The Ultimate Bitcoin Cash Frequently Asked Questions List for 2020

  1. What is Bitcoin Cash? What does 'Bitcoin Cash' mean?
  2. How does Bitcoin Cash work?
  3. Who invented Bitcoin Cash? How was Bitcoin Cash created? Who is behind Bitcoin Cash?
  4. What is Bitcoin Cash used for?
  5. Why does Bitcoin Cash have value?
  6. How many Bitcoin Cash coins are there? What is the Bitcoin Cash maximum supply?
  7. What is a Bitcoin Cash transaction? How do Bitcoin Cash transactions work?
  8. Are Bitcoin Cash transactions anonymous? Can Bitcoin Cash be traced?
  9. What is Bitcoin Cash mining? How is Bitcoin Cash mined? How does Bitcoin Cash mining work?
  10. Can Bitcoin Cash be taxed? Are Bitcoin Cash gains taxable? Are Bitcoin Cash transactions taxable?
  11. How does a Bitcoin Cash ATM work? Are Bitcoin Cash ATMs safe? Are Bitcoin Cash ATMs anonymous?
  12. Can Bitcoin Cash scale?
  13. Can Bitcoin Cash be stolen?
  14. Can Bitcoin Cash be hacked?
  15. Where is Bitcoin Cash stored? Where to store Bitcoin Cash?
  16. What is a Bitcoin Cash wallet? How do Bitcoin Cash wallets work?
  17. Who uses Bitcoin Cash? Where is Bitcoin Cash used?
  18. Who accepts Bitcoin Cash? Where is Bitcoin Cash accepted?
  19. Why is Bitcoin Cash the future?
  20. Can Bitcoin Cash crash? Will Bitcoin Cash crash?
  21. Is Bitcoin Cash a good investment?
  22. Where to buy Bitcoin Cash? How to get Bitcoin Cash?
  23. Can I buy Bitcoin Cash without ID? Is there a way to get Bitcoin Cash without SSN?
  24. Can I get Bitcoin Cash without KYC? Is it possible to buy Bitcoin Cash without verification?
  25. Which Bitcoin to buy? Should I buy Bitcoin or Bitcoin Cash? Bitcoin Cash vs Bitcoin?
  26. Is Bitcoin Cash publicly traded?
  27. Can Bitcoin Cash reach 1000? Can Bitcoin Cash reach 10000? Can Bitcoin Cash reach 1M?
  28. How long is a Bitcoin Cash transaction time?
  29. How many confirmations for a Bitcoin Cash transaction?
  30. How much is a Bitcoin Cash transaction fee? How much does a Bitcoin Cash transaction cost?
  1. What is Bitcoin Cash? What does 'Bitcoin Cash' mean?

  2. 'Bitcoin Cash' means a cryptocurrency based on Bitcoin, but optimized for a Medium of Exchange. Bitcoin Cash is a modified version of the Original Bitcoin, the world's first decentralized cryptocurrency. Cryptocurrency is a medium of exchange backed by cryptography. A decentralized cryptocurrency keeps track of all transactions by all addresses on a peer-to-peer shared record. The main innovation of Bitcoin is the Blockchain, which breaks up the record of transactions into blocks, each one crypographically connected to the previous. Bitcoin Cash is traded on bitni.com.

  3. How does Bitcoin Cash work?

  4. Blockchain based cryptocurrencies like Bitcoin Cash work by grouping transactions together in data blocks, then linking the blocks cryptographically. The blocks on Bitcoin Cash are larger than the original Bitcoin to fit more transactions. The chain of blocks is stored across a decentralized network of nodes, and distributed as peer-to-peer shared files. Quantities of Bitcoin Cash are stored at addresses, cryptographic sequences paired with a private key used to spend the amount at the address. The user's wallet keeps track of all their Bitcoin Cash addresses and adds up the balance.

  5. Who invented Bitcoin Cash? How was Bitcoin Cash created? Who is behind Bitcoin Cash?

  6. Bitcoin Cash was created from a rift in the Bitcoin community, between developers who wanted a cryptocurrency that would focus on the Store of Value aspect of money, and developers who wanted to focus on a Medium of Exchange. The inventors of Bitcoin Cash are mostly known, whereas the inventor(s) of Bitcoin are unknown. There is no evidence of who really created Bitcoin. 'Satoshi Nakamoto' is just an alias. The real inventor(s) disappeared without a trace. Some have claimed to be the inventor, but they are almost certainly impostors.

