Origins as a Bitcoin Fork
Bitcoin Cash (BCH) is a peer-to-peer cryptocurrency created in August 2017 through a hard fork of the Bitcoin blockchain. It emerged from a long-standing community debate regarding scalability. Proponents of BCH advocated for a direct increase in the network’s on-chain transaction capacity to better serve as a global digital cash system for everyday use.
The Core Technical Difference
The fundamental distinction between Bitcoin Cash and Bitcoin (BTC) lies in its significantly larger block size limit. This architectural choice is designed to allow the BCH network to process a greater volume of transactions within each block. The intended result is to maintain low transaction fees and achieve faster confirmation times directly on the main blockchain, without needing off-chain scaling solutions.
Primary Use Case and Philosophy
The guiding philosophy of Bitcoin Cash is to function as a highly practical medium of exchange, aligning with the “Peer-to-Peer Electronic Cash” title of the original Bitcoin whitepaper. It prioritizes utility for daily commerce and remittances, focusing on providing fast, reliable, and inexpensive global payments, rather than positioning itself primarily as a store of value asset.
