By coming into existence “Bitcoin cash” on Tuesday, some investors were worried about the sharp fluctuation of this digital currency’s value, but it hasn’t happened yet.
While each Bitcoin dropped to $2,700, per unit of “Bitcoin cash” was traded at $200 to $400.
The purpose of new divergence of Bitcoin is to expedite transactions.
Bitcoin is not in a banknote or coin form, so it’s an approach for digital payment, which is based on cryptography and is done by a network of computers.
Furthermore, there is no a central bank or any center for Bitcoin and transactions are confirmed in the network.
The members of this network can extract new Bitcoins through solving mathematical problems.
Every Bitcoin has a digital chain of transactions record called Chain Block, which is stored and updated in a distributed way.
Bitcoin chain can add just one megabyte of information in every 10 minutes, while some members of this digital currency network could increase the capacity of “Bitcoin cash” to 8 megabytes by diverging main codes.
They are hopeful to speed up transactions in the network by employing this method.
