoin Cash?
Bitcoin Cash (BCH) is a Bitcoin fork (alternative version). There are two types of forks, which are soft and hard forks. BCH is a result of the hard fork that emerged when the proposed changes were not approved by the majority in the Bitcoin community.
To understand the reasons for the BCH creation, we need to understand the controversy caused by the Bitcoin scalability and block size. BTC transactions are not confirmed until they are included in the block. In the Bitcoin ecosystem, new blocks with 1 MB maximum memory are added to the blockchain every 10 minutes. Taking into account the average size of transactions, we can conclude that the Bitcoin network has the capacity to conduct about 4.5 transactions per second. This causes network congestion, and transactions are held off for long periods.
Bitcoin offers an opportunity to move up the queue by paying a higher fee. This leads to irrational prices. Many users view that model as inappropriate for the project aiming to enhance the new global payment method. The followers of the Satoshi Nakamoto ideology feared that if no actions were taken, Bitcoin would not be used for decentralized transactions and would become something similar to gold or real estate (meaning holders would store it without conducting transactions). After a long-lasting controversy, the two rival sides appeared. Bitcoin Cash (BCH) emerged in 2017 after the BTC price went up and transaction fees reached the $37 mark.
Bitcoin (BTC) and Bitcoin Cash (BCH) differences
Since its creation, BCH has been on top of crypto ratings. The new token has several peculiarities:
- The Bitcoin Cash (BCH) blocks are bigger. Initially, they were 8 MB, now it’s 32 MB.
- BCH does not support SegWit or the Lightning Network.
- The BCH mining algorithm finds new blocks faster.
How do I buy Bitcoin Cash?
Where and how to buy Bitcoin Cash (BCH)
Before purchasing BCH, it’s necessary to create a crypto wallet that supports the currency. Wallets can be either cold (offline) or hot (online). The more tokens you want to purchase, the more sense it makes storing them on the cold wallet (it’s safer). Hardware wallet Ledger Nano S is the most popular. After choosing a wallet, choose one of the purchasing methods.
Ways to buy BCH:
Crypto exchanges. Before purchasing BCH, compare the credibility of several platforms. Besides, check the availability of the required amount of tokens and the exchanger’s fee policy. The main advantage of such platforms is the elimination of most formalities.
Centralized exchanges. Such platforms offer convenient interfaces and functionality. Moreover, they are safer because reputation is crucial for exchanges. There are several purchasing options on such platforms:
- Buying for crypto.
- Buying for fiat.
- Buying via reading card.
Please note that on most centralized exchanges, KYC verification is required.
P2P platforms. This purchasing method goes without 3rd party interference. The deal is conducted directly between users. Another advantage is no fees. P2P platforms are suitable for experienced users. The downside is that it may take a while to find a beneficial offer.
One can get BCH for free during bounty programs of different projects. Besides, tokens can be collected in some online games.
What to do with Bitcoin Cash
How to use Bitcoin Cash (BCH):
A lot of BCH holders prefer to store their tokens. It’s due to the fact that BCH remains stable despite the volatility of the crypto market.
BCH trading is also prevalent. The asset is in demand and has a good reputation. There is a lot of noise around BCH, which causes short-term price shifts. Those who have experience in trading use it to speculate. Trading on WhiteBIT is easy and comfortable for both experienced traders and newcomers. Here, you can customize the interface. Besides, there are Demo tokens (a tool that allows you to learn to trade without risks) on the exchange.
You can pay for different goods and services with BCH. The project is considered very perspective, so more and more entrepreneurs accept it as payment. There is no doubt that even more options will be available in the future.