As more and more cryptocurrencies hit the market, you may feel confused about the differences and similarities between all of them. Specifically, while you’re looking to buy Bitcoin in Austin, you may notice that Bitcoin Cash is another option around town. But what’s the difference between the two? OOur team at RockItCoin takes pride in being a helpful resource in educating our customers about the world of cryptocurrency.
What is Bitcoin?
Let’s start with the basics. Bitcoin is a cryptocurrency that isn’t controlled by any single authority. Just like the US Dollar, Bitcoin can be used to buy, sell and trade for goods, services and investments. Bitcoin transactions are tracked using blockchain technology where the transactions are stored and submitted in blocks. Once computers have verified the entire block of transactions, the transaction is verified and the Bitcoin is created.
What is a Fork?
Bitcoin Cash is a type of a Bitcoin fork; a fork is created when the original blockchain code is updated but only some of the computers on the blockchain accept the update. While there are many different types of forks, Bitcoin Cash is by far the most commonly known. Thus, the original blockchain remains the same while the updated nodes (computers) split off and create a new blockchain. Anyone holding the original coin at the time it was forked will automatically receive the forked version.
How Bitcoin Cash is Different
Bitcoin Cash has cheaper transfer fees than Bitcoin in addition to faster transfer times. Plus, Bitcoin Cash can handle more transactions per second, meaning more people can use Bitcoin Cash at once than they can with traditional Bitcoin. It’s much more scalable than traditional Bitcoin is. However, Bitcoin Cash is newer than Bitcoin, so users may not understand its capabilities well enough in order to purchase it.
Both Have Perks
The bottom line? Both Bitcoin and Bitcoin Cash have advantages and disadvantages. You can think of Bitcoin Cash as a faster, cheaper version of Bitcoin. But Bitcoin has established itself as a valuable facet of the cryptocurrency market and continues to grow in value and adoption since its emergence. When it comes down to it, which one you use is your personal preference!
If you have further questions about how to sell or buy Bitcoin in Austin or surrounding areas, don’t hesitate to get in touch with our team at RockItCoin today.