The word “virtual currency” has got popular in recent years. A typical example is Bitcoin (BTC). Recently, various types of virtual currencies have increased due to the “breaking of bitcoins (hard fork)”. This article focuses on a virtual currency called “Bitcoin Cash (BCH)”. We will introduce what kind of virtual currency it is, its background and characteristics, and touch on its future potential. Browse profit-secret.com for more detail.
What is Bitcoin Cash?
One of the factors that created BCH is that “the number of users who use Bitcoin has increased.” Bitcoin is data in the first place, and as the number of transactions (the number of users who use it) increases, the processing time required for that transaction will increase.
Then, the problem that “deposited money will be delayed” has come to the surface. The main reason was that the block capacity for recording transactions was quickly filled, and it took too long for the transaction to be approved by the network. This is called the “scalability problem” of Bitcoin.
And on August 1, 2017, Bitcoin Cash was born as a new virtual currency created by “hard forking”, the blockchain of Bitcoin, by expanding the capacity of the block to solve this problem.
Block Capacity and Processing Capacity
First of all, the “difference between block capacity and processing capacity” should be known. The maximum block size of Bitcoin is 1MB, whereas that of Bitcoin Cash is 8MB. As you can see from the numbers, it has 8 times more processing power than Bitcoin. Note that 8MB is the number immediately after the hard fork, and the block size update has been repeated until now, and it has been expanded to 32MB.
With the increased processing power, BCH will further benefit. For example, “Lower remittance fees.” In Bitcoin, the network was often congested due to a flood of transactions. As a result, fees soared, and for the time being there was a situation where a single remittance cost a few thousand yen.
Bitcoin Cash has improved its processing capacity, and as a result, remittance fees can be kept below 1 yen on average. Compared to Bitcoin, it is a virtual currency that is easy to use for everyday payments.
Security
Recently, news about virtual currency was that it got hacked and the currency stolen. However, since Bitcoin Cash has taken all possible measures against replay attacks, it is unique in terms of security.
Also, there is nothing that can prove that Bitcoin itself was hacked. To be precise, “a certain exchange of Bitcoin has a security vulnerability and it was pierced there”, and as a result, the perception that virtual currency is dangerous has spread to the world.
In dealing with virtual currencies, security awareness of the exchanges used is of course important. On top of that, Bitcoin Cash can be said to be a safe virtual currency because the replay attack measures are stricter than the conventional ones.
What Is the Future Compared To Other Virtual Currencies?
The virtual currency industry is constantly evolving, and new currencies are emerging from each country. Can Bitcoin Cash survive in the future?
The answer is said to be “yes.” The main reason is that it has a payment function. In August 2018, bitpay, a major Bitcoin payment provider, supported BCH payments with low remittance fees and fast processing. Bitpay does not support services in Japan, but instead, BitPoint Japan Co., Ltd.’s store payment service “BITPoint Pay” has been available since June 2018.
As a result, the number of stores that accept such payments may increase in the future. Virtual currency used to have a strong image of investment, but thanks to this payment function, its future as a currency that can be used on a daily basis has become brighter. Considering these points, the market price of Bitcoin Cash continues to rise day by day.
When we expect further development in the future, the “payment function” of Bitcoin Cash will be of great strength. There are several benefits of cryptocurrency but if don’t know what to do with it, why not consider Bitcoin Cash?