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What is the Difference Between Bitcoin and Bitcoin Cash?

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Difference Between Bitcoin and Bitcoin Cash

The new digital currency bitcoin cash is the result of an ongoing debate between different factions of the bitcoin community on how to best scale the bitcoin network. Unable to come up with a single solution that would have helped the bitcoin cryptocurrency stay unified, the bitcoin blockchain split into two on August 1, 2017, to create bitcoin cash as a new digital currency alongside bitcoin.

What is Bitcoin and Bitcoin Cash?

Bitcoin was launched in 2009 as the world’s first cryptocurrency with the aim to provide a decentralized digital payment system that anyone can use without the need for a bank or any other financial intermediary.

Since its inception, bitcoin’s value has grown substantially and even surpassed the value of a troy ounce of gold in early 2017. In September 2017, the price of bitcoin rose an all-time high of more than $4,900.

Today, bitcoin is utilised as an alternative currency across the globe after having gotten the green light from various governments. Bitcoins market worth has also grown to more than $60 billion.

Besides being used as a currency to make purchases online, bitcoin is also used as an investment asset class, a storage of wealth and as a low-cost payment system.

Bitcoin cash, which carries the ticker BCH, was created after a fork of the popular bitcoin network on August 1, 2017. Therefore, any users who had bought or invested in bitcoin before the hard fork received an equal amount of bitcoin cash holdings in their bitcoin wallets, which is why bitcoin cash immediately became one of the biggest cryptocurrencies in terms of market capitalisation.

What is the Difference Between Bitcoin and Bitcoin Cash?

As mentioned earlier, bitcoin cash was created as an answer to the scalability faced by bitcoin.

The main and only notable difference between bitcoin and bitcoin cash as noted by users of both blockchain technologies, is that bitcoin’s block size remains at one megabyte allowing for around 250,000 transactions in a day while bitcoin cash increased its block size limit to eight megabytes allowing for the processing of close to two million transactions in a day.

Given the same hashrate, bitcoin cash is, therefore, able to allow for more transactions in any given second which makes its payments faster and cheaper. This means that in the long run, bitcoin cash may be viable and may less minimal scalability hurdles given its larger block size.

Even with the high speed and low cost of transactions, most of bitcoin’s infrastructure such as the remittance platforms, payment systems, and wallets have no support for bitcoin cash and see it as an altcoin. This limits the use of bitcoin cash as it does not go beyond certain purchases. Questions and doubts, therefore, arise on the value of bitcoin cash as there is little to no adoption by users and merchants.

Although there is some support for bitcoin cash from the bitcoin community members who wanted larger blocks, the vast majority of the community still supports the original bitcoin blockchain that has since undergone a SegWit upgrade to improve its scalability.

With the split, we can only join strategic investor and advisor at BTCXIndia, Linus Lindgren, in hoping that the two parties can stop arguing and “instead […] focus all their energy on developing their respective project, in whichever direction they deem best to achieve the goal that’s important for them.”

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Binance Launches Fiat-to-Crypto Exchange in Uganda

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Binance Launches in Uganda

Global bitcoin exchange Binance has launched a new fiat-cryptocurrency exchange in Uganda. The exchange will also be offering a reward of 0.5 BNB to the first 20,000 users that register on the site as part of its promotion in Uganda.

The announcement comes nearly two months after Binance partnered with Crypto Savannah, Made in Africa initiative, and Msingi East Africa to promote economic development in the East African country.

Changpeng Zhao and Yi He founded Binance in 2017 and raised $15 million through an initial coin offering for its ERC20 token BNB in July of the same year.

The exchange plans to move its offices to the island nation of Malta after the implementation of stricter regulations in China and Japan. In January 2018, Binance was the largest crypto exchange with a market capitalisation of $1.3 billion.

Binance in Uganda

BinanceBinance will also offer its Ugandan users a month of zero trading fees when trading goes online. The exchange will announce the opening for trading at a later date.

Users can find out if they have won any rewards by logging into their accounts and accessing ‘Distribution History’ in the Account Center. In addition, users will be required to complete ID verification to be able to withdraw funds from Binance.

Ugandan users will enjoy an exchange that offers fast transactions of up to 1.4 million per second and state-of-the-art storage technology for utmost security. The exchange also provides 24/7 customer support and has a user-friendly interface.

The presence of Binance in Uganda aims to boost financial inclusion in the country, which has increased from 28 percent in 2009 to 54 percent in 2013 according to its national financial inclusion strategy 2017-2022.

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LINE Corp to Launch Cryptocurrency Exchange BITBOX in July for Global Trading

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BitBox
Image by linecorp.com

The developers of popular messaging app LINE and LINE Group’s cryptocurrency and blockchain company LVC Corporation have announced that they are set to launch a new cryptocurrency exchange called BITBOX in July 2018. The Japan-based firm made the announcement during the LINE Conference 2018 held in Tokyo.

The New BITBOX Exchange

BITBOXBITBOX will offer over 30 high-demand cryptocurrencies to users globally with the exception of Japan and the US. The exchange will trade coins such as bitcoin, ether, litecoin, and bitcoin cash while charging low trading fees of 0.1 percent. BITBOX will support 15 languages, according to the company press release.

The selected cryptocurrencies for the exchange have undergone an extensive screening exercise and have been picked by an internal committee, promising users a convenient and safe trading experience. LINE will also incorporate its top security standards to the cryptocurrency exchange.

LINE Corporation CEO Takeshi Idezawa said:

“As a key part of LINE’s new financial services, BITBOX shows our commitment to fulfilling the growing demand for more diverse financial options. With BITBOX, LINE users will be able to access cryptocurrencies more easily, while also being assured of state-of-art security measures to protect their assets.”

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Nigerians Have Invested Over $5m in Cryptocurrencies Despite Regulator Warnings Says KureCoin Hub

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Nigerians Invest in Cryptocurrencies

Nigerians have invested over five million US dollars in the cryptocurrency market in the last couple of years according to data from Nigerian cryptocurrency platform KureCoin Hub.

The data shows that Nigerian retail investors are investing heavily in the cryptocurrency market despite warnings from the Central Bank of Nigeria (CBN) and Nigeria Deposit Insurance Corporation (NDIC) against investing in an unregulated market.

KureCoin Hub’s co-founder and CEO Tega Abikure has criticised the stance regulators have taken and argues that the country will lag behind as other countries enjoy the benefits of blockchain technology and cryptocurrencies. Abikure told New Telegraph:

“It is not a matter of whether the government likes it; it is about whether they need it. I am not sure the internet was liked when it first came. […] It is not a matter of whether they are going to embrace it; it is about when they are going to do so.”

Abikure observed that other countries such as Uganda and South Africa have already taken steps towards adopting blockchain technology while Kenya is pushing forward with a functioning blockchain taskforce.

“Nigeria is being left behind,” he noted.

The Blockchain as a Source of Foreign Direct Investments

Abikure also believes that blockchain technology could be a major source of Foreign Direct Investments (FDIs) in the next five to ten years. In addition, he is of the opinion that a lot of money is being made in cryptocurrencies on the continent with most of it leaving Africa’s economy.

On one of the benefits of blockchain technology, he said: “[The blockchain] is completely transparent and cannot be changed; it can be used to create a decentralised system of payment where the taxpayer had an unhindered access to the collector which is the government. It enhances revenue collection and removes the challenges of remittances.”

Blockchain technology can also improve the banking sector, the electoral process, the use of donations in charitable projects, and the supply chain, among many other use cases.

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