The following article will help you find the right strategy, minimize the risks and get much profit, so continue reading.

What is on the Agenda?

Cryptocurrencies like Bitcoin, Ethereum, and Dogecoin have conquered the world over the past few years, and some investors are plunging into the crypto business, hoping to make a fortune.

With perpetual forecasts and market analysis, there is still a great chance to fail. The future is unclear right now because things are rapidly changing. Under the pressure of the COVID-19 pandemic, it’s equally possible that cryptocurrency could become worthless one day. Nevertheless, nowadays, it’s hard to ignore the temptation of cryptocurrency as it is on the rise. 

Let’s consider three main ways investors can follow to invest in cryptocurrencies without actually owning them.

Invest in Cryptocurrency-Holding Companies

When most people decide to buy cryptocurrency, they usually mean getting the currencies directly, such as Bitcoin tokens. But actually, there is no need to purchase the tokens themselves as it’s better to invest in crypto stocks.

A crypto stock is an organization that is somehow linked to the cryptocurrency movement. An investor gets indirect access to Bitcoin, for example, by investing in companies that have them on their balance sheets or operate digital currency-related services. People can pick up from a significant number of publicly traded enterprises that meet this criterion. MicroStrategy and Tesla are two widely-known giants that have invested a lot in this field.

Tesla 

Tesla spent $1.5 billion in Bitcoin and initially agreed to accept it as a payment for its products. However, the company recently gave up the idea of accepting Bitcoin and even sold the majority of its Bitcoin supply. Later, Elon Musk also implied that Tesla might have sold its entire Bitcoin holdings. He explained his decision not to back Bitcoin anymore because Bitcoin mining is not eco-friendly. Musk has endorsed Dogecoin, and people suppose that Dogecoin could be his currency of choice as he constantly welcomes it in his Tweeter. 

MicroStrategy 

Virginia-based business intelligence company MicroStrategy is renowned for its significant investment in Bitcoin. In August 2020, MicroStrategy invested $250 million in Bitcoin, explaining this decision with declining returns from cash, a weakening dollar, and other significant economic factors. In total, the company has invested more than $2 billion in Bitcoin ($24,311 per unit), and its stock price now highly depends on the bounces in Bitcoin’s price. 

Coinbase 

Coinbase is the first US company to operate a cryptocurrency exchange platform listed on the US Nasdaq exchange. In April, the company announced an increase to $1.8 billion, up from $190.6 million the previous year. The jump was provoked due to the price rise of Bitcoin over that time. 

By the way, Nasdaq set a reference price of $250.00 per share, giving the company an estimated value of $47 billion. At the end of its first day of trading, Coinbase closed at $328.28 per share.

In early June 2021, Coinbase also began dealing with Dogecoin available for Coinbase Pro users.

Square 

The digital payments company has also put approximately 1% of their total assets ($50 million) in Bitcoin in October 2020, now worth around $220 million. In February 2021, the company bought an additional $170 million worth of Bitcoin, making Square’s total holdings almost $500 million in cryptocurrency. Besides, Square allows its sellers to accept various types of cryptocurrency as a form of payment.

Although none of these companies focus entirely on cryptocurrency, it is a significant part of their business. If cryptocurrency takes off one day and becomes far and widely accepted as a form of payment, these enterprises will tremendously yield from it. By putting money into these types of stocks, you may also enjoy cryptocurrency’s success without facing the risks of buying crypto tokens directly.

What Else to Expect from Crypto Stocks?

While this kind of investment can be a great way to minimize your risks, there are a few things you need to consider before getting it.

First, it’s crucial to avoid buying a stock just because it’s connected with cryptocurrency. If a company has weak potential and crypto does not succeed over a long time span, that stock will experience a hard time recovering. On the other hand, strong companies are more likely to overcome the crisis despite any movements in the crypto market.

