On August 1st 2017, a group of Chinese miners will make a copy (a permanent fork) of the Bitcoin blockchain to create a new version of Bitcoin called 'Bitcoin Cash'. A so called User Activated Hard Fork (UAHF). Bitcoin Cash won't have SegWit and has a block size of 8MB.
Some people may call this sudden announcement a Bitcoin blockchain split, but Bitcoin Cash is basically a new altcoin that is splitting off from the Bitcoin blockchain. And because it's a copy of the Bitcoin ledger, all Bitcoin holders prior to the fork on 2017 August 1st will automatically own Bitcoin Cash. At least, if you control your own private keys!
Bitcoin Cash: What You Need to Know
Bitcoin Developer and Entrepreneur Jimmy Song has written an excellent article about Bitcoin Cash today. You can read it here: https://medium.com/@jimmysong/bitcoin-cash-what-you-need-to-know-c25df28995cf
And here is the coin's website: https://www.bitcoincash.org
So Bitcoin Cash is a Bitcoin fork without SegWit, but with a 8MB block size which all Bitcoin holders receive for free. And lest you think it isn't worth much... The Bitcoin Cash Futures are currently being traded for about $450 US Dollar on ViaBTC. I don't think it will be worth that much after August 1st, but we'll see. I probably sell most of my Bitcoin Cash coins for the real Bitcoin.
Source: Coinmarketcap.com
Bitcoin.com Public Service Announcement
Bitcoin.com released a statement on Bitcoin Cash earlier today.
As we have previously stated, Bitcoin.com believes that behaving with integrity and upholding agreements made is always the proper course of action. As such, we continue to remain committed to supporting the Segwit2x proposal, which has received broad support from Bitcoin industry and community alike.
Due to significant demand from our users, the Bitcoin.com Pool will give mining customers the option of supporting the Bitcoin Cash chain (BCC) with their hashrate, but otherwise Bitcoin.com Pool will by default remain pointed at the chain supporting Segwit2x (BTC).
We trust that our fellow community members will also behave with integrity and uphold agreements made, but in the unlikely event that the 2MB block size increase portion of Segwit2x fails to activate, Bitcoin.com will immediately shift all company resources to supporting Bitcoin Cash exclusively.
Sincerely,
Bitcoin.com
So if the Bitcoin block size won't be increased to 2MB as agreed, Bitcoin.com will stop mining Bitcoin and will continue mining Bitcoin Cash only instead.
Make sure you get your Bitcoin off exchanges and control your own private keys before August 1st.
My prediction is this: Bitcoin is crypt0 gold. BCC will go to the wayside in time, and STEEM will become one of the most popular global cash payment systems. Don't take your eyes off the ball.
We agree with your Prediction @thejohalfiles The Time is Hot for STEEM Right now at these prices 1.20 is NOTHING lets keep our eye on the Ball like you said above.
I agree. We don't need Bitcoin Cash!
Bitcoin = Gold 2.0
BCC is right infront of us. Let´s get rid of it. :-D
I am right there with you. I have vested a large amount into STEEM and am running a Witness while providing open source projects to the community and tutorials and guides.
Personally, I think STEEM is due for some huge increases in popularity and usership and the development behind it has been fast and very bright.
I bet it will be possible to make a quick buck on some BCC though. There is definitely no shortage of greed in the crypto atmosphere.
well said :)
All of this confuses me no end. Should I store BTC, collect Steem,---EOS, Eth? I don't know what the ball looks like...
It really depends on your risk tolerance. I would suggest collect a little of each and slowly adjust your position over time based off of the performance of each of your investments.
I agree with what you're saying, STEEM will become huge.
So Bitcoin and STEEM are the way to go if we want to fill up our cryptocurrency vaults? :) Happy to know that. Thanks for the prediction @thejohalfiles! And thanks for all the info @penguinpablo!
"global cash payment systems". Hmm do you mean that we will be using STEEM to purchase things directly with enough time? I know that there are some STEEM enabled ecommerce stores but those don't seem like a significant value add.
thanks for your useful prediction i agree with you i wish the best for you and your family. i hope the best luck for you
yeah thats why i'm turning into steem
greetings
I hope we can be friends@thejohalfile and all
https://steemit.com/bitcoin/@adambalm/the-truth-about-who-is-behind-blockstream-and-segwit-as-the-saying-goes-follow-the-money
Can someone please answer a couple questions I have about all this.
I can recommend Electrum: https://electrum.org
Why do you recommend Eletrum? I downloaded Exodus what do you think of it?
