Bitcoin Cash (BCH), like Bitcoin (BTC), is a decentralized payment network. Although the objective of the network is almost the same, there are some important differences between the two.
Furthermore, on this page we provide you some tips for when you decide to buy or sell bitcoin cash.
About Bitcoin Cash
Bitcoin Cash, as already mentioned in the introduction, is a decentralized payment network. The network's cryptocurrency is bitcoin cash (BCH). Like Bitcoin, it uses blockchain technology that eliminates the need for third-party payment processors and banks when making transactions. In short, Bitcoin Cash makes it possible to make digital payments as securely as cash payments.
The code on which Bitcoin Cash runs resembles that of Bitcoin in many ways. Bitcoin Cash, however, is a hard fork of Bitcoin. This means that it is a direct copy with some adjustments. A hard fork happens when a group of miners and nodes decide to split with the network. In the case of BCH this happened because they disagreed with how Bitcoin developed. The group wanted Bitcoin to increase its block size limit in order to process more transactions for better scalability.
That hard fork took place in August 2017. The split-off group decided to increase the block size from 1 MB to 8 MB. Aside from that, a number of other minor adjustments were made that brought the number of transactions per day with Bitcoin Cash to around 2 million, while Bitcoin can handle 250,000. Although Bitcoin Cash seems a lot better than Bitcoin based on these figures, Bitcoin actually has an advantage when it comes to adoption.
Buy Bitcoin cash (BCH) safely and easily via Knaken+
Do you want to buy bitcoin cash? This can be done in various ways. Cryptocurrency exchanges allow you to buy BCH on an open market for the most current price. Examples of major exchanges are Binance, Coinbase and Kraken.
Another option is a so-called over-the-counter (OTC) platform. You can buy bitcoin cash directly through a broker. They facilitate the payment and send the BCH to your own cryptocurrency wallet. OTC platforms offer more privacy and often better customer service. If you want to trade with large amounts, buying bitcoin cash via an OTC is a wise idea.
Finally, you can also buy bitcoin cash through online marketplaces. Here you buy the bitcoin cash directly from a seller who offers his bitcoin cash on this platform. An example of such a platform is LocalBitcoins.
Sell Bitcoin cash (BCH) safely and easily via Knaken+
If you have some bitcoin cash in your wallet and the value of it has increased, you may want to sell bitcoin cash. This can be done in a number of ways. For example, Bitcoin cash can be sold through exchanges, OTC platforms and online marketplaces.
The easiest way is to sell bitcoin cash through an exchange or OTC platform. This way you don't have to do business with another person directly. This ensures more privacy and less hassle. Sales via such platforms will also go a lot faster.
Knaken helps you buy or sell Bitcoin Cash safely and easily. It doesn't matter if you are a beginner or veteran. These three simple steps apply to everyone.
• Select your cryptocurrency
• Pay via the payment methods such as IDEAL.
• Receive and manage your crypto in your Knaken dashboard or your own wallet.
Why do people buy or sell bitcoin cash?+
There are a number of reasons why you would want to buy or sell bitcoin cash. Perhaps the BCH price has risen significantly and you want to liquidate your profits, or perhaps the price is falling hard. Although it is not always the best choice to sell in this last scenario, grabbing profit is in most cases a good idea.
When you have thoroughly studied the project, you can make the decision to buy bitcoin cash. It can be a long term investment or you can actively trade with it. Active trading with the cryptocurrency is easiest via an exchange, such as Knaken. If you want to sell or buy bitcoin cash, here are some tips.
Why choose Knaken?+
• Safe & Easy.
• No extra costs.
• Manage crypto via your Knaken Dashboard or your wallet.
• Knaken has its own exchange.
Important tips when buying/selling bitcoin cash+
Make sure you have a good bitcoin cash wallet. The most secure type of wallet is a so-called hardware wallet. This is a kind of USB stick on which you can store your bitcoin cash. This way, hackers cannot access it as the wallet is not connected to the internet. Another option is a software wallet with which you can store your BCH on your computer. However, with software and web wallets there are more risks involved.
Do you want to buy or sell bitcoin cash through a company or exchange? Then do good research first. Are there many good reviews about the company like on websites such as Trustpilot? Do acquaintances and friends have good stories about the company? Does the company's website look trustworthy? If not, think carefully about whether you want to sell your bitcoin cash via this platform.
Only invest money in cryptocurrency that you can really miss. Although the price may have made nice moves in the past, this is no guarantee for the future.
Make sure you keep the private key of your wallet safe and secure. This is the key to all your bitcoin cash. If you lose it, you will have lost all your bitcoin cash. One of the advantages of blockchain technology is that data cannot be modified in any way. In short, if you lose your private key, you will lose your bitcoin cash forever.