Bitcoin Cash | Trading Non Stop

What is BCH?

Bitcoin Cash (BCH) is a decentralized cryptocurrency created in 2017 as a faster, low-cost alternative to Bitcoin. It was developed to make everyday payments easier and more affordable by focusing on scalability and usability.

Peer-to-peer electronic cash – Designed mainly for transactions rather than just storing value
Larger block size – Processes transactions faster and with lower fees compared to Bitcoin
Community-driven upgrades – Continually improving features like smart contracts to increase usefulness

Deep Dive

1. Purpose & Value Proposition

Bitcoin Cash was created from a split (called a hard fork) of Bitcoin in 2017. This happened because of a disagreement on how to scale Bitcoin. While Bitcoin (BTC) chose to keep smaller blocks and use additional layers like the Lightning Network to handle more transactions, Bitcoin Cash increased its block size to 32MB. This allows BCH to process over 100 transactions per second directly on its blockchain, with fees costing less than a penny. This makes BCH practical for everyday uses like paying for goods, sending money internationally, or making very small payments.

2. Technology & Architecture

Bitcoin Cash uses the same basic security system as Bitcoin, called SHA-256 proof-of-work, but has some important differences:

Adaptive block size: The size of blocks can automatically change based on how many transactions are happening, so it doesn’t need frequent manual updates.
Smart contract support: Recent upgrades like CashTokens (added in 2023) and upcoming features planned for 2025 allow BCH to support decentralized finance (DeFi) and more complex financial applications, all while keeping transaction costs low.
Privacy options: Users can choose to increase their privacy using CashFusion, a method similar to CoinJoin that mixes transactions to make them harder to trace.

3. Key Differentiators

Low transaction costs: Sending BCH typically costs less than one cent, compared to Bitcoin’s $1 to $5 fees as of 2025.
Backward compatibility: BCH supports transactions with older Bitcoin addresses, making it easier for users to switch or use both.
Decentralized governance: Decisions about upgrades are made by the community of node operators and miners. For example, the May 2025 hard fork introduced BigInt, enabling more advanced calculations on the network.

Conclusion

Bitcoin Cash is built primarily as a payment system that combines Bitcoin’s security with the ability to handle many transactions quickly and cheaply. While it shares Bitcoin’s total supply limit of 21 million coins, BCH focuses on being useful for everyday transactions rather than just a store of value. As more people use it, BCH faces competition from stablecoins and new Layer-2 solutions—so its future will depend on how well it can keep its edge as “digital cash.”