The full optimization of cashless payments is one of the most important developments of modern times. Authorities, banks, and financial institutions can now eliminate cash transactions and increase their ability to fight money laundering and illicit substance markets.
Individuals and whole organizations have taken different approaches to this problem. They have come up with many different solutions. Some solutions were focused on security details for the payment solutions. They invented all types of safes and safety deposit boxes, storage units and monitoring systems.
Some people who are working to improve this issue have also tried out completely new ways of handling transactions. Thus were born the first online banks, payment processors, and fully fledged electronic wallets. Progressive thinkers came up with a new currency to solve the problems.
In 2009, the Bitcoin was invented as the first digital currency. It marked the dawn of cashless, decentralized, and totally free transactions that can be done at lightning speed. Satoshi Nakamoto created this open-source software program to eliminate formal banks institutions and fiat currencies. The transactions were performed on a completely independent platform that is peer-to-peer supported. This made it more attractive to the public. Bitcoin was the latest tech trend, both for its cryptocurrency and the unique platform it uses, the blockchain.
Bitcoin Cash
BCH is short for Bitcoin Cash and it’s a cryptocurrency built on the foundation of the original Bitcoin. This can be used to denote any other digital currencies created in recent years using the same blockchain technology.
This particular instance was a result of the overwhelming of the original Blockchain system on August 1, 2017. The cryptocurrency was gaining a lot of popularity up until then. More people joined the blockchain to obtain the currency and facilitate transactions processing and mining new coin.
However, the system’s sustainability capabilities have been a major problem for Bitcoin holders. Due to the system’s inability to scale, an increased number of users and payment traffic eventually led to the total collapse of the whole system. One side was supportive of increasing scaleability, despite having two opposing opinions. Contrary to their beliefs, the Bitcoin community was more concerned about preserving all of the basic characteristics of cryptocurrency, including security, anonymity and decentralization. This led to the hard fork.
This second segment of the Bitcoin community, as illustrated above, continued to support the original Bitcoin and implemented the SegWit2x procedures. These measures are designed to slowly affect the blockchain and increase its scaleability. Each block will be increased in size from 1MB to 2MB.
Bitcoin Cash supporters were seen to be seperating from the original creation because they disagreed about the best approach. Their blockchain didn’t make use of SegWit and was upgraded directly from 1MB-sized blocks down to 8MB. The new cryptocurrency began operations on its own blockchain and was subsequently reintroduced to the public as a separate currency.
Last Updated on October 2, 2021
