Bitcoin Cash (BCH) was created in 2017 to fulfill the original role of Bitcoin as peer to-peer electronic cash.
The Bitcoin Cash blockchain is simpler, more secure, and more stable than the original Bitcoin blockchain. It reflects Satoshi Nakamoto’s vision of what the cryptocurrency was supposed to offer, i.e. a decentralized payment system facilitating low-cost transactions.
In 2018, the Bitcoin Cash project itself split into two cryptocurrencies, namely Bitcoin Cash and Bitcoin SV.
What is Bitcoin Cash?
Bitcoin Cash is a Bitcoin fork. It aims to address Bitcoin’s well-known scalability problem, which has led to high costs and slow transaction speeds. The Bitcoin Cash blockchain incorporates additional features that make the platform more competitive with conventional payment systems.
The most notable feature of the Bitcoin Cash blockchain is the increased amount of data per block, which means more transactions can be recorded in a single block.
Like the original Bitcoin, Bitcoin Cash uses proof-of-work (PoW) as a consensus mechanism to validate transactions on the blockchains. Users compete against each other to solve complex mathematical problems in order to discover new blocks. This process is called mining and it requires powerful computer hardware. The hashing algorithm used by Bitcoin Cash is the same as Bitcoin, namely SHA-256.
BCH is the native token of Bitcoin Cash. Users can send and receive BCH on the blockchain by entering the public-key information attached to their digital wallets. BCH tokens can be bought and sold on a wide range of crypto exchanges.