As Bitcoin and Bitcoin Cash have similar names, they also share similar characteristics. Bitcoin is seen as digital gold, as it is the first crypto ever created. Bitcoin is treated as a store of value. On the other hand, as its name proposes, Bitcoin Cash is meant to be used as digital cash. It was brought about with the use of a hard fork. This means that both of these assets have several aspects. Some of which are a transaction history, a codebase, etc.
How do they differ from one another?
Let’s go through what differs from bitcoin cash to bitcoin. Over the years, the developer of these two assets had different goals in mind. This led to a difference between them, and today they are seen as two completely different assets.
The main and most visible difference between the two assets is the difficulty adjustment algorithm added to BCH. The volatility and fluctuation of the market effects the power the network runs under. Therefore, the difficulty adjustment algorithm we mentioned ensures the block are generated consecutively every 10 minutes. Based on the circumstances at hand, they either cut the difficulty in two or double it.
Another main difference between Bitcoin and Bitcoin Cash is the network’s block size. Bitcoin stands at 1MB block size, whereas Bitcoin Cash block sizes are 32MB. Transactions on the BCH network are now less than a penny and can make up to 200 transactions per second.
The projects need to use the Omni layer to issue tokens via the bitcoin blockchain. It is a platform that helps to create and trade custom assets.
Bitcoin Cash, on the other hand, has taken a step forward with this. They have created a Simple Ledger Protocol that allows for creating tokens on the BCH system.
The different visions:
Bitcoin supporters place higher importance on decentralization and censorship resilience than on transaction throughput. The capacity of Bitcoin to withstand attacks from every entity imagined is critical to its position as a store of value.
The idea of Bitcoin Cash as peer-to-peer digital money is based on its cheap transaction costs and efficiency.
Bitcoin Cash maintains privacy using a different method: coin mixing. Coin mixing occurs when many BCH users’ transactions are combined to disguise the origin of users’ currency. This is a technique that helps cyber criminals in hiding their trials.
The monetary regulations of the two networks are the same. There are only 21 million coins that are to be created, ever. The creation of new coins is halved every 210,000, approximately every four years. Lastly, both of these assets are here to help protect investors from theft. Both blockchains are transparent and open to the public, and they cannot be changed or tampered with by anyone.
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