To understand buying Bitcoin Cash, it first helps to know a little about its origin – Bitcoin. Bitcoin is the world’s first (and most popular) cryptocurrency – an innovative worldwide system of decentralized payment using a technology called ‘blockchain’ to control person to person transfers without the need for a third party. It is the leading open-source software for cryptocurrencies and as such has spawned many imitators. Though volatile, in recent months its price has ranged from anywhere between 6,000 and 11,000 USD per bitcoin, and its market cap is over 300 billion USD. So, at an average of 10k per Bitcoin, it’s safe to say there is value in Bitcoin (for now anyway!).
So what then is Bitcoin Cash? Well, put simply, it is an upgrade of sorts to the original Bitcoin. More to the point, it is a hard fork of Bitcoin. (A hard-fork? you say) Well at some point in its history it was felt that there was a scalability issue with Bitcoin, this led to a split in its blockchain (this is the hard fork); an upgrade was created on the blockchain – and Bitcoin Cash was spawned following this new upgraded chain. So now we have two coins still sharing the same transaction ledger, as well as history, but their value is different. As a Bitcoin holder, you could choose to stay with the original chain or you could choose to upgrade to Bitcoin Cash – following the new rules of that upgrade. The majority stayed with the original Bitcoin feeling an upgrade was unnecessary, but enough upgraded to Bitcoin Cash (which is valued at nearly 1050 USD per coin). Anyone in possession of Bitcoin was handed an equivalent amount of Bitcoin Cash to equate the value.
Bitcoin Cash boasts of the most robust blockchain technology in the cryptocurrency world.
So what was this upgrade? The main upgrade offered by Bitcoin Cash in comparison to Bitcoin was an increase of the block size limit to 8MB (compared to the 1MB block size of Bitcoin). This allowed miners to process or solve cryptographic puzzles faster and at a cheaper rate and win more Bitcoin Cash. Bitcoin Cash does not have ‘SegWit’ (a proposed code adjustment designed to free up block space ). An added feature is a replay and wipeout protection. The transaction signature ‘SigHash’ provides for replay protection, improved hardware wallet security, and elimination of the quadratic hashing problem. In order to use any cryptocurrency, you will need to use a cryptocurrency wallet. A cryptocurrency wallet is a secure digital wallet used to send, receive and store digitized currency. Great care must be taken while choosing a wallet. Having looked through the advantages of purchasing Bitcoin Cash, here are a few ways to buy the cryptocurrency.
How To Buy Bitcoin Cash
Buying Bitcoin Cash on an Exchange
Cryptocurrency exchange provides an assured path towards trade. An exchange represents the easiest and surest method to trade and invest in cryptocurrency. Exchanges like ‘Binance’, ‘Bittrex’ and ‘Kraken’ are renowned exchanges and ensure there is no threat of theft or any privacy concerns. For higher purchase limits users must upload Government issued ID proof and residence proof. Anyone in possession of Bitcoin on ‘Kraken’ was handed an equivalent amount of Bitcoin Cash for free. Every Exchange has an operating environment which is unique. A user must authenticate his identity and link his bank account to the Exchange, after which the user can purchase Bitcoin Cash. Depending on the exchange, there are different ways in which Bitcoin Cash can be purchased. A user can buy Bitcoin Cash on an exchange by buying another cryptocurrency first and purchasing Bitcoin Cash with the cryptocurrency (like bitcoin or ether). Users can directly purchase Bitcoin Cash as well using currency (like USD or Yen). If a user intends on storing his/her cryptocurrency safely after purchase, the use of cryptocurrency wallets is recommended.
The link below serves as a guide as to how to use an Exchange called ‘Kraken’.
Buying Bitcoin Cash with Other Cryptocurrency
‘Asset Exchange’ sites are quite popular. There are several ways to purchase Bitcoin Cash with other cryptocurrencies like Ethereum, Ripple or Bitcoin. These sites provide for an easy manner of trade between different cryptocurrencies. ‘Bitsane’ is a trusted site and allows you to buy Bitcoin Cash. Bitcoin can be bought from sites like ‘Coinbase’, and exchanged on ‘Kraken’ or ‘Shapeshift’. It may sound like a complicated procedure but it is quite simple to execute. ‘Paxful’ allows for direct asset exchange as well, but it depends on the availability of Bitcoin Cash and the market demand. To store purchased cryptocurrency safely after purchase, the use of cryptocurrency wallets is recommended.
The link below serves as a guide as to how to use the asset exchange ‘Paxful’.
How to buy Bitcoin Cash Through Direct Trade
Trade is an assured method to purchase Bitcoin Cash. There is no need to worry, as there is no risk of volatility like that of an Exchange. ‘Cointal’ is a trusted site that allows you to trade currency for Bitcoin Cash. Users can pay using credit or debit cards, PayPal, or their bank accounts. A user must authenticate his account, choose his method of payment, and simply specify the amount of Bitcoin Cash they want to buy, or the amount of money they are willing to spend. Several trade options will appear on the screen and the user can choose any that suits him/her. If one means to store the cryptocurrency safely after purchase, the use of cryptocurrency wallets is recommended.
The link below serves as a guide as to how to use ‘Cointal’.
A cryptocurrency wallet is a software that allows you to easily store and manage your private keys (secure digital code known only to you and your wallet) and public keys (a public digital code associated to a certain amount of currency). A good wallet is easy to use, provides for security and backup, is constantly updated and allows you to control your private keys. Never store your Bitcoin Cash on an Exchange! Wallets are secure and prevent theft of cryptocurrency. Ledger Nano S, Trezor, Exodus and Jaxx are a few of many good wallets a user can trust. After purchasing Bitcoin Cash, make sure to transfer the cryptocurrency to a secure wallet. Hardware wallets are generally considered to be the most secure (Ledger Nano S, Trezor).
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