  7. What is Bitcoin Cash used for?

  8. Bitcoin Cash is used for anything money is used for - buying, selling, donations. But Bitcoin Cash can also be used for even more things than fiat currency: A means of accepting donations or facilitating commerce that cannot be shut down by governments or the banking system. Also storing up wealth that cannot be confiscated.

  9. Why does Bitcoin Cash have value?

  10. Bitcoin Cash has more value than Fiat Currency because it's more useful: It's anonymous, decentralized, irreversible, cannot be devalued, cannot be confiscated, can be sent over the internet to anywhere in the world in minutes. Things that are very useful and scarce tend to be valuable. One reason Bitcoin Cash has value because it fulfills all of the requirements of money: Store of Value, Medium of Exchange, Unit of Account.

  11. How many Bitcoin Cash coins are there? What is the Bitcoin Cash maximum supply?

  12. The maximum supply of Bitcoin Cash is limited to 21 million. The reason is halving - the reward for mining is reduced by half every 4 years. 210,000 transaction blocks are processed every 4 year halving cycle. The first block reward to miners was 50 coins per block, after halving they were 25, then 4 years after that 12.5, and the series keeps reducing by half. All the block rewards that will ever be add up to 100, so 210K times that is 21 million.

  13. What is a Bitcoin Cash transaction? How do Bitcoin Cash transactions work?

  14. A Bitcoin Cash transaction is a transfer of value from one address to another. The transaction spends the outputs of previous transactions as it's input. The entire value of an output is spent, so any remainder may be sent back to the sending address - this is called the "change". A transaction is created by a user on their Bitcoin Cash client software, then broadcast out to all the other nodes and becomes part of the Blockchain.

  15. Are Bitcoin Cash transactions anonymous? Can Bitcoin Cash be traced?

  16. The blockchain is a public record of all transactions by all addresses. However, an address is just a number - it doesn't reveal anything about the identity of the one using it, like a street address can. As long as this number is never linked to an identity, the Bitcoin Cash user is safe. There is no way to "trace" a Bitcoin Cash address to the person using it - unless they leave clues connecting their Bitcoin Cash address to their physical identity. bitni.com has maximum anonymity - we don't ask for personal details.

  17. What is Bitcoin Cash mining? How is Bitcoin Cash mined? How does Bitcoin Cash mining work?

  18. Bitcoin Cash mining is the computational process of adding new blocks to the blockchain. New transactions are grouped together in a block. New blocks must cryptographically connect to previous blocks with a proof-of-work hash function. Mining hardware is designed to the hashing function as quickly as possible. Miners are paid a small transaction fee for including new transactions in blocks. Mining also creates new Bitcoin Cash coins, which go to the miners.

  19. Can Bitcoin Cash be taxed? Are Bitcoin Cash gains taxable? Are Bitcoin Cash transactions taxable?

  20. Bitcoin Cash was not designed to be taxed. If no one reports their Bitcoin Cash gains, there is no way an authoritarian regime can know who gained what. However, centralized exchanges with accounts and IDs do report their user's Bitcoin Cash balance to tax authorities. If you want privacy from authoritarian regimes, you need an accountless exchange that doesn't ask for your ID - bitni.com is the best exchange in this regard.

  21. How does a Bitcoin Cash ATM work? Are Bitcoin Cash ATMs safe? Are Bitcoin Cash ATMs anonymous?

  22. Bitcoin Cash ATMs allow a customer to buy Bitcoin Cash by inserting physical cash, like a vending machine, or send Bitcoin Cash to recieve physical cash. (The former are called "1 way" ATMs and the latter are called "2 way".) If the Bitcoin Cash ATM is from a trusted manufacturer and operator, it should be safe to use. Different Bitcoin Cash ATMs have differing AML/KYC requirements.

