How to Buy Bitcoin Cash (BCH) Guide
After a hard fork and break in the Bitcoin Blockchain in August 2017, Bitcoin Cash (BCH) was born. Bitcoin Cash is the product of heated discussions and conflicting views on the potential scalability and widespread acceptance of Bitcoin.
You’ll discover just what makes Bitcoin Cash special, as well as where you can get your hands on any coins, in this guide.
How to Buy Bitcoin Cash Summary
- get a Bitcoin Cash wallet (Ledger, Exodus, Edge)
- get your bitcoin cash address (normal or cash address)
- find a BCH exchange (Coinmama, CEX.io)
- buy BCH and withdraw it to your personal wallet
That’s a summary of it. But , for those who want a deeper explanation of what Bitcoin Cash is, how to buy it, and where to store it, read on. Here’s what I’ll cover.
bitcoin vs. bitcoin cash
The blockchain of Bitcoin has recently evolved at an exponential pace. This indicates that the blockchain is being used by a greater number of individuals, slowing down the network.
Bitcoin’s limited block size of 1 MB means that blocks fill up quickly, resulting in a long queue of unconfirmed transactions. As a result, transactions at peak times have become slow and expensive.
In comparison, Bitcoin Cash was developed with an 8MB block size that was later expanded to 32MB. This move makes it possible to handle more transactions in each mined block.
Many people see this as a step ahead in terms of network scaling.
Bitcoin Cash opponents remain adamant that it is simply a short-term fix that will not solve the problem in the long run. They also claim that there is no implementation of ideas like Segwit to effectively split transactions into smaller, more manageable sizes.
Bitcoin Cash (BCH),also, referred to as Bcash, is a fork of Bitcoin (BTC). When a fork occurs in a blockchain, the currency is basically duplicated.
This means that everyone who had Bitcoins in their possession at the time of the fork was credited with a similar amount of Bitcoin cash.
So does this mean free money? Here’s the guide on how to claim bitcoin cash if you owned bitcoin before the August 1, 2017 split.
Bitcoin Cash forked in November 2018, resulting in Bitcoin SV (Satoshi’s Vision), a clone of Bitcoin Cash with a block size of 128 MB.
Buy Bitcoin Cash in 3 Simple Steps.
Step 1: Get a Bitcoin Cash wallet
You’ll need a Bitcoin Currency wallet to hold your Bitcoin Cash until you can purchase it. Industry leaders Ledger and TREZOR are among the hardware wallets that support Bitcoin Currency.
Both Ledger and TREZOR have features that allow you to use Bitcoin Cash in the same way that you would any other cryptocurrency. Both also added the right to assert the money if you already had Bitcoin before the Bitcoin Cash hard fork happened.
In addition, there are a variety of software wallets that allow you to store Bitcoin Cash as well.
Exodus has a fantastic user interface with Shapeshift, a streamlined coin trading app. My full Exodus analysis can be found here.
Edge is an iOS and Android smartphone wallet that supports a range of cryptocurrencies, including Bitcoin Cash. It also has a range of features that allow you to buy and sell cryptocurrencies directly from the app.
Electron Cash is a clone of the fantastic Electrum wallet for Bitcoin. If you’re used to
You’ll have no problems getting on board with Electrum’s sister technology.
Keepkey, BTC.com, Bitpay, and Coinomi are some of the other wallets that support BCH. On the official Bitcoin Cash website, you can see a list of all available wallets.
You’ll need your Bitcoin Cash address until you’ve got your wallet. It’s a lengthy string of letters and numbers that begins with either a “1” or a “3,” much like standard Bitcoin addresses.
A new format for Bitcoin Cash was developed after several people became frustrated and began sending Bitcoins to Bitcoin Cash wallets or vice versa. The “Cash Address” format is 42 characters long and begins with a “p” or “q.”
Bear in mind that cash addresses are only a reflection of Bitcoin Cash addresses. This implies that the same address will have two separate representations (normal format or bar address format).
The cash address format isn’t accepted by all wallets.
Step 2: Find a bitcoin cash exchange.
Most Bitcoin exchanges also allow you to buy Bitcoin Cash,here are the best ones.
Buy Bitcoin Cash Via eToro
eToro allows users from all over the world to buy and sell Bitcoin Cash using a variety of payment methods.
Rather than actually using it, eToro aims to invest in BCH to make profits in fiat currency (i.e. dollars, euros, etc.). That being said, eToro gives you access to your coins and allows you to send coins from eToro to other people.
If you only use eToro for investing, you don’t need a Bitcoin Cash wallet as you don’t withdraw the coins.
• This provider loses money on 75% of institutional investor accounts selling CFDs. You should think about whether you can afford to take such a big risk with your capital. CFDs are not available to consumers in the United States. Cryptoassets are uncontrolled, extremely risky investment items. There is no investor security in the EU.
Buy Bitcoin Cash through CEX.io
CEX.IO, headquartered in London, is a well-known and regarded name in the business, having been in service since 2013. On the web, you can select from a number of cryptocurrencies, including Bitcoin Cash.
The exchange provides both a brokerage tool (which is easier to use but costs more) and a trading site (cheaper, but more complex).
Debit or Credit cards, wire transfers, and SEPA are all approved by CEX.
Buy Bitcoin Cash Through Coinbase
Coinbase is a reputable bitcoin exchange that also provides a wallet, a trading network (Coinbase Pro), and a bitcoin debit card, among other things.
If you’re a novice, the brokerage service, which is marginally more costly but easy to use, is definitely the better choice. Advanced users can purchase Bitcoin Cash with lower fees using Coinbase Pro.
Debit cards and wire transfers are approved by Coinbase.
Buy Bitcoin Cash Via Bitstamp
Bitstamp, the oldest exchange, supports trading BCH with bitcoin and direct purchases with
US dollars or euros. There is also an option to buy Bitcoin Cash with your credit card at a higher price.
If you are familiar with bitcoin trading platforms, it is best to use this service rather than the credit card service as you will save significantly on fees.
Other options for buying Bitcoin Cash include Bitfinex, Kraken, Poloniex, HitBTC and more (you can view all available exchanges on the Bitcoin Cash website).
Step 3: Transfer BCH to your wallet.
As usual, I recommend you never leave money on an exchange.
Once you are done buying your Bitcoin Cash, move it to your own wallet (the one you selected in Step 1). You can then be able to track the status of your transaction using a Bitcoin Cash
Once you have received three confirmations for your Bitcoin Cash, you can safely say that you have completed the process.
It is clear that Bitcoin Cash has yet to be completely embraced by the cryptocurrency world as a whole. In terms of price and use, it is also a distant second to its older sibling.
The benefit of Bitcoin Cash is that it was the first big split to achieve recognition. After that, most forks didn’t get almost as much coverage from the public or the newspapers.
However, with internal conflicts within its founding team and accelerated Bitcoin development for scalability solutions, I’m not sure there is an actual use case for Bitcoin Cash other than price speculation.