Bitcoin Cash in 6 questions

Bitcoin Cash (BCH), whose halving has already happened, is a cryptocurrency that appeared as Bitcoin’s hard fork. With the halving, the block rewards of BCH miners will be reduced by half.

1. When and why was it created?

• There is a certain limit to Bitcoin transactions due to its very structure. This used to slow down the transaction speed.
• However, the use of BTC became more and more widespread triggering research into the possibility of carrying out transactions faster. A team led by Amaury Séchet started to work to increase the block growth limit and create a quicker infrastructure.
• BCH hard fork, which means the splitting of a cryptocurrency in two, appeared on April 1^st 2017 to introduce new functions to the software infrastructure.
• The users were defined as much BCH as the BTC amount already available in their accounts.

2. The infrastructure of BCH

• The capacity of block size in BTC was 1 MB, which used to slow down the transactions and increase the transaction fee.
• Therefore, it was decided to increase the limit to 2 MB, but this was not a definite solution, either.
• BCH increased this capacity to 8MB. Thus, transactions have been accelerated.

3. What does it promise to its users?

• BCH is faster than BTC due to its big block size.
• Besides, it is possible to carry out transactions at more affordable prices.

4. Is there any BCH mining?

• Yes, there is BCH mining on blockchain.
• Miners receive rewards for each and every block created on BCH. With the halving, miners will now get not 12.5 BCH but 6.25 BCH.
• New blocks are created with some complicated mathematical calculations in mining. The processing power of the network is called  the “hash rate”. The demand for mining tends to increase after halving for the reward will be reduced, and exactly because of the same reason some miners might choose to withdraw from the network. This might lead to a change in the processing power. Time will show how the hash rate of BCH will be affected by this.

5. Total supply, the lowest and highest market value 

• This cryptocurrency is limited to 21 million BCH.
• Its supply in circulation is 18,373,200 BCH.
• The lowest BCH value was observed in December 2018 as 75.03 dollars, while the highest was 4,355.62 in December 2017.

6. How to perform BCH transactions on Paribu?

You can click the link paribu.com and perform your BCH transactions easily.

Bu içerik en son 26 October 2022 tarihinde güncellenmiştir.