How to Buy Bitcoin Cash in 5 Minutes

While many of the properties of Bitcoin Cash are based on the protocol of the Bitcoin blockchain, there are some major differences between the two cryptocurrencies. When comparing Bitcoin vs Bitcoin Cash, the most important factor to consider is the block size limit of the two coins. But first, let us explain to you what the block size limit is. The block size limit restricts the maximum size of transactions that can be processed by a cryptocurrency’s network in each second. This setting was first introduced by Bitcoin’s creator Satoshi Nakamoto to prevent malicious parties from attacking the network of the coin. However, as the cryptocurrency’s system has been upgraded (including Bitcoin Cash’s network), this problem has been fixed. So, there’s no need to keep the initial 1 MB block size limit to protect the network from hackers. As the block size limit is restricting the number of transactions processed in each minute, it means that miners are allowed to process only a certain number of transactions. If the transactions reach the limit, the ones that are beyond the limit are put into the mempool for the miners to process them at a later time. If many users are active in the system, that could lead to a congested network. The result of that could be higher fees and slower transaction processing times. So, how is the block size limit related to the Bitcoin vs Bitcoin Cash debate and the two cryptocurrencies? Because this was the reason why BCH was born in August 2017. During a long debate on the scaling issues of Bitcoin, the cryptocurrency’s community has been divided into two camps. The first one supported a decision in which Bitcoin’s network would be upgraded by increasing the block size limit. On the other hand, others have denied this solution and proposed upgrades that would solve Bitcoin’s scaling issues via lowering the size of the transactions via a feature called SegWit that could lead to additional upgrades via the Lightning Network (a network featuring off-chain transactions). As neither parties could agree on one joint solution, the Bitcoin blockchain has split. SegWit and Lightning Network supporters stayed with BTC, while the others went with creating Bitcoin Cash that featured an initial block size limit upgrade of 8 MB (which has been upgraded to 32 MB). Critics of Bitcoin argue that implementing SegWit and the Lightning Network could result in a more centralized ecosystem. On the other hand, supporters of the upgrade state that the Lightning Network helps Bitcoin scale much better than BCH and transactions will be cheaper and faster if the upgrade is ready.

To date, Bitcoin Cash had two blockchain splits. The first one was the August 2017 hard fork when the cryptocurrency was born. The other happened in a little more than one year later. This is what’s known as the November 2018 BCH hard fork. Now, let’s see the major events and disagreements that have led Bitcoin Cash’s second split. In August 2018, the developer group Bitcoin Cash Adjustable Blocksize Cap (Bitcoin Cash ABC) announced an upgrade for November the same year that would feature two important goals. Firstly, the developers sought to introduce non-cash transactions to the Bitcoin Cash blockchain (smart contracts and oracle prediction services). The second upgrade for the November 2018 hard fork was to change the ordering of the transactions in the BCH network from topological to canonical ordering. Soon as the proposal for the November hard fork was released, critics have started appearing in the Bitcoin Cash community. This group argued that the main goal of BCH is to deal with payments only, so there’s no need to prioritize non-cash transactions on the Bitcoin Cash blockchain. One of the main critics of the upgrade was Craig Wright, a developer who has earned notoriety in the crypto community by claiming that he is Satoshi Nakamoto - Bitcoin’s creator. The other major critic was Calvin Ayre, a billionaire who is the CEO of one of the largest Bitcoin Cash mining pools, Coingeek. Wright and Ayre both opposed to the canonical transaction ordering as well as they wanted the block size limit of BCH to be increased to 128 MB. Furthermore, Wright did not see the value that incorporating smart contracts and oracles into the BCH blockchain could add for the cryptocurrency. The supporters of the November 2018 Bitcoin Cash hard fork included Bitcoin.com CEO Roger Ver and Bitmain (the largest Bitcoin mining hardware manufacturer) co-founder Jihan Wu. Wu’s Bitmain also controls the mining pools Antpool and BTC.com. Disagreeing with the Bitcoin ABC upgrade, the Wright and Ayre-led opposing party had created its own proposal: Bitcoin SV (Satoshi’s Vision). Wright argued that this proposal contains the original visions of the Bitcoin creator Satoshi Nakamoto. This has led to the so-called Bitcoin Cash “Hash Wars.” In this conflict between the Bitcoin ABC and Bitcoin SV parties, both parties used their mining pools and resources to disconnect (and connect more) rigs from mining BTC to supporting the BCH ecosystem. The goal for one party was to acquire the most hash power, so their blockchain would be the longer - therefore they would “win.” However, neither party’s decisions were rational from a financial point of view. While the price of BTC has crashed soon after the Hash Wars have started, the companies that were affected by the whole debate have lost about $12 million worth of funds in trying to take control of the Bitcoin Cash blockchain.

