Bitcoin vs Bitcoin Cash: Understanding the key differences and similarities between the two versions of BTC

Bitcoin cash is the result of the BTC 2017 hard fork, which means that the blockchain splits in two, creating different ecosystems in the crypto market. The network is designed to be used as a cheap payment method. Still, the main goal was to address the scalability issues of Bitcoin, as the ledger couldn’t handle a large number of transactions, and to offer an affordable option for investors, providing them with lower fees. Bitcoin cash was created by an active community of developers that considered this alternative to make Bitcoin become an efficient payment system. Its decentralized nature is the main trait that proves trustworthiness, as financial transactions can be completed freely and fast, with no need to involve third parties or regulatory authorities. However, Bitcoin (BTC) remains the leader of the market and the top choice for a successful trading strategy for investors. So, make sure you find a trustworthy exchange to figure out how to buy Bitcoin, and, at the end of this article, maybe you would consider the alternative version, too. Despite the market pressure, Bitcoin Cash wants to remain a decentralized, low-fee, fast, and reliable network and overcome traditional financial systems.

Price

First of all, it’s important to mention that Bitcoin remains the most valued cryptocurrency, and its popularity can be seen through its high market cap. So if you want to hop on the trend and integrate the leader into your portfolio, you are doing the right thing, because the coin is surely here to stay. On the other hand, we can’t diminish the significance of Bitcoin Cash either, but the currency is surely less influential, and it didn’t gather the expected attention in the market. Understandably, their prices differ too. The traditional Bitcoin is well known for its volatility. It was introduced to the public at a price of $0.0009 in 2009, and in 2011, it reached $1. It won the hearts of traders, increasing demand and skyrocketing to $30 in the same year. Fast-forward, after many challenges and drops, in recent years, bitcoin reached $69 K. Bitcoin cash started with a price of $240 in 2017, went up high to $3324, and then dropped to $74. It’s a highly volatile currency, but undoubtedly, it’s affordable, and nowadays, it has a value of $460.

Transaction speed and fees

A core difference between Bitcoin and Bitcoin Cash is the cost per transaction and the processing speed. As we’ve mentioned before, a main issue of BTC’s network was the high number of transactions hard to handle, so BCH increased the block size to manage more transactions per second quickly and less costly. Bitcoin cash can provide users with considerably faster transaction times and low fees that are usually even lower than $0.0031, which makes the currency a perfect option for daily, small transactions. On the other hand, Bitcoin is a suitable option for long-term return strategies in trading and wise movements to earn financial freedom and let go of traditional financial systems.

Adoption and use cases

Both currencies can be used as a store of value, payment method, or real-world functions. For instance, these are use cases of both currencies:

• Bitcoin (BTC): Bitcoin is a cryptocurrency that simply has it all and serves it all. You can use the digital coin for peer-to-peer payments as an investment opportunity to gain returns, purchase goods and services, hold it as a store of value, engage in online gambling, and make donations.

• Bitcoin cash (BCH): its main purpose is to facilitate per-to-peer transactions without involving third parties like banks. You can use the currency for micropayments and online purchases.

The bottom line

To dominate Bitcoin, is almost an impossible task, and surely Bitcoin cash is not a main competitor on the market, but it slowly begins to get into the spotlight. And market experts and analysts forecast a promising future, accompanied by considerable improvements of the network and new opportunities for investors.