Born out of debate over Bitcoin’s scaling concerns, Bitcoin Cash forked off of the Bitcoin blockchain on August 1, 2017, essentially creating a new cryptocurrency and a new chain. (Learn more about this here.)
The reason for forking:
SegWit is a possible scaling solution adopted by Bitcoin. Supporters of BCH were unhappy with the introduction of SegWit.
These supporters believed that the only way to solve Bitcoin’s transaction bottleneck was to increase the block sizes, allowing more information to be transmitted every ten minutes. Although, there is a lot of debate over the effectiveness of the increasing block size. Many say the more information transmitted over the blockchain will take longer to propagate.
Although it is still young, Bitcoin Cash (BCH) has shown some promise, as it has attracted more miners and maintained some value. The long term viability of the new currency is still up in the air.
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