We have tried plenty of Bitcoin Cash wallet solutions, and we think that the best BCH wallet is the most secure one. Why? As you are holding coins in a cryptocurrency wallet, your funds are not protected or guaranteed by any third-party service (like banks or payment processors). And - as hackers are actively targeting cryptocurrency users -, you need to find a secure solution where you can leave your coins without worrying about the attackers. Therefore, in our opinion, the best Bitcoin Cash wallet services are hardware wallets. These solutions come with a hardware device, which has a PIN pad for verifying outgoing transactions as well as logging into your wallet. Let us tell you why this feature of hardware wallets give your coins extra security. If a hacker tries to steal your funds that are on a hardware wallet, he has to first hack the software side of the wallet. Then he has to acquire both your PIN and your hardware device. In case the attacker manages to do all of the aforementioned actions, that would make a great story for an action movie about a mastermind hacker. But - in real life -, the attacker would have a really-really hard time stealing funds from a hardware wallet. So, we are recommending you to buy a great hardware wallet like Ledger, Trezor, or KeepKey. All of the aforementioned brands are trusted and widely used in the crypto community. However, in case you want to stay with using a software or web-based wallet (and don’t want to pay for using a Bitcoin Cash wallet), good solutions include the Blockchain.com Wallet and Infinito. All of the solutions support BCH as well as other cryptocurrencies.

We can’t provide you with a precise Bitcoin Cash price prediction for 2019 and for the years after. And we think that no one can. The reason for that is the relatively high volatility of cryptocurrencies (including BCH). A coin’s price can increase by 10% in an hour and go down by the same percentage in the next. And, in the short and mid terms, no one - including expert traders and all-star investors - can predict that precisely. However, in the long-term, you can calculate an estimated Bitcoin Cash price prediction. If the developers are working hard to upgrade and maintain the stability of the coin’s network, that could lead to an increasing rate of adoption. As the adoption increases, a growing number of people will start using BCH for different purposes, including holding the digital currency and using it for payments. If that happens, the price of Bitcoin Cash will increase with the adoption rate.

As most of the cryptocurrency exchanges and brokers are requesting different documents (KYC and AML) from their users, it becomes harder to buy Bitcoin Cash anonymously. However, there are two methods that can be used to bypass the aforementioned obstacles. The first is to buy BCH using cash from a local seller. In case he or she does not request any documents from you, the whole transaction will be anonymous. The second option is to use a cryptocurrency exchange that does not request KYC and/or AML documents from you, neither any personal (sensitive) information from you. Binance and Changelly are two good options for such exchanges. If you don’t trade a large amount of coins every day, neither service provider will request any documents from you. Therefore, you will be able to buy Bitcoin Cash on these services anonymously.

While a part of the crypto enthusiasts prefers to purchase coins via credit card and bank transfers, others prefer to buy Bitcoin Cash with cash. There are two options to buy the coin with cash. The first is to find a crypto ATM that supports BCH near you. You can use a cryptocurrency ATM finder service or just Google (Maps) to search for a Bitcoin Cash ATM in your area. The second option is to use an intermediary service - like Localbitcoincash - that will connect you with sellers in your area who are selling BCH for cash. Just head to the intermediary service’s website, choose a seller you prefer and contact him or her to exchange fiat to Bitcoin Cash.

The best way to buy Bitcoin Cash depends on your goals and preferences. For example, your priorities when purchasing the coin could include cost, time, and anonymity. Let us show you the best ways to buy Bitcoin Cash for the aforementioned preferences. In case you seek to focus on quick transactions, your best choice should be to buy Bitcoin Cash via PayPal or credit card. While you need a workaround method to buy BCH with PayPal - read back for more information -, both payment methods are almost instantly processed. Therefore, your coins are credited quite fast. On the flip side, credit card transactions cost more than bank transfers. Though, if you use a broker like Binance, there are no fees for credit card or PayPal deposits. The most cost-efficient way to buy Bitcoin Cash is via bank transfer, especially if you are an EU citizen where SEPA transactions are supported. However, you need to wait multiple working days for your transfer to arrive. So, if you are in need to of BCH in a hurry, this payment method would not work out the best for you. The final priority is anonymity. Some users prefer to stay as private as possible when they are buying Bitcoin Cash. Therefore, the best way to buy the coin for them is locally with cash or by using a cryptocurrency exchange where the initial limits are high (so there’s no need to verify your account).

As far as we know, Bitcoin Cash is not a scam. The coin has rewarded thousands of users with profits, and many people in the world pay their everyday expenses in BCH (at merchants where the coin is accepted). However, as the Bitcoin and Bitcoin Cash (as well as Bitcoin SV) communities are fighting each other, as well as there are websites spreading fake news, you may have read that Bitcoin Cash is a scam. But that’s certainly not true as the coin is completely legit.

You should decide yourself whether to invest in Bitcoin Cash. If you are interested in the coin, have the money, and you are positive about the future of BCH, go for it.

As we are in early 2019 and there’s still a bear market present, a part of the crypto enthusiasts decided to wait until the market recovers to buy Bitcoin Cash this year. However, if you are bullish about the BCH price for this year and you have the required financial background, you may decide to buy Bitcoin Cash now. Hopefully, the price of the coin will go up, so as your investment.