Investing is tempting! If you have failed to catch the train in remote 2011 when one Bitcoin cost only one dollar, you can still capitalize on crypto. If you pick the right digital asset to pour your money into. While buying BTC may seem a prohibitive luxury today, many other less expensive cryptocurrencies are showing good performance and potential for growth.
Bitcoin Cash aka BCH poses itself as a low-cost a peer to peer electronic cash system that could be used all around the world. This cryptocurrency indeed offers significant benefits over its ancestor Bitcoin, including near-zero fees, quick transactions, great scalability, which altogether makes BCH a hot topic in the cryptocurrency community. If you are interested in investing in BCH but do not know where to buy Bitcoin Cash, this guide will provide the answer.
What is Bitcoin Cash BCH?
Bitcoin Cash is a hard fork version of the genuine Bitcoin created to meet the need for faster transaction processing. What sets BCH apart from the parent cryptocurrency is the block size (8 MB instead of 1 MB), which dramatically increases the confirmation of operations.
How did Bitcoin Cash come into being?
The size of one block in the original Bitcoin ledger does not exceed 1 MB. In its infancy, the genuine Bitcoin BTC was not used heavily, so its blockchain could quickly and efficiently process payments. But as the popularity of the original Bitcoin was growing, the number of blockchain users spiked, as surely as the number of operations to be verified. The block size was no longer enough to process all transfers speedily.
In June 2017, the situation became critical, and the Bitcoin community decided to choose a compromise solution to increase the blocks to 2 MB and implement the new SegWit2x protocol, which removes some of the data from the blockchain. 95% of Bitcoin miners voted for this.
A development team led by ex-Facebook engineer Amaury Sechet wanted to keep the old structure of the Bitcoin decentralized ledger, boosting the block size to 8 MB. They decided to split from the main blockchain on August 1, 2017, and call the new line of Bitcoin’s program code Bitcoin Cash.
The last common block for Bitcoin and Bitcoin Cash was block 478558. Block 478559 for each cryptocurrency was already different. As a result, everyone who received Bitcoins before block 478559 automatically became the holders of Bitcoin Cash.
BCH vs BTC
That way those users who owned Bitcoins before August 1, 2017, automatically became the owners of Bitcoin Cash. To prevent double-spending, Bitcoin Cash relies on a new signature hashing algorithm that is not valid on the Bitcoin Legacy network. This precludes replay of Bitcoin Cash transfers on the Bitcoin blockchain and vice versa.
The new cryptocurrency works on a protocol similar to Bitcoin:
- Hash calculation algorithm SHA-256;
- The same reward system and Proof of Work consensus;
- The same limit of emission – no more than 21 million BCH tokens can be issued.
But there are also a few differences between the authentic cryptocurrency and its hard fork variation:
- The block size increased up to 8 MB;
- Bitcoin Cash difficulty changes every 2016 block compared to every 6 blocks in BTC.
Bitcoin Cash advantages
- Bitcoin Cash has smaller transaction fees (around $0.20 per deal), so transacting in BCH will save you more money than using BTC. One BTC transaction can be as pricey as $25 per transaction and even greater.
- Bitcoin Cash offers quicker payment approval times. Unlike with BTC, you will not have to wait 10-15 minutes for the transaction to be verified when you use BCH.
- BCH handles more transfers per second, meaning more people can use BCH at once than they can with BTC.
Looking at these advantages, it makes sense to buy Bitcoin Cash today. But where to get started?
How to buy Bitcoin Cash?
If you are new to the cryptocurrency world, you may not be aware of the fact that virtual coins like Bitcoin Cash can be purchased with real money. Say, with your bank card, wire transfer, or even through an ATM. It is also possible to trade BCH for other stable- and altcoins on different trading platforms like Coinbase or Binance. And the process of buying crypto is much easier than you may believe. Do the following to purchase Bitcoin Cash officially and without any headache.
Step 1: Set up a crypto wallet
“How do I buy BCH with USD or another fiat?” is a common question for everyone not very experienced in the crypto trading art. It all starts with acquiring a personal wallet where you will store your electronic values. The market offers many solutions for such purposes. You can select among cold storage, desktop, and mobile wallets to store your virtual funds.
- Cold storage (hardware) wallets store the private keys to your crypto assets offline, making it nearly impossible to steal your digital capital. However, unlike popular software wallets, hardware products are quite expensive. Hardware wallets can connect computers and smartphones through USB. Users must always hit the OK button on the physical device every time they want to confirm any transactions through their hardware wallets.
- Desktop wallet is essentially a software program to be installed on a PC. Such a service will provide you with the ultimate control over your electronic values.
- Mobile wallets. Such a crypto wallet travels with you on your smartphone and offers adequate functionality to manage your crypto savings on the go. Mobile crypto wallets also allow you to pay in retailers through the “touch-to-pay” and QR code scanning features. Crypterium is an outstanding example of a powerful and secure mobile cryptocurrency wallet. Compatible with both Apple and Android screens, Crypterium comes with extensive functionality to trade, buy, sell, invest, transfer, and withdraw your electronic funds, while ensuring their total security. Crypterium can also be accessed through your computer if you prefer a browser experience.