While considering stocks, be sure to do thorough research. Is the company financially healthy? Does it have an authoritative team of professionals? Does it have a competitive advantage in its field? With all these parameters, it will be easier to have a big picture. For any company, it’s essential to see long-term potential. If a business ends up failing, it won’t make any difference whether it was linked to the cryptocurrency or not.

Also, don’t forget the old saying: “Don’t put all your eggs in one basket.” It means if you intend to invest in crypto stocks, make sure to have a broad mix of investments, not focusing on a single one. Creating your diversified portfolio can further limit your risk in case your crypto investments don’t succeed.

Cryptocurrency is definitely among the most popular trends in the investing world, but it can be risky. Even within the crypto field, there are several options to choose from. You may opt to Bitcoin, Ethereum, Dogecoin, or all together – these various assets work together to reduce an investor’s risk in case of unexpected losses.

Invest In Companies That Deal With Cryptocurrency-Related Sectors

An investor can also yield from cryptocurrencies by investing in companies that deal with blockchain technology. 

PayPal is perhaps the most renowned company (200 million users) that lets investors have indirect exposure to Bitcoin. Moreover, Galaxy Digital and Riot Blockchain represent a diversified financial service and investment management innovator in the digital asset, cryptocurrency, and blockchain technology sectors.

Besides, such giants as Microsoft, Google, IBM, Amazon, and SAP are all involved to some extent or are trying to use blockchain technology in multiple sides of their business.

Another way is to put your money into companies that design the specialty hardware used by cryptocurrency miners, such as those that produce GPUs (graphic processing units) installed in computers for blockchain technology.

Nvidia

This company produces computer GPUs that are widely involved in cryptocurrency mining. They can’t power a computer monitor, but they can generate valuable digital coins. In February, as cryptocurrency prices went up, Nvidia released new processors specifically for mining crypto.

By the way, Nvidia offers a pro-level cryptocurrency mining GPU that allows miners to get maximum performance.

Invest In Cryptocurrency-Linked Investment Funds

Grayscale Bitcoin Trust 

Grayscale Bitcoin Trust, a fund created by Grayscale Investments, enables investors to gain indirect exposure to the price movement of Bitcoin through a traditional investment vehicle. Moreover, the trust allows investors to buy cryptocurrencies with no need for digital wallets. The fund charges a 2% management fee, which investors would not pay if they purchased it directly.

The growing interest in cryptocurrencies has prompted exchange-traded funds (ETF) issuers to promote the creation of funds that keep an eye on the performance of Bitcoin. It is believed that ETFs can simplify trading and diminish the difficulties of portfolio merging and storage. Following the creation of cryptocurrency ETFs in Canada, several US companies have also filed applications to establish Bitcoin ETFs. Grayscale Investments intends to turn its trust into an exchange-traded fund as soon as the US government approves it.

Osprey Funds

The Osprey Funds’ approach focuses on secure, low-cost, and easy access to digital assets. It also provides a safe and effortless way to gain exposure to Bitcoin in an investment portfolio. The trust carries the lowest management fee of 0.49% among any publicly listed Bitcoin fund in the US.

The trust can be held in an individual retirement account or other tax-advantaged accounts. In addition, the Osprey Bitcoin Trust allows you to interact with Bitcoin with no worries about wallets, keys, or storage.

Conclusion

There are many ways you can expose your portfolio to cryptocurrency without actually buying coins, but approach investing with caution and use all of your diligence as you would deal with any other risky investment. 

None of these stocks or specialized ETFs are guaranteed to succeed. Anytime they may actually start experiencing unpredicted stress because of market volatility and rapidly changing processes in global economics. Just like any crypto and non-crypto investment, be ready to accept the risks associated with it.

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On the contrary, Bitcoin often makes you act fast. It’s not the kind of asset you buy and then forget about it for years. Its value, in the long run, could be $0 as or $20,000. In addition, there’s the need to negotiate Bitcoin forks, as well as fraud and lack of trustworthy forecasts. 

