Cryptocurrencies became popular about a decade ago, and ever since then, the world is focusing more and more on how these coins can be implemented and how we can make our lives easier with them. When they first appeared on the market, they were extremely cheap, and not many were aware of what would happen with them, whereas now, just one of those coins is worth tens of thousands of dollars. There are hundreds of different types of these currencies, but no matter how many appear, Bitcoin is always on top. This crypto has proven to be the most reliable, easiest to use, and it is constantly growing and making the investment more than worth it. If you are following the world of crypto, you’ve probably noticed that besides BTC, Bitcoin Cash appeared as well. You may be confused about what this is, and if it is the same currency but just with a different name. In this 2023 guide, we will help you learn a lot about both, and we will help you start the year with some new knowledge that could help you make profits. Keep on reading if you want to learn what the difference is between BTC and BCH.
Bitcoin is the first and the number one coin in the world, and ever since its creation in 2009, it has been the crypto that started it all and that made people understand the potential that these coins have. However, just like everything else, BTC is not perfect, so, developers wanted to improve the things that were not perfect with this currency, and they developed a blockchain whose main purpose was to serve as an electronic cash payments system. BCH was developed in 2017, and even though it is still not as popular as Bitcoin, it has deserved its place amongst the most popular coins.
The highest price of BTC last year, was more than 60 thousand dollars per coin, whereas, the BCH reached almost 2 thousand dollars per coin. As you can see, there is a huge difference in this, and the latter is far from reaching the most popular crypto in the world.
The main dissimilarity between these two platforms is that the latter is far faster, and it allows users to do many transactions at the same time, with ease, and without any delays. This is extremely important for those who exchange the goods daily, and those who actively work and make profits with them. More people can use the BCH platform at the same time, and this makes it more attractive for millions of users. Nevertheless, users still trust Bitcoin more than BCH and they are willing to wait and take their time instead of just switching to the other option.
Another difference is that the maximum block size of BTC is one megabyte, whereas, with BCH the limit is 32 megabytes. This makes the latter far more scalable and increases the interest users have in the platform. As you can see if you visit this site, the trading process for both platforms is extremely easy, and users don’t need to have any prior skills and knowledge to be able to start using, trading, or mining them.
One of the biggest concerns that users have when it comes to BCH is that this platform is not as safe as the other one, and the large number of transactions that can be done in seconds may compromise the security of the platform. This does not mean that it is unsafe, it just means that the other option is safer when the two are compared.
Positives and drawbacks of BCH
Now let’s see what the good and the bad sides are of Bitcoin Cash and how you can use it to your advantage. One of the things that many people want to hear is that the fees when it comes to transactions are extremely low. So, if you choose to purchase or sell it, or do whatever else you want with this crypto, you won’t have to worry about paying too much money on fees. You won’t experience any drastic losses, which gives you the freedom to play around with it more.
This is decentralized crypto, just like the other coins, and it is extremely scalable, and it is also highly efficient which means that you can make more and faster payments when compared to any other similar coin. It is easy to get, and as you already know, it is an extremely popular option amongst those who are interested in cryptos. Note that the value is constantly rising, so the faster you get it, the better it is going to be for you.
When it comes to the negative sides, this is still not as popular as BTC and it is said that it will never be as worthy or as in-demand as Bitcoin. As we mentioned before, many people are not sure if this is the same coin, and when they need to put their funds in something, they just choose BTC. This leaves BCH in the second place, and no one actually buys it by mistake when they thought they were investing in BTC. The process of mining it is not as profitable as many of the other cryptos available on the market, and your funding will always be the same. Because of that, people who are in the mining business usually choose to get something that will return the capital faster and easier.
It has lower liquidity than BTC, and it is said that it will never surpass many of the currently popular currencies. However, even though there are some drawbacks of the process, it is still a highly appreciated crypto that is safe, easy to acquire, and profitable coin.
These are some of the things that you need to know about these platforms. Both are becoming more popular and with higher worth by the day, so no matter which one you choose to invest in, you are going to make the right decision. Make sure you choose a trusted trading app and collaborate with brokers that can help you make the right decision.