Bitcoin Cash (BCH) is a cryptocurrency that was launched on August 1, 2017, after a segment of the Bitcoin community split from the main system. Bitcoin has a slew of scalability concerns, and these community members believe that the problem can be fixed by simply increasing the block size. They finally agreed to create its own cryptocurrency after a long standoff, with a block size restriction of 8 MB rather than the original 1 MB. The higher block size, they claim, will enable for more transactions to be executed.
Blocks are mined
Miners pool their computational resources to search for new blocks to add to the blockchain. The procedure follows the “proof of work” protocol, and anytime a new block is discovered, the miners who discovered it are rewarded with 12.5 bitcoins (which is half after every 210,000 blocks), but this isn’t the only motivation the miners have.
What is the purpose of Bitcoins?
Other than mining Bitcoins, there are other ways to make money with Bitcoins. To begin, you can take Bitcoins as payment for goods or services. It’s as easy as opening a PayPal account to create a Bitcoin wallet, which is where you store, track, and spend your digital currency. They’re free and can be obtained through a service like Coinbase.
