The Complete Guide to Bit Coin Cash

Bitcoin Cash is a digital currency that was created in 2017 as a result of a hard fork in the Bitcoin blockchain. It was designed to be a faster and more scalable alternative to Bitcoin.

The main difference between Bitcoin and Bitcoin Cash is the block size limit, which was increased from 1 MB to 8 MB on Bitcoin Cash. This allows for more transactions to be processed at once, making it a more efficient and faster option.

The idea behind Bitcoin Cash was to create a more user-friendly and accessible cryptocurrency, with lower fees and faster transaction times. This goal was achieved through the implementation of the Segregated Witness (SegWit) upgrade.

Bitcoin Cash has a total supply of 21 million coins, just like Bitcoin, and a block time of 10 minutes, which is the same as Bitcoin.

Bitcoin Cash is a cryptocurrency created from a Bitcoin blockchain fork. This fork occurred in 2017 after developers disagreed about the direction Bitcoin was taking.

Bitcoin Cash forked from the Bitcoin blockchain, which means it uses the same underlying technology but with some key changes.

The fork was a result of users resisting change or reprogramming the blockchain to operate the way they wanted it to.

Bitcoin Cash originated from the Bitcoin community, where network congestion and increasing transaction fees became a pressing issue in 2017.

A software upgrade was approved by a vote of Bitcoin miners, but not everyone was on board with it. Roger Ver, an early Bitcoin investor, was part of a group that felt the upgrade would push Bitcoin more towards an investment than a digital currency.

They wanted to increase Bitcoin's block size limit from 1MB to 8MB instead of implementing the upgrade.

On August 1, 2017, Bitcoin Cash was created through a hard fork, giving anyone who held Bitcoin at the time of the fork a share of Bitcoin Cash as well.

The history of this topic is fascinating. It all began in the early 19th century with the discovery of a key resource that would play a crucial role in its development.

This resource was first used by pioneers who settled in the area, who relied on it for their daily needs. They were able to harness its power and use it to fuel their growth and progress.

The first major breakthrough in the history of this topic occurred in 1850, when a significant innovation was introduced. This innovation revolutionized the way people used the resource, making it more efficient and effective.

As a result, the use of this resource spread rapidly across the country, and it became an integral part of daily life. People began to rely on it for everything from cooking to heating their homes.

Over time, the technology surrounding the resource continued to evolve, with new innovations and improvements being made regularly. By the early 20th century, the resource was being used in a wide range of applications, from industrial processes to household appliances.

The history of this topic is a testament to human ingenuity and perseverance, and it continues to shape our world today.

The origin of Bitcoin Cash is a fascinating story. In 2017, network congestion was becoming an issue for Bitcoin, and transaction fees were increasing.

The team behind Bitcoin Cash began as part of the Bitcoin community. Roger Ver, an early Bitcoin investor, was part of a group that felt a software upgrade would push Bitcoin more in the direction of an investment than a digital currency.

They wanted to increase Bitcoin's block size limit from 1MB to 8MB instead of implementing the upgrade. This disagreement ultimately led to a hard fork on August 1, 2017.

Anyone who held Bitcoin at the time of the fork received Bitcoin Cash as well. This event marked the birth of Bitcoin Cash as a distinct cryptocurrency.

Bitcoin Cash experienced a contested hard fork in November 2018, resulting in two new cryptocurrencies: Bitcoin Cash and Bitcoin Satoshi Vision. This split was a significant event in the history of cryptocurrencies.

A second contested hard fork occurred in November 2020, where the leading node implementation, BitcoinABC, created a new currency called BCHA, now known as "eCash" or "XEC." This event highlights the ongoing evolution of cryptocurrencies.

Bitcoin Cash and Bitcoin Satoshi Vision are two distinct cryptocurrencies that emerged from the 2018 hard fork. They have their own separate development paths and communities.

Here are some key facts about the currencies that resulted from these hard forks:

United States regulators have stated that Bitcoin Cash should be supervised as a commodity, not under the jurisdiction of the SEC. Colorado has already begun accepting Bitcoin Cash for state taxes and fee payments.

Gary Gensler, the SEC chairperson, has stated that Bitcoin Cash does not appear to trigger the Howey Test, but the SEC has not officially assumed this position.

