However, if demand for Bitcoin Cash were to increase, it would eventually run into the exact same problems that Bitcoin had in 2017. With the combination of larger block sizes and lower demand on the Bitcoin Cash network, people can certainly send transactions more quickly and with significantly lower fees. It is worth noting that after Satoshi secretly implemented the 1mb cap on block sizes, he said: “We can phase in a change later if we get closer to needing it.” Satoshi predicated that with an increase in internet speed and a decrease in storage cost, the block size could eventually be increased without sacrificing decentralization. They believe their approach is more closely aligned with the true vision of Satoshi. Bitcoin Cash’s Valueīitcoin Cash hard forked from Bitcoin to increase the block size from 1mb to 8mb, allowing for more transactions in each block. However, Bitcoin believers will gladly wait until there is a feasible second layer solution before ever sacrificing any amount of decentralization on the main blockchain. Simply put, with the current codebase, the main Bitcoin blockchain does not scale. Transaction times were slow and expensive, often costing over 20 dollars to transfer money. However, Satoshi did refer to Bitcoin as “electronic cash.” During the 2017 spike in Bitcoin popularity, it was clear that Bitcoin in its current form cannot function as cash. Obtaining the hardware required for a Bitcoin attack, assuming there was enough supply, would run you at least 7 billion dollars. It’s no coincidence that Bitcoin also consistently maintains the largest market cap. With small, 1-megabyte block sizes and massive amounts of hashing power dedicated to securing the Bitcoin network, BTC’s level of decentralization and attack resistance is number one amongst all cryptocurrencies.

There’s a reason Ethereum Classic exists.īitcoin’s main value proposition in current form is its decentralization, the ability to take monetary supply out of the hands of the governments and banks. It’s deeply embedded into the cryptocurrency ethos that the mistakes of the greedy are not bailed out. Satoshi embeds The Times’ headline into the genesis Bitcoin block. “ The Times 03/Jan/2009 Chancellor on brink of second bailout for banks.” After the 2008 banking collapse and subsequent bailout with taxpayer money, clearly, Satoshi was fed up with government and banking control of currency. Satoshi’s message embedded into the first Bitcoin block provides a clear motivation for the creation of a decentralized currency. Will one coin win out? Or can BTC and BCH exist in harmony in the competitive world of cryptocurrency? Bitcoin’s Value Finally, we’ll line up the competition and see where the coins are headed in the near future.

We’ll also dissect branding and levels of decentralization. We’ll examine the value proposition of each and their vastly different approaches to scaling. The history between Bitcoin and Bitcoin Cash is a contentious one, but we’re here to look at the advantages and disadvantages of each coin moving forward.

Bitcoin core vs bitcoin cash