  23. Can Bitcoin Cash scale?

  24. Bitcoin Cash has scaled to handle millions of transactions per month. Bitcoin Cash is software, and it can evolve to scale - the code can be modified with better algorithms and the network then upgrades to the more advanced version. Bitcoin Cash was modified from Bitcoin as an attempt to help to solve scaling issues, by increasing the block size from 1mb to 32mb, which fits more transactions into the block. One downside is that the blockchain is much larger and therefore more difficult to share and download.

  25. Can Bitcoin Cash be stolen?

  26. Anyone who knows the private key can move the coins from an address. If the private key is not known, it's not possible to spend the coins at an address. Bitcoin Cash stored in the wallets of a centralized exchange can be stolen - it happens all the time. At a Non-custodial exchange like bitni.com, you are in charge of your wallet at all times.

  27. Can Bitcoin Cash be hacked?

  28. If the Bitcoin Cash network could be hacked, it would have already happened. The blockchain is decentralized across thousands of independent nodes - the more nodes on the network, the higher the security. If any one node is compromised, it will not compromise the others. However, centralized Bitcoin Cash exchanges are hacked all the time! That's why you need a non-custodial exchange like bitni.com.

  29. Where is Bitcoin Cash stored? Where to store Bitcoin Cash?

  30. The data of all Bitcoin Cash transactions is stored in a public ledger (blockchain) distributed as peer-to-peer shared files. Each node has a complete copy of all transactions ever made - the blockchain. So the blockchain is stored in the cloud - not on a centralized server, but on thousands of independent nodes. Each user's Bitcoin Cash balance is also kept track of in their wallet.

  31. What is a Bitcoin Cash wallet? How do Bitcoin Cash wallets work?

  32. A Bitcoin Cash wallet stores all of the user's Bitcoin Cash addresses. The sum value of all of the addresses in a wallet is automatically added up - this is the total balance of a wallet. Centralized exchanges store the user's wallet, which is risky. Non-custodial exchanges like bitni.com do NOT store user's wallets, which is much safer.

  33. Who uses Bitcoin Cash? Where is Bitcoin Cash used?

  34. Millions of people everywhere in the world use Bitcoin Cash for all the same things as any other money is used for - buying, selling, and donations - and the number of users is growing rapidly. Anyone needing to transfer wealth internationally, especially outside the grasp of authoritarian regimes, for ridiculously low cost, will find Bitcoin Cash useful if they are not already using it. Bitcoin Cash is also used as an investment and a hedge against inflation.

  35. Who accepts Bitcoin Cash? Where is Bitcoin Cash accepted?

  36. Many merchants, especially online, accept cryptocurrencies as payment. Charities like Wikipedia accept donations in crypto. Web Hosts and Domain registrars often accept crypto. Large brick and mortar stores are starting to accept crypto payment. Some local restaurants are also coming on board. bitni.com accepts Bitcoin Cash to convert to other currencies, of course.

  37. Why is Bitcoin Cash the future?

  38. The reason why a cryptocurrency is the future can be summed up in 3 words: Because it's better. Bitcoin Cash is a huge improvement over fiat currency. It is also an improvement over precious metals - they can't be wired over the internet. If central banks continue destroying the value of fiat currencies, cryptocurrencies will become even more important to the future of money.

  39. Can Bitcoin Cash crash? Will Bitcoin Cash crash?

  40. If Bitcoin Cash were going to crash to zero, it would have probably done it already. There have been wild price swings - because it's new and there's a lot of speculation, like the internet when it first came out. But there are wild price swings with other commodities like oil. Bitcoin Cash's low after it's all-time high of several thousand dollars is a little over a hundred dollars. For Bitcoin Cash to crash to $0, demand would need to be zero or supply would need to be infinite - a highly unlikely scenerio.

  41. Is Bitcoin Cash a good investment?

  42. The Original Bitcoin has gone from pennies to thousands and thousands of dollars in less than a decade, utterly blown away the stock market, even gold and other precious metals, and far outperformed pretty much any other investment. Bitcoin Cash has not reached Bitcoin's high, and it has not returned to it's own initial high of a few thousand dollars.

