Undoubtedly the various types of cryptocurrencies have had a great impact on society , and the question of What are cryptocurrencies is a very frequent question ? .
You are being able to be used for many businesses within the labor and social field, and it is that people seek ease and of course security, it is something that this method of money offers significantly, guaranteeing balance and security in our banking processes .
This is an easy system because it does not have such a high transaction cost, compared to the other options, this because it is not allied with any type of intermediaries or developers from other branches , being able to buy and sell Bitcoins in different countries .
Also called cryptocurrencies, it is a process that does not require any financial agent to streamline processes using this innovative method for society, using applications through the internet that allow making the appropriate changes to cryptocurrencies.
It is directed directly from the buyer to the seller itself, therefore it does not require external people to influence the process that takes place at the time of change.
- What cryptocurrencies are most used?
- What is the cryptocurrency Bitcoin cash and how does it work?
- Some differences between Bitcoin and Ethereum
- Essential differences between BTC and BCH
- Are both interchangeable?
- What does the fork in the Blockchain refer to?
- Technical differences of both virtual currencies
- Playback and erasure protection
- Chain scalability
- Emergency Difficulty Adjustment (EDA)
- What factors affect the price of these currencies? Could it increase soon?
What cryptocurrencies are most used?
There are various types of cryptocurrencies, including Litecoin, it is based on the payment of daily services, and transactions through it can be faster and more immediate than the other options, which generates a wide use of the large merchant companies, we can also buy them through PayPal , but currently payments with this type of currencies are still a bit limited .
NEO is also provided , which has been a great ally at the time of purchases and payments, many users consider it as one of the platforms that is at a higher level than the others.
We have IOTA in the same way, being a unique type of cryptocurrency , it is basically designed to be used with devices that are compatible with the web, or the internet in this case, somehow maintaining the integrity of the users who use these types of payments.
What is the cryptocurrency Bitcoin cash and how does it work?
It is a cryptocurrency that works like a payment network, having some similarities with Bitcoin, it uses the same blockchain technology , with multiple nodes that are in charge of verifying each transaction and that it is totally legitimate.
It fulfills various functions such as, for example, sending and receiving money directly , that is, from person to person, there is no need to request mediators that are often used for banking transactions of various types.
It also allows it to be used as the main payment method, although its use is not very common, because it has been innovated a short time ago and has not yet entered the payment market in a powerful or significant way.
In the same way, Bitcoin Cash is a viable employer to make different investments of our liking, but yes, making sure to invest an amount of money that perhaps we should be willing at some point to lose it, since it is not always earned in these investments .
Some differences between Bitcoin and Ethereum
One of the great things that differentiate these two methods is that Bitcoin has a higher production than Ethereum , being Bitcoin accepted as an international digital currency, while Ethereum accepts transactions that come from digital applications, or that their origin be exclusively for ‘dapps’.
Also counting on a difference between their transactions, in Bitcoin the transactions can be from seven to eight per second , but for good news, in Ethereum there are 16 to 20 transactions that we can carry out, giving it a great advantage, and that is what they have thought the employers of these cryptocurrencies.
All users have their favorite cryptocurrency , so the differences are noted when choosing one, both being the most recommended by several people who have already used them, but when using these systems it is necessary to be well informed of how to use ethereum and other criptomonedas.
Essential differences between BTC and BCH
There are some notable differences between BTS and BCH, the first of which has to do with the name BCH is called. Since this was created with the intention that in the future it would become a real currency . Another difference is the size of the block, where the Bitcoin has a size of 2 MB the Bitcoin Cash has 32 MB.
And finally, we can cite the technical differences that BCH has and this may represent a security risk, although work is being done to achieve the security levels that BTS has.
Are both interchangeable?
Unfortunately it is not possible to exchange BTS for BCH or vice versa and this because they are different currencies, therefore you must have a wallet on your mobile device or PC to be able to save them. So much so that if you send BTC to a BCH address or vice versa, you will lose your funds and without the possibility of being able to recover them.
What does the fork in the Blockchain refer to?
A hard fork is a term that refers to a change that has been made to a computer program and requires an update to the latest version of the program . Something very different from the soft fork that may exist with the previous version. But in both cases there are two Blockchains that share the same program with certain variants.
Technical differences of both virtual currencies
Both Bitcoin and Bitcoin Cash show some technical differences that make each one unique and not dependent on the other. Below we will show you some of these variations that these virtual currencies have. As for example in its transaction signature, Bitcoin Cash now has its own signature, something that allows it to be differentiated from Bitcoin.
But below we will show you other very notable technical differences such as the emergency difficulty setting (EDA). As well as chain scalability and replay and delete protection.
Playback and erasure protection
Bitcoin and Bitcoin Cash can show some technical differences and the most notable of which is that they do not use the same algorithm . This situation will not allow then that there is some type of repetition between its chains, before this was possible, but now it is not like that.
Another difference that Bitcoin Cash offers us compared to Bitcoin is the increase in the number of blocks. Which at first was similar to that of Bitcoin, but it has progressively increased from 2 MB to 8 MB and is currently at 32 MB. But the number of blocks is expected to increase
Emergency Difficulty Adjustment (EDA)
In order to offer Bitcoin Cash greater stability, a new algorithm has been created that will allow in the event of an unexpected change. Such as an increase in the number of miners , a normal chain job.
What factors affect the price of these currencies? Could it increase soon?
We can see that there are some factors that can affect the price of these two virtual currencies, where Bitcoin Cash can manifest price increases sooner than Bitcoin . The first of these factors has to do with the speed of transactions, something that Bitcoin Cash was able to solve by appearing with its scalability feature.
Another factor that can affect the price of the currency and especially with regard to Bitcoin Cash that it rises faster. It is the creation of the DEA algorithm or the Emergency Difficulty Adjustment , since in the moments that the currency rises in price it will remain more stable.