One stock that was especially deeply affected by the crash is M&G (LSE:MNG). The price fell by 50% in just one month at one point but then stabilized. However, the shares are still sold at a 30% lower price comparing to the start of this year. M&G might not be the most promising stock out there, but the company is well-run and equally well-capitalized. That’s why we can count on M&G to be just fine when the world goes back to normal, whenever that is.

At the end of May 2020, M&G representatives said that the company was in a financially strong position, despite the pandemic, and paid dividends to the shareholders. This demonstrates that cash flow doesn’t appear to be an issue.

Not only that, but they also went ahead to acquire other businesses. It was announced recently that M&G was purchasing Royal London’s Acentric platform, which is essentially an investment shop for financial advisors. This seems to provide the company with external revenue channels.

All in all, M&G is a solid business in a strong position despite the pandemic at a 30% discount. If this isn’t a bargain, what is?

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For the last 10 years, crypto has been performing outstandingly and in 2017 it reached a price of $20,000. 

In this article, we will review the analysis of the economist Saifedean Ammous, who is a professor and has the author of “The Bitcoin Standard.” He has monitored the performance of Bitcoin and suggests that although the results are amazing, it could have been even better. The only thing that stopped it is issued with the right scaling.

Would have crypto performed better if it scaled?

Jeffrey A. Tucker, who is an economics writer has analyzed that the realistic expectations of Bitcoin were for it to reach a far higher value than it actually did. The main problem that stopped it from succeeding was the fact that it hasn’t scaled properly. The technology should have been used by many more merchants and consumers, in his opinion. 

The unsuccessful scale of forks like BCH and BSV as a perfect example for that. Even though they had big blocks, they still went for much less than BTC. Tucker also lauded BCH as a very useful digital asset. However, not all agreed with him. The co-founder of BTC, Yan Pritzker said that Tucker’s opinion was not well-informed and said that if Bitcoin was scaled as he suggests, characteristics would suffer dramatically. 

Ten years ago today, 5,050 btc were sold for $5.02 in the first market transaction for bitcoin.

Today, they’d be worth $42,171,792.50.

A rise of 838,078,685%. https://t.co/yCvJ9TrrSn

— Saifedean Ammous (@saifedean) October 12, 2019

Michael Goldstein also disagrees with the statement and has analyzed that the scaling was going according to plan when the value of the crypto was $6000.  

Scaling Is Present

Even though many disagreed with Tucker, there is still some truth to it – there are attempts to scale the technology, but it is not happening at the desired speed. 

The answer to this issue might be the Lightning Network which is a second-layer scaling solution, migrating transactions from the crypto in order to allow for very quick and effective transfers. 

Square Crypto has already launched the Lightning Development Kit, allowing the developers to create “custom” integrations of the Network via an API, demo apps, and other technical tools.

I’m not unimpressed by a $6K price of BTC. I was blown away when the thing reached $30.00. But can you imagine the price today if the thing had properly scaled?

— Jeffrey A Tucker (@jeffreyatucker) March 30, 2020

This could make the integration of the Lightning Network easier and help with the scaling of crypto. Another solution is the Schnorr signatures – it allows more transactions to fit in one block.

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It began in San Francisco in 2012. It is now available in 32 countries and has more than 12 million users. The amount that has been exchanged in digital currencies in total is over  $40 billion. A year after it was created Coinbase became the highest funded startup in the crypto industry. It also achieved another milestone – it was the largest exchange of cryptocurrency in the world. Coinbase is different from others because it enables users to trade their cryptocurrency at a set price that is based on their market value. In this way they can purchase their cryptocurrencies in a quicker way than other exchanges. You can use a bank Transfer, credit or debit card and PayPal to buy Bitcoins when you are operating through Coinbase. Now we will dive into more details about it.

Coinbase Fees

The fees vary between 1.49% and 3.99%. It all depends on your payment method – if you are paying with a credit card there will be bigger fees. However, the amounts here are lower than what other exchanges are requiring. You can purchase Bitcoin, Ethereum and Litecoin  as well as plenty of others. 