  43. Where to buy Bitcoin Cash? How to get Bitcoin Cash?

  44. Exchanges are where Bitcoin Cash is bought and sold, however there are several types: Centralized Exchanges store the user's coins like a bank and require ID. Decentralized Exchanges (DEX) facilitate peer-to-peer buying and selling between users - and these can be done locally in-person or online. Non-Custodial exchanges like bitni.com are a quick and easy way of swapping cryptocurrencies without signing up.

  45. Can I buy Bitcoin Cash without ID? Is there a way to get Bitcoin Cash without SSN?

  46. Many Centralized exchanges have rigorous requirements for identification, such as uploading a scan of passport or other government documents. Decentralized exchanges usually have less stringent requirements for identification, especially if the transaction is in-person. Non-custodial exchange bitni.com does not require identification for crypto-to-crypto swaps. If you want Bitcoin Cash without SSN, you've come to the right place.

  47. Can I get Bitcoin Cash without KYC? Is it possible to buy Bitcoin Cash without verification?

  48. KYC stands for Know Your Customer. Many regimes have become increasingly authoritarian towards cryptocurrency and seek to crack down on anonymous trading, by requiring the customer to upload documents proving their identity. Many exchanges have caved in to the pressure and now have KYC policies. Centralized exchanges almost always have KYC, some Decentralized exchanges do as well. bitni.com does not require KYC for crypto-to-crypto swaps.

  49. Which Bitcoin to buy? Should I buy Bitcoin or Bitcoin Cash? Bitcoin Cash vs Bitcoin?

  50. Probably the original Bitcoin for now. Bitcoin Cash has fallen from it's high much more than Bitcoin. Bitcoin Cash has lower transaction fees because of the larger block size which can fit more transactions. However, a larger block size means the entire blockchain is harder to download because it's a much larger filesize, which makes the network less secure because there are less nodes.

  51. Is Bitcoin Cash publicly traded?

  52. Most Bitcoin Cash trading is done by buying and selling coins directly by individual investors. However, there are cryptocurrency funds listed on stock markets. A Cryptocurrency Exchange Traded Fund (ETF) holds assets in single cryptocurrencies or a basket of them. It may be more convenient to buy into one basket fund instead of manually managing dozens of different cryptos and their respective wallets. In the case of Bitcoin Cash, it is probable some Cryptocurrency ETFs are holding it.

  53. Can Bitcoin Cash reach 1000? Can Bitcoin Cash reach 10000? Can Bitcoin Cash reach 1M?

  54. Thousands, tens of thousands, or even millions for a Bitcoin Cash coin may seem speculative, but Bitcoin Cash's high is already several thousand dollars. Bitcoin Cash started out at a few hundred dollars and rose in a parabolic curve to it's high ten times higher than the starting price. $10K is only three times higher than the all time high. If the long term trend continues, Bitcoin Cash could reach new highs orders of magnitude greater.

  55. How long is a Bitcoin Cash transaction time?

  56. A new block on the Bitcoin Cash blockchain is added every 10 minutes. The number of transactions in each block is limited to tens of thousands. Transactions paying higher fees are given priority over those paying lower fees, which must sometimes wait to be included in future blocks instead of the current one. A Bitcoin Cash transaction time can be as short as the generation of one block in 10 minutes. However, 12-15 levels of blocks is needed for irreversibility, thus the safe transaction time is 120-150 minutes.

  57. How many confirmations for a Bitcoin Cash transaction?

  58. A Bitcoin Cash transaction can be tentatively completed in as little as 1 confirmation in 10 minutes. However, the latest blocks in the blockchain are changeable until more blocks are added after them. For irreversibility, 12-15 levels of blocks and thus 12-15 confirmations are needed. The latest block in the process of being added to the blockchain is changeable. Not till several more blocks have been added after it is that part of the blockchain considered immutable.

  59. How much is a Bitcoin Cash transaction fee? How much does a Bitcoin Cash transaction cost?

  60. A Bitcoin Cash transaction fee is the cost of having transaction data included in blocks added to the blockchain permanent record, which fluctuates under market supply and demand. The highest fees are equivalent in Satoshis to a little less than a dollar, the lowest are fractions of pennies. Lots of factors affect Bitcoin Cash transaction fees, such as the cost of electricity, the hardware capacity and competition between miners, the number of simultaneous transactions competing to be included in a block.

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