Bitcoin Cash is a digital currency that follows the original design of Bitcoin set out by the great Satoshi Nakamoto until 2008. It is magic internet money! It is sent directly from person to person via the internet without the need for a bank.
It can be used by anyone, anywhere, anytime for less than a cent and unless those pesky banks, your account cannot be frozen. Bitcoin Cash is generated all over the world by anyone running a free application called a miner. Mining requires a certain amount of work before they’re dutifully rewarded with some Bitcoin Cash.
Thanks to the brilliant economic design by Satoshi, it is always created at a predictable and limited rate. The keys to your money are stored in your digital wallet.
Several currency exchanges exist where you can buy or sell your Bitcoin Cash for dollars, euros and more. When you make a Bitcoin Cash transaction, it is signed using some cryptographic magic and is then zapped instantly across the network. Once a miner locks your transaction in the blockchain, it is permanently stored in the network for all eternity. Bitcoin Cash is also great for small businesses and freelancers.
It doesn’t cost anything to accept, there are no chargebacks or fees and you’ll get additional business from the growing Bitcoin Cash economy. Bitcoin Cash is changing finance and is opening up the global economy to every person on the planet.
Bitcoin was created to free the world from corporate and government financial control providing the world with a peer-to-peer electronic cash system, a digital currency allowing to freely send small casual transactions but don’t just take our word for it, it’s all laid out in the Satoshi Nakamoto white paper where Bitcoin is clearly defined as a peer-to-peer electronic cash system.
Not only did this prevent small groups of people from controlling who, when and where you send your money, it also allowed individuals to send any amount of money instantly, even micropayments anywhere in the world for a fraction of a cent. The first few years of Bitcoin in the blockchain were highly successful. Bitcoin continued to provide low fees with fast inexpensive online transfers allowing users complete control over their money. This allowed for actual utility creating a medium of exchange that got communities on board creating excitement as the potential for economic freedom became more and more possible for everyone everywhere.
However only recently Bitcoin became a completely different user experience resulting in high fees and slow confirmation times, because of this and other conflicts within Bitcoins path, on August 1st, 2017 the Bitcoin blockchain forked creating two new chains, one of which was Bitcoin Core which continued to maintain a 1 megabyte block size resulting in high fees, congestion, creating financial profit solely for the financial entities that run Bitcoin core.
Next, we have Bitcoin Cash which is upgraded to an 8-megabyte block size by default allowing for continued assurance for a global peer-to-peer electronic cash system, providing miners in the community the ability to profit as Bitcoin Cash grows. Bitcoin Cash follows the original intentions laid out by Satoshi Nakamoto but we’ll get back to Bitcoin Cash later.
First, let’s take a look at Bitcoin Core, which many have blindly confused as Bitcoin.
Core has implemented SegWit or segregated witness which was intended to resolve congestion on the blockchain and reduce fees though so far has only resulted in absurdly higher fees with ongoing and lagging transaction times. This once revolutionary technology, now a complete failure due to the lack of proper care and direction from core developers, it’s no surprise countless merchants and businesses have flat-out removed Bitcoin Core due to its complete uselessness in commerce and as a p2p system which was its sole intended purpose.
As Roger Ver has said, “Bitcoin Core is basically like digital gold that crumbles into nothingness every time you try to use it.”
This brings us to the Lightning Network which is Bitcoin Core second layer solution to more transactions and lower fees through side chains. This however is not Bitcoin blockchain. In fact, it’s the very thing Bitcoin was created to defy. The primary issue with the Lightning Network is that it’s in the grip of a small group of people who plan to create and profit from these side chains and off chain payment channels as fees increase so will their profits and this will echo throughout the entire Lightning system.
Financed and driven by the big banks, these fees are essential to their existence and will ultimately be here to stay as your Bitcoin diminishes before your eyes. When buying into the Bitcoin Core Lightning Network, Core will essentially take your Bitcoin in exchange, trade you an IOU which can only be used on the Lightning Network.
This is not Bitcoin.
You must then trust that those IOUs will be stored and not spent and returned to you quickly when you want them, requiring added risk while paying additional fees all along the way. A staggering resemblance to the dated Federal Reserve Fund which Bitcoin sought to defy.
Core and their financiers are a direct result of these fees solely because they are directly profiting from them, profiting all the way to the banks and the 1% that financed them. Unable to usher in this technology responsibly to the world Bitcoin Core has also prevented for micro-transactions or small casual peer-to-peer payments because of the ever-increasing fees and slow transaction times and as you know sending $10 of cash through Bitcoin Core results in over $15 in fees, illogical and impractical and utterly useless.
The division of Bitcoin Core from the Bitcoin white paper becomes more apparent day by day with many comparing the success of Bitcoin to it’s increasing price and the degree of decentralizing Bitcoin holds. Arguing that Bitcoin is not a currency but a store of value.
With the price increasing on one side and the fundamentals diminishing increasingly on the other, Bitcoin Core is at best purely speculation, which is not a store value or currency. If we think of Bitcoin decentralization as it’s sole purpose, we overlook its true intention and that the goal of Bitcoin has always been to become money with decentralization being a means to an end, removing a central point of failure.
With Lightning, the off chain payment system cannot offer any added degree of decentralization as these payment channels only create an added layer of complexity and greater risk to your data and money, creating further and unnecessary complications. Core has gotten so far away from the white paper, Bitcoin Core now has little or nothing to do with Bitcoin itself aside from the name.
If a digital collectible is what core is dreaming of, be assured it’s a much different dream than the revolutionary vision many hold to defy the banks and provide economic freedom for all.
This is where Bitcoin Cash comes it. Bitcoin Cash holds true to the original vision laid out by Satoshi Nakamoto allowing for fast, easy, inexpensive peer-to-peer transactions to anyone, anywhere on the planet. Bitcoin Cash allows for micropayments allowing you to send only a few cents or millions of dollars anywhere on Earth with fees virtually non-existent.
The same cannot be said about Core, bringing utility back to Bitcoin as well as an incredible and dynamic community, Bitcoin Cash allows for the potential for economic freedom for everyone. Developers, businesses and everyday users have every reason to be excited about the bright future ahead for Bitcoin Cash.
If you enjoyed reading this post, click here to sign up and start buying or investing in digital currencies instantly with ZERO fees.