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Bitcoin is the most valuable cryptocurrency on the market, and many investors are starting to notice.
But taking the first step toward investing might be more confusing than you’d think thanks to another popular cryptocurrency that shares Bitcoin’s name: Bitcoin Cash. These cryptocurrencies are different, despite the name similarities.
Since experts say you should stick to Bitcoin and Ethereum as long-term investments, it’s important not to confuse Bitcoin Cash and the original Bitcoin. Here is some more basic information on both:What Is Bitcoin
Bitcoin is the first cryptocurrency, launched in 2009 by a pseudonymous figure named Satoshi Nakomoto. Its price has fluctuated over the past year from lows of around $10,000 per coin to highs of more than $60,000.
Bitcoin was originally intended to be a peer-to-peer electronic cash system that you would use to make payments. However, thanks to slow processing and volatility, “Bitcoin is actually not very easy to use when it comes to payments,” says Kiana Danial, author of “Cryptocurrency Investing for Dummies.” Because of that, Bitcoin’s original intention was pretty much scrapped from the beginning.
Instead of making payments over the internet using Bitcoin, people bought and held the coins in the hope they would increase in value over time, similar to how some people hold onto gold.
But a group of Bitcoin users in 2017 wanted to improve Bitcoin’s ability to process transactions, and make it easier to use the cryptocurrency for its original intention as a peer-to-peer electronic cash system. Enter: Bitcoin CashWhat Is Bitcoin Cash
Bitcoin Cash was spurred by a desire for “other crypto assets and cryptocurrenc...