Electrum is a safe and easy to use wallet. It does not download the full blockchain, but uses a network of specialized servers that index the blockchain. This safes a lot of storage space. Besides, it is fully open source.
Exodus is also a good wallet that lets you control your private keys.
Thank you :)
What happens to one's crypto when his computer crashes( in case of web wallet) or Phone gets stolen (in case of app)
Some Bitcoins are lost forever.
A backup of the Bitcoin wallet is very important of course :)
The best option is to get a "Trezor" hardware wallet, i have used one they are amazing! if you are bitcoin invester and believer and not a casual user go for it, i recommend not storing amounts over 5,000$ online or on desktop wallets.Get yourself one of those gadgets.
I get that hard wallets are the way to go, but when (and where) will we exactly see these pop up? I have the Ledger Nano S but don't they need to develop the app interface to allow these coins to be on the hard wallet? For example, I believe my Ledger holds 4 currencies maximum. So I need to have BTC on my Ledger and 1 open slot for another currency? So BCC can be there? This is all just really weird and vague 😄
Well, you need to wait and check.
It's either a new slot for BCC or some other thing, but BCC will crash since anyone getting a free BCC will automatically sell them.
I am a bitcoin believer and any bitcoin fork will just make the essential one stronger each time it destroys the new fork!
What do you think about Ethereum / Ether Classic? Seems like the new fork was the one that got the hype. I currently think BTC is slightly overrated right now, considering there are many cryptos that do what Bitcoin does...
What you are saying is true, people trust bitcoin and that's what makes it special.
Thank You for replying. Why do you recommend not storing more then $5000 on a desktop?
Well the thing is that laptops are prone to malware attacks and they might stop functioning for whatever reason. I have a Trezor and highly recommend it, if something happens you can move your coins instantly to a new one.
Hardware wallets are made to store coins, so pretty sure they know what they are doing.
5,000$ because a Trezor costs about 200$ max, so that is 200/5000= 4% which is a good tradeoff between cost and security.
A friend of mine had 300,000$ on BTC-e and lost it. So be careful and don't be frugal on essential things, if you wake up one day and all is lost how much you pay to go back in time? pretty sure more than 200$.Think about it this way.
Have an energetic day!
Thank You for replying :)
Seems to me that the best use of bitcoin would be to leave it as it is and view it as a wealth store like gold.
Other coins can fill the gap of a useful service that can cope with a massive transaction volume.
Spliting Bitcoin undermines the whole field.
How do you figure? Core development has been completely bought out by Govt and Big Business (Blockstream, AXA, DCG).
Seems like forking away from government constraints on bitcoin is exactly what bitcoin was built to do. We can't achieve mainstream use with 1MB blocks that only allow for 3 transactions per second. Bigger blocks was inevitable because its what the people want, despite government attempts to stop it.
It's not a split technically,the chinese miners are creating separate hard fork, so its just a new coin
For as long as I have been involved with bitcoin people ha e been talking about what is going to be the bitcoin killer. Maybe this is it, would be funny.
I generally don't care about all this stuff, everything is probably going to work out just fine, like it always does.
Thanks for the article
I think on 1st, it will drop dramatically as everyone will try to sell it as fast as possible.
I think so too.
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I agree. Let's see what happens...
Forks are a good thing.
How do we get our free BCC?
Hard forking does not make it an alt-coin. If it becomes the longest chain, which is likely, it will be Bitcoin.
No, that's not how it works in this case. Bitcoin Cash will run as a seperate blockchain besides Bitcoin, just like the other altcoins.
Whatever is the longest chain will be bitcoin. I expect the Segwit chain to die off pretty fast.
Unbelievable, if I have 2 bitcoins ,on Aug 1st ,out of thin air I'm going to be having 2 BCC which would theoretically be worth $880!!. (assuming bcc price won't fall,which is unlikely).
This is also going to tarnish bitcoin's reputation :(
I wish I read this the other day. I bought 70000 worth of Bitcoin on ezbtc.ca 2 days ago and locked it in with them to get the 9% on my Bitcoin. When I want to take it out I need to wait 2 weeks. That way they have 2weeks notice period. I hope they are good with me and give me the split coins.
Thanks for the info... But basically what do you suggest to people who own Bitcoins?
I'm going to sell most of my 'Bitcoin Cash' for Bitcoin, because I believe in the real Bitcoin. It's a personal choice, but of course no one knows exactly is going to happen.
