Today, a lot of people wonder what BCH is and when Bitcoin Cash was created. Bitcoin Cash (BCH) is a hard fork from the Bitcoin network that took place in August 2017 allowing a larger number of transactions than its predecessor could process. It’s a decentralized peer-to-peer electronic payment system and digital currency. BCH was created to enable merchants and users to send and receive regional and international payments without the inconvenience of long delays and high purchase fees.
In November of the following year, Bitcoin Cash experienced two more forks, leading to the creation of Bitcoin Cash ABC and Bitcoin SV (Satoshi Vision). When was Bitcoin Cash created? Today, we’ll try to find out!
Who Created Bitcoin Cash: The History of Bitcoin Cash
Who created Bitcoin Cash? It’s necessary to consider the historical background of the coin first. In 2017, the Bitcoin community parted ways due to two significant issues Bitcoin faced in terms of scalability processing fees and long service life.
This led one team to create a hard fork that resulted in Bitcoin Cash, a new cryptocurrency that was considered by many crypto enthusiasts as a logical evolution of the original Bitcoin. At the time of the spin-off, all Bitcoin holders automatically became Bitcoin Cash holders. This was done to overcome scalability problems caused by increasing the block size.
Thus, there is a precise answer to the question ‘Who created Bitcoin Cash?’. Bitcoin Cash was created by a group of developers who were originally part of Bitcoin.
What is the exact date Bitcoin Cash was created? How was mentioned before, Bitcoin Cash is a standalone digital currency that was created as an offshoot of Bitcoin in August 2017. Although Bitcoin Cash is very similar to its big brother Bitcoin, it functions according to its own rules of procedure and has its own blockchain.
How Was Bitcoin Cash Created: A Complete Picture in Detail
How was Bitcoin Cash created? For many years, Bitcoin miners have expected problems of Bitcoin scalability, which scaled new highs in 2017 with the rise of BTC popularity. Bitcoin traders faced increasingly long processing times and were forced to pay additional fees to speed up the process.
Due to this, there was a place for strong disagreements in the Bitcoin mining community about how to solve these problems. While some miners wanted to implement a scaling tool called SegWit2x, others felt it run counter to the spirit of cryptocurrency and preferred to increase the block size.
So, how was Bitcoin Cash created? The disagreement eventually led to a hard fork that allowed one group of miners to make a number of changes to the existing bitcoins and another group to change the blockchain rules. This led to the creation of standalone crypto known today as Bitcoin Cash.
When the first hard fork splitting bitcoin happened on August 1st, many bitcoin owners were automatically given a bitcoin cash token for every bitcoin they owned. However, if an exchange didn’t support Bitcoin Cash, Bitcoin was neither doubled nor exchanged for the new currency.
After its launch, Bitcoin Cash was valued as a small proportion of BTC price. The coin was worth around $400 per unit in contrast to Bitcoin, which traded at $2,800. Enormous price fluctuations during the first week of trading took place, which consequently led to a very high level of volatility that remained unchangeable in the coming months. In short, Bitcoin Cash’s long-term future prospect was unclear from the very start and has yet to be assessed in the future.
Why Was Bitcoin Cash Created: Key Reason to Know
Why was Bitcoin Cash created? How was mentioned before, BTC scalability problems, as well as long processing times, led to the creation of BCH.
Unlike Bitcoin, Bitcoin Cash uses larger blocks of 8 and 32MB to accommodate a larger number of transactions, allowing miners to process and validate more transactions per second. This removes a bottleneck that normally occurs in the Bitcoin network due to long delays and high processing fees. Bitcoin Cash is able to process up to 25,000 transactions per block, compared to Bitcoin’s 1000-1500 transactions. It can also be used as a payment method and may be sent to anyone and anywhere in the world.
When was Bitcoin Cash created? What other interesting facts do you know? Feel free to share your knowledge in the comments!