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On August 1, 2017 Bitcoin has bifurcated, giving rise to a new crypto currency called Bitcoin Cash. In this post we will tell you all the details of this new digital currency.
After almost two years of discussions on how to address scalability of Bitcoin, the decentralized cryptocurrency has officially bifurcated on Tuesday. The new Token works with software different from the original one.
Bitcoin Cash will seek to solve the Bitcoin scale problems , which generated internal differences on what is the best way to deal with them. The growing number of users, and the increase in the volume of transactions has caused problems for the Bitcoin network.
On Tuesday, then, a group managed to undermine the first “block” of Bitcoin Cash, whose software differs from the original by its ability to store more data in a single block.
In other words, the software that Bitcoin Cash uses to operate in the market has expanded its maximum data storage capacity to 8 MB , which allows a greater number of transactions to be made through the network in a shorter amount of time.
An expert warned BBC journalist Chris Baraniuk that the introduction of this new currency could unleash “chaos” in the coming days.
However, Bitcoin Cash has had a slow start in the cryptocurrency market since its launch. According to Blockdozer Explorer , a company that tracks the market, it took approximately six hours for the first batch of coins to be mined, which means that few miners have decided to lend their efforts to the new experiment. This is not a minor fact.
“It has been a slow start for Bitcoin Cash,” said Iqbal Gandham, general manager of the eToro trading platform. “The delay could be as a result of the lack of support from the miners for the new cryptocurrency.”
In short, it can be said that the official birth of Bitcoin Cash occurred when block 478559, which weighed about 2 MB, was mined.
At the moment, no major problems have been detected apart from a couple of technical difficulties in some operations, said researcher at the Alternative Finance Center of Cambridge, Garrick Hileman.
Ryan Taylor, executive director of Dash Core, a company that manages the development of digital currency Dash, said that Bitcoin Cash is only a short-term solution.
At the time of writing this post Bitcoin Cash approaches US $ 400, occupying the fourth position in market capitalization.
It is worth mentioning that the maximum issuance of Tokens is planned at 21 million, like Bitcoin.