Step 2: How to Buy Bitcoin Cash with fiat
If you have never bought cryptocurrencies before and do not currently possess any digital coins, you will need to register and create an account with a trusted crypto trading platform, broker, wallet, or exchange that allows a person to purchase Bitcoin Cash with a debit card or wire transfer. An acknowledged player in the cryptocurrency exchange business is Crypterium.
Crypterium is a solution for all your crypto-related needs. Going with you in your Apple or Android smartphone, this nifty app grants you true power over your digital assets. Buying BCH via Crypterium is easy as a pie. Just do the following to get your very first BCH tokens for fiat:
- Install the Crypterium Wallet on your mobile device or open the Crypterium website browser and click «Buy crypto». You can find this option in the «Money Transfer» section.
- Choose the desired crypto asset from the menu. It can be BCH or any other supported altcoin.
- Specify the amount of fiat currency you want to convert to BCH. Or, enter the amount of tokens you want to acquire. All the calculations will be done automatically, and at the lowest rate available at the market. Crypterium comes with an exclusive AI-powered bid-ask matching engine that monitors the world’s leading crypto exchanges, allowing you to get the best rate for your operation.
- If everything looks alright, press “Buy”.
- Proceed with entering the card details (cardholder’s name, expiration date, CVV, card number).
- Confirm and enjoy how your first Bitcoin Cash tokens immediately appear in your Crypterium wallet.
Crypterium accepts Visa, MasterCard, and Maestro debit cards (paying with a credit card is also possible if the card allows overdraft). The minimum purchase is as small as 2 EUR – this is the smallest amount at the market allowing you to enter the crypto trading world. Purchases below 250 EUR incur a 2% transaction fee, but you will pay only 1% on purchases above this sum. As a welcome, no-obligation bonus, Crypterium charges no fees at your very first crypto purchase.
There are also other services that allow you to buy BCH in the USA with fiat. For instance, Coinbase accepts bank transfers. Note that bank wires may take several business days before the coins will be delivered to your Coinbase wallet. This cryptocurrency exchange platform also accepts debit card payments, allowing you to buy BCH tokens with national money like EUR or USD.
Alternatively, if you already own some digital coins like BTC or ETH, you can trade them within Crypterium or on a cryptocurrency exchange to buy Bitcoin Cash.
Many other authoritative online exchanges allow you to buy BCH for real money or trade other cryptos for Bitcoin Cash, such as CEX.IO, Binance, Kraken.
Note: Before you can buy Bitcoin Cash on any of the above-mentioned platforms, you will be required to verify your identity and go through a Know Your Customer procedure. Requirements may vary by provider but, generally, you will be asked to upload your valid ID document, a selfie, paid utility bills, proof of income, and other papers.
The simplest way to buy Bitcoin Cash online
Verification with online crypto exchanges may be a stressful and time-consuming process, but you can enter the crypto world much quicker with Crypterium.
Crypterium is your personal mobile crypto storage that is also feature-packed and highly secure. The registration process lasts as little as a few seconds and requires only providing a phone number to get immediate access to over 200 crypto trading pairs and start buying Bitcoin Cash.
Crypterium accepts MasterCard and VISA debit card transfers, letting you purchase BCH in a matter of seconds. Use Crypterium not only to store/hold your BCH savings, but trade, spend, send, and withdraw your electronic assets, without leaving the app. Or, you can apply for a Crypterium VISA card to use your crypto funds as freely as you use your fiat. And never worry about safety – your Crypterium wallet will be insured by BitGo, a leading custody solution in the cryptocurrency environment.
How to buy Bitcoin Cash with another cryptocurrency
If you already hold some stablecoins or altcoins, you are likely to know how to buy and sell Bitcoin Cash. You can trade your existing tokens for BCH virtually on any crypto exchange on the Internet. Keep in mind that such transactions typically require fees.
How to buy Bitcoin Cash through ATMs
Lucky are those who want to buy BCH in the USA, without struggling through registration on online crypto exchanges, because you can buy Bitcoin Cash directly through ATMs. These machines are found nearly in every location in America, and you can search the closest cryptocurrency ATM at https://coinatmradar.com/.
To buy BCH through ATM with cash, you will need to provide your wallet address. The process is as simple as if you want to deposit money on your bank card, just follow the machine’s instructions.
Another way to buy BCH
If you do not feel like purchasing Bitcoin Cash online through trading platforms or corresponding wallets like Crypterium, you can trade BCH Contracts for Difference (CDF) without actually buying BCH tokens.
Many online stock trading brokers offer BCH CFDs, including eToro and Robinhood. The only thing you must realize is that you, actually, will not receive BCH to your wallet. This means that you do not naturally own BCH tokens and therefore cannot use them as a payment method. However, trading CFDs allows you to make money on fluctuations in the BCH price.
If exchanges and brokers are absolutely not your things, but you still desire to acquire BCH, you can start mining them just like any minable coin.
Sending tokens on your wallet
Once you have purchased BCH using a bank card, wire transfer, cash, or another cryptocurrency, you want to transfer your possession to your personal wallet. For that, you need to copy the address from your wallet account and paste it in the “destination” field of the platform or exchange from where you are going to move your tokens.
That’s all! Now you officially own BCH and can buy and sell your holdings or use them any way you deem right.