In 2022, Colorado became the first state to accept Bitcoin Cash for state taxes and fee payments, joining other cryptocurrencies like Ethereum and Litecoin.

Regulations are a crucial aspect of the cryptocurrency space, and Bitcoin Cash is no exception. United States regulators have stated that Bitcoin Cash should be supervised as a commodity, not under the jurisdiction of the SEC.

In fact, Colorado has already taken steps to accept Bitcoin Cash for state taxes and fee payments, joining a list that includes Bitcoin, Ethereum, and Litecoin. This move acknowledges the growing acceptance of cryptocurrencies in everyday life.

New York's legislature is also considering a bill that would allow state agencies to accept Bitcoin Cash as payment, along with other cryptocurrencies like Bitcoin, Ethereum, and Litecoin. This bill is currently in the assembly committee, awaiting further action.

Gary Gensler, the chairperson of the SEC, has made comments on Bitcoin Cash in the past, stating that it "does not appear to trigger the Howey Test." He also noted that Bitcoin Cash is one of the few cryptocurrencies that are not securities.

Bitcoin Cash has several unique risks that make it a less attractive investment option. Despite its intention to be a better electronic currency, it's still far behind in terms of use, with only about 50,000 transactions per day in the first quarter of 2022, compared to Bitcoin's 250,000 or more.

A small number of mining pools dominate the Bitcoin Cash network, with seven pools responsible for mining more than 50% of blocks as of April 2022. This lack of decentralization makes the network more vulnerable to attacks.

Other cryptocurrencies, such as Algorand and Solana, process transactions faster than Bitcoin Cash. Algorand can process 1,000 transactions per second, while Solana can reportedly process 65,000.

The creation of Bitcoin SV, a hard fork of Bitcoin Cash, has added to the complexity of the Bitcoin ecosystem. This has led to three versions of Bitcoin, all claiming to be the one that fulfills the creator's original vision.

A smaller network like Bitcoin Cash's is less secure, and its lower market cap and daily trading volume bring liquidity risk. On May 12, 2024, Bitcoin Cash had about 23,000 active addresses compared to Bitcoin's more than 521,000.

Here are some key statistics highlighting the risks associated with Bitcoin Cash:

Bitcoin Cash trades on digital currency exchanges using the Bitcoin Cash name and the BCH currency code for the cryptocurrency.

OKEx removed all Bitcoin Cash trading pairs except for BCH/BTC, BCH/ETH, and BCH/USDT due to "inadequate liquidity" on 26 March 2018.

As of May 2018, daily transaction numbers for Bitcoin Cash were about one-tenth of those of bitcoin.

Coinbase listed Bitcoin Cash on 19 December 2017, but their platform experienced price abnormalities that led to an insider trading investigation.

Both Robinhood and Revolut added support for Bitcoin Cash as of 2018.

Payment service providers like BitPay support Bitcoin Cash payments as of 2018.

In 2021, PayPal allowed users to buy, sell, hold, and checkout with Bitcoin Cash, although users couldn't transfer cryptocurrency outside of PayPal's system.

PayPal enabled sending Bitcoin Cash off app to users' own wallets/outside services in 2022.

Venmo also began supporting Bitcoin Cash in 2022.

The Dallas Mavericks accept Bitcoin Cash for payments as of 2021.

Grayscale filed for its Bitcoin Cash Trust (ticker: BCHG) to become SEC-reporting in 2021.

Grayscale's Digital Large Cap (GDLC) fund includes Bitcoin Cash in its composition.

EDX Markets listed bitcoin, Ethereum, Bitcoin Cash, and Litecoin in June 2023.

Coinbase submitted a letter to the Commodities Futures Trading Commission (CFTC) outlining its proposal for monthly cash-settled futures contracts for Bitcoin Cash on 7 March 2024.

Coinbase Derivatives announced plans to introduce futures trading for Bitcoin Cash on 1 April 2024.

Mt. Gox began repayments of bitcoin and Bitcoin Cash to some of its creditors on 5 July 2024.

eToro settled with the SEC agreeing to pay fines for operating as an unregistered trading platform, and as a result, only bitcoin, Ethereum, and Bitcoin Cash will continue to be traded on the platform on 10 September 2024.