Perhaps the best thing to do is just do nothing. Let the dust settle and wait which of the two coins will win in the end. If you own both coins, you always own the most valuable coin as well.
It seems to me a great move. In the indecision stand still and wait to understand Thanks!
I thought BCC was reserved for BitConnect Coin.
That's right. I think Bitcoin Cash can't use 'BCC'.
And BTCC is already used by the Chinese Bitcoin exchange.
We are in scary times! Wonder if BTC price will go down by ~400 USD after the 1st.
This is my opinion as well. This coin will not threaten Bitcoin itself. It could be valuable but it is not a problem. May the best prevail.
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Thank you for the valuable information. Resteemed
Last line is one of the best tips I have seen lately. There will be a moment in which trading our bitcoin cash could be a good move.
Anyway, as @ancap47 says, some of the current movements are more interested to the corporate-government alliance that to the ones that look for financial liberation systems
I am going to move my funds from Bitcoin cash to Litecoin. Personally I don't want to give up my BTC as I am planning to HODL them. Now splitting Bitcoin doesn't make any sense rather hampers the whole community by creating confusion and chaos among the new investors.
This is politics from these Chinese mining pools which governs the largest BTC pools by splitting it to another coin assuming most of the existing users may switch. Why not create a new coin? Why fork? Why not use Litecoin? This is now politics over governing the decentralization. So far we have seen advantages of decentralization; now we are seeing the exploitation of decentralization.
They're gonna get a throw a lot of hash power early and get a good start mining their new fork. Watch it get pumped a little then dumped to smithereens. Will gladly take the free coins and dump
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Great post buddy..
Uovoted
Make no mistake, bitcoin cash is (1) a test balloon sent up by jihan, ver etc. If it is succeeding then they will jump and fight. It is also (2) a pawn to be used to try to force their demands on the core dev's. Very effective weapon and strategy-although pretty transparent....that movie saying "there will be blood" is probably appropriate.
Good post! :)
Knowledgeable post thanks for this update
Is it ok to keep my coins in mycelium on Aug 1?
Yes, the private keys are stored in your bitcoin wallet by the app.
Ok thanks. I thought I was on the right track but wasn't 100%. I appreciate you getting back to me and for the helpful post. You're the first place I read about Bitcoin Cash.
cool..
Interesting article, hopefully August will bring blessing to all @penguinpablo
Exactly, it will be the Chinese version of Bitcoin, controlled by the government of course..
In my opinion all this BitcoinCash story is to create some FUD
Wait till most sell their BCC and buy yourself a few coins cheap. Who knows what'll happen later on. This BCC stuff might just be FUD, but it might also be just another branch for all the crypto monkeys to jump to and from. Alternatively, mining it should be easier too.
If I didn't mine my own bitcoin do I control the keys?
It doesn't matter if you mined the Bitcoins yourself or not. If you hold your Bitcoins in a wallet that stores the private keys for you, you are safe.
A good Bitcoin wallet is Electrum: https://electrum.org
Lets wait and see how much drop it brings to bitcoin. I am ready to buy that damn drop.
I will hold BBC, when the dust settles I think It will be ok.
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Upvote by another upvote!!! Visit @misterbitcoin
gracias por la informaciòn como siempre..!!!
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So regarding the "Bitcoin off exchanges", is it only applicable to Bitcoin and not other coins? I'm kind of newbie to this. Thanks for sharing.
It's applicable to any cryptocurrency.
Any digital coin you store on an exchange is basically not yours. You have a right to withdraw it from the exchange, but if the exchange is having troubles you don't have access to your coins. It's always better so store all cryptocurrency safely in your own wallets.
Yes, I get that. But I mean, with the upcoming August 1 event, would you advise me to transfer my other coins aside from Bitcoin to my own, uhm, paper wallet? Thank you.
Not specifically because of the August 1 event, but I would always advice not to store any cryptocurrency on an exchange.
But, apart from Bitcoin, you do not need to do that before August 1st per se.
I see, thank you. Cheers and more power! :)
Thansk for the breakdown. Bitcoin Cash is interesting, but like you said, I think it's value will drop come August 1st since most people seem to want to just sell it to make a quick buck.
Thanks for the information! So which one would you recommend for the best?
Bitcoin Cash is growing and I don’t think there’s any scope of Bitcoin Cash falling to 0.. If you’re interested in Bitcoin Cash trading, check out my blog article on why Bitcoin Cash Trading is the next big thing here:
https://wikicrypto.com/start-bitcoin-cash-trading/