Bitcoin Cash was created as an updated version to Bitcoin.
That’s at least what many Bitcoin Cash enthusiasts say about it.
In this article, I would like to talk to you about the progress, struggles and future of Bitcoin Cash.
While an “updated Bitcoin” may sound good, and therefore Bitcoin Cash being superior to the original Bitcoin, there are also a lot of reasons for the original Bitcoin-team to refuse a larger block size.
To clarify: Bitcoin uses the Proof-Of-Work algorithm that is set to solve a block every 10 minutes. This is part of Bitcoin’s mining process that validates all the transactions and creates new Bitcoins. One way to increase Bitcoin’s transaction capacity is by making the blocks larger and letting more transactions go through at once.
That’s exactly what Bitcoin Cash realized and they forked from Bitcoin, thus creating their own Cryptocurrency.
But Bitcoin’s development team has valid reasons to NOT increase the block sizes.
The reason being that with a larger Block size, less miners will be able to store the whole Blockchain on their machines and thus the network will become more centralized.
But Bitcoin Cash also has a valid reason to increase the block size, as the original goal of Satoshi Nakamoto was to make a “fast and lightweight peer-to-peer online currency”. Fast and lightweight being the keywords he stressed!
These points are very well addressed by Bitcoin Cash’s smaller transaction time, making a friendlier Cryptocurrency for day-to-day transactions.
In my opinion the main problem AND biggest benefit of Bitcoin Cash is its strong association with Bitcoin.What I am mean is how Bitcoin Cash brands itself.
Because Bitcoin’s and Bitcoin Cash’s names are so similar, many newcomers to the Crypto-space don’t bother buying Bitcoin Cash, because they see it as an “updated” version of the same Bitcoin.
Bitcoin Cash’s branding is very powerful, and many people have happily moved from defending Bitcoin to advocating Bitcoin Cash, as the true and original Cryptocurrency.
On the other hand, many enthusiasts refuse it for that point.
They see it as a threat to the whole-beloved Bitcoin, and do not want to give it a chance to even come close to the original Bitcoin.
Many long-term investors recognize that Bitcoin Cash and Bitcoin aren’t the same and refuse to accept it as a Bitcoin replacement.
Now when talking about the future of Bitcoin Cash, it’s hard to say what will happen. The most likely thing to happen, in my opinion, is for Bitcoin Cash to still be in the Top 10 Cryptocurrencies for a long time, but I think it will not come close to knocking Bitcoin off its throne.
That is because all the big media outlets are talking about Bitcoin, as opposed to Bitcoin Cash and this “free advertisement” is just too big for any Cryptocurrency to compete with.
But I do think that Bitcoin Cash will prosper as a faster, and more lightweight alternative to Bitcoin, that will enable users that trust in Bitcoin, to make more efficient transactions using Bitcoin Cash.
Despite all the hate Bitcoin Cash receives, I do believe it has valid use cases and will remain a big player in the Crypto-space for a long time to come; the future of Bitcoin Cash is bright.