Should you buy Bitcoin Cash?
Should you buy Bitcoin Cash?
On November 15, the cryptocurrency network split again. This is the third hard fork in four years. The project is in an unstable position, which may negatively affect its future.
Conflicting hard forks, leading to the division of the network and the split of the community into two camps, are a big problem, says Bitcoin Cash supporter Roger Ver. In an interview he stressed that if PayPal found out about disagreements within the project, it might not have added Bitcoin Cash at all (besides BCH, American users of the payment system can buy, sell and store Bitcoin, Ethereum and Litecoin).
Bitcoin Cash itself came about as a result of the bitcoin hard fork. Some developers insisted on increasing the block size in the blockchain of the first cryptocurrency. They believed that the creator of the asset, Satoshi Nakamoto, meant primarily low-cost peer-to-peer transactions as the main value of the new technology.
Bitcoin Cash Network Upgrades
Now the BCH network is updated every six months. When the community cannot reach a consensus, the chain splits. For example, this happened in 2018, as a result of the November hard fork, the Bitcoin SV (Satoshi Vision) cryptocurrency appeared. In 2020, the Bitcoin Cash Node (BCHN) coin appeared, which became dominant after the update and received the ticker BCH.
Such events negatively affect the value of the cryptocurrency. In December 2017, it reached a historical maximum value of $ 4 thousand. Then Bitcoin was trading at the level of $ 20 thousand. However, since then, the price of BTC has practically won back the fall, reaching $ 16.5 thousand in November of this year, while BCH is still is trading 94% below its all-time high.
The project is still in a very unstable position, and the community has serious disagreements regarding its further development, the official representative of the Garantex cryptocurrency exchange emphasized. She added that she doubted the prospects for all bitcoin forks.
“None of them have achieved even a fraction of what bitcoin has achieved in 12 years of its existence. Why do you need Bitcoin Cash if you have Bitcoin? Better to create something radically new than trying to make an improved version of Bitcoin. In my opinion, investing in Bitcoin Cash was not worth it even before the current fork. From the very beginning, there was a strong influence of opinion leaders – the same Roger Vera, who always speaks out about decentralization, not for the better. If you want to buy bitcoins, then it is better to buy them, and not modified copies,” – the exchange representative advised.
The CEO of Cryptorg.Exchange agreed with her. In his opinion, now it is far from the most interesting coin on the market. The expert stressed that the main thing in many crypto coins is the community. If the community does not support the coin, then none of the most advanced technologies will save it. At the same time, there are constant splits in the Bitcoin Cash community, which doesn’t affect its prospects in the best way.
Read more information about Bitcoin Cash hard fork here…
Disclaimer: Bitxmi News is a news portal and does not provide any financial advice. Bitxmi's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Bitxmi News won't be responsible for any loss of funds.