On 1 August 2017 18h24 UCT at block 478558 Bitcoin hard forked and Bitcoin Cash was born.
This means all owners of Bitcoin at the time of the fork now own Bitcoin Cash.
Simply put, if you had 10 Bitcoin at the time of the fork, you now have 10 Bitcoin AND 10 Bitcoin Cash.
By August 2, AltcoinTrader, one of South Africa’s leading Bitcoin exchanges, had already given all clients holding Bitcoin their equivalent Bitcoin Cash.
Bitcoin cash started trading at around R7,500 per coins and within 24hours reached a high of R25,000.
Then, a day later, it settled to a price of around R4,000 per coin.
These figures were taken from AltcoinTrader.co.za, which at the time of writing this article was the only South African Exchange to allow trading of Bitcoin Cash.
The future of Bitcoin Cash is at this stage is uncertain.
While some Bitcoiners see it as the next big development, other are not so certain and feel that the coin might not survive.
The main reason the Bitcoin community saw a need for the fork was because of Bitcoins inability to scale and cope with high volume transaction demands.
The Bitcoin network only has the ability to process around 7 transactions per second compared to say VISA that can process 2000 transactions per second.
This blocksize debate has been going on within the Bitcoin community for a long time, and it was inevitable that something would happen and it did – Bitcoin forked!
Will Bitcoin Cash effectively solve this issue? Only time will tell.
Since Bitcoin cash is already distributed to all Bitcoin holders, Bitcoin Cash has the advantage of being out there in the market place.
Instant large-scale adoption of over 16 million coins around the globe will make Bitcoin Cash hard to ignore.
The total market value of Bitcoin Cash, known as “Market cap” the at the time of writing this article, is over R73 billion – another factor making Bitcoin Cash unlikely to simply disappear!
With exchanges all over the world adopting Bitcoin Cash and allowing clients to trade and use this new Bitcoin, it also seems that Bitcoin Cash has value and that an infrastructure is already in place.
While the future of Bitcoin Cash remains uncertain, it is certainly a very interesting one and a coin to be watched.
This article was published in partnership with AltcoinTrader.