Creating an Account

Follow those steps in order to buy your first crypto using Coinbase.

1. First, you need to create an account. To do so you will have to provide your name, email address, and password.
2. After your initial input of data, you will have to verify your account via email. After that, you will be asked about the type of account you would like to create – individual or business.
3. The next step involves verification of your phone number. You need this in order to add a 2-factor identification.
4. Through Coinbase you can use bank transfer and credit card to make transfers. If you choose bank transfers, the system will make a few small transactions in order to test the account. With credit cards, you will need to provide a screenshot of the credit card. Using the latter method will save you a lot of time. Your last option is using Paypal. However, this is limited to proceeds made from selling cryptocurrency only.
5. Once you have transferred some money to the account you are ready to purchase your first crypto. Check all the details of the purchase before confirming it. After that, the amount of cryptocurrency that you have purchased will be credited to the appropriate Coinbase wallet.

Is It Safe To Use?

Many beginners believe that it’s very risky to invest. Although you should always be careful, you should also know that Coinbase is one of the safest platforms out there. It is US-based meaning that it has to comply with the laws there. Many huge investors have started using Coinbase like the Bank of Tokyo and BBVA. As for fund storage – it segregates customer funds from company operational funds. All of the user funds are kept in custodial bank accounts. Another important detail is that 98% of the crypto is stored offline which makes it very secure. The remaining 2% which is online is insured so there would be no losses for the users if there is a breach. There is also the 2-factor authentication method which was already discussed. It adds another layer of protection. There are notifications signaling that a new IP address has requested access. With all this in mind, you should still keep the crypto you have earned in an offline wallet.

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Here is how to earn some money using crypto: 

1. Mining 

As with mining gold, bitcoins have to be brought out to the surface. A special software is used to solve something resembling a math problem. The first miner to solve it wins coins. This is how the system operates. 

In the beginning, it used to be easy with the early adopters mining thousands of bitcoins without difficulties. Nowadays, things are a bit different.The huge competition requires expensive hardware with big computational power. It is needed because the algorithms which need to be solved have also become tougher. Many create pools (a group of miners) and work together in order to succeed. The reward is then split among them. In the past mining used to be a lot more profitable and many believe that you no longer can earn money through this method. Predicting correctly and analyzing the market might help you to still earn a profit. 

2. Bitcoin Faucets

If you have time and are willing to watch ads and answer surveys, you could turn to bitcoin faucet websites. These companies earn money via ad impressions. Going to their site and answering some questions will earn you a little bit of money.   

3. Pay To Click Websites

There are some platforms where you will be required to watch an ad or click to a certain page containing ads and then you will be rewarded in bitcoins. It is not an easy task to earn a big amount and it could get quite tedious.  BTC4ADS pays around 100 satoshis (0.00000100 ฿) and Coinadder pays around 25 satoshis per click.

4. Micro Jobs

There are also platforms which will pay you for doing a small task like watching a YouTube video or completing a survey. Some give bitcoins.  The website Bitcoinget is one of the most popular and it pays 20k satoshis per task.

5. Writing 

Cryptocurrency is a new niche and not so many people tend to understand and write about it. If you are willing to learn about the industry, you could quickly become a successful writer. SOme of the companies which would reward you for your work are CCN and Blockchain Aliens. You can also become a freelancer and use such platforms. 

6. Help others

You can also get bitcoins in the form of tips by helping other people. Use bitfortip in order to make it happen. Many people want to participate in this new and exciting industry, but can’t quite figure it our. You can become one of those people who are there to help and answer questions about crypto.

7. Gambling 

This is not the best option but it could still earn you bitcoins. Since this industry is still rather new, you can get big bonuses for joining or even several rounds of your stake to start with. Visit  Bitstarz and mbit to learn more and gamble.

8. Buying and Holding

You should first have a