Bitcoin Cash (BCH) is a halal cryptocurrency created in 2017 through a hard fork of the original Bitcoin blockchain. Here’s a breakdown of its key features and purpose:
- Origin: BCH emerged due to disagreements within the Bitcoin community regarding scalability limitations. Bitcoin Cash aimed to address these limitations by increasing the block size on its blockchain, allowing for more transactions per second.
- Faster Transactions: By increasing the block size, BCH transactions are generally faster and cheaper compared to Bitcoin. This makes it a more suitable option for everyday payments.
- Limited Supply: Similar to Bitcoin, BCH has a capped total supply of 21 million coins.
- Technical Differences: While BCH shares some similarities with Bitcoin in terms of core protocol and security mechanisms (Proof-of-Work), the larger block size is the most significant technical difference.
- Adoption and Use Case: BCH adoption by merchants and users is still evolving compared to Bitcoin. However, it’s used for online transactions and some payment processors accept it.
Is BCH a Viable Investment?
The value of BCH fluctuates significantly, and its long-term viability as an investment depends on various factors like wider adoption and its ability to address scalability challenges effectively.