- What is Bitcoin Cash (BCH) and how does it differ from Bitcoin (BTC)?
- Bitcoin Cash is a peer-to-peer cryptocurrency that originated as a fork of Bitcoin in 2017. The key difference lies in its goal to scale on-chain transaction capacity: BCH increased the block size limit to allow more transactions per block, aiming for faster and cheaper payments. While BTC emphasized security and a broader ecosystem, BCH focuses on being a practical daily digital cash for smaller, everyday transactions. In practice, BCH transactions are often cheaper and faster during high network activity, though fees and speeds can vary with network demand.
- How many BCH coins are in circulation and what is the maximum supply?
- As of now, about 19.98 million BCH are in circulation, representing a large portion of the capped supply. Bitcoin Cash has a maximum supply of 21,000,000 BCH, similar to Bitcoin. This fixed supply model is designed to create scarcity over time. While new BCH can be mined, the total that will ever exist cannot exceed 21 million, which researchers and investors often cite when discussing long-term value potential. Always check trusted block explorers for the latest circulating supply figures.
- What affects BCH price today, and how can I assess its short-term movements?
- BCH price is influenced by broader crypto market trends, network usage, and on-chain transaction fees. News events, Bitcoin price movements, and exchange liquidity can impact BCH more than its theoretical supply. For short-term assessment, monitor metrics like trading volume, on-chain transaction count, block issuance rate, and network fees. Technical analysis commonly looks at support and resistance levels, moving averages, and RSI indicators. Always use multiple data sources and consider market sentiment before making decisions.
- How can I store BCH securely, and what wallets support BCH?
- Secure storage begins with choosing a reputable wallet that supports Bitcoin Cash. Options include hardware wallets (like Ledger and Trezor) for cold storage, which store private keys offline and reduce exposure to online threats. Software wallets (mobile or desktop) from trusted providers offer convenience for everyday use. Ensure the wallet explicitly supports BCH and, if possible, use the CashAddr address format for compatibility. For larger holdings, prioritize hardware wallets and enable features like passphrase protection and firmware updates. Regularly back up seed phrases and enable two-factor authentication where available.
- What are practical use cases for BCH today, and how scalable is the network?
- Bitcoin Cash aims to be a practical digital cash for everyday transactions, including micropayments and point-of-sale purchases. Its larger block size targets lower fees and faster confirmations, making it more suitable for frequent, small transactions than some other networks. The network’s scalability is designed to handle higher throughput, but real-world scalability depends on miner participation, network hash rate, and on-chain activity. If you plan to use BCH for spending, verify merchant acceptance, payment processor compatibility, and current network fees to ensure timely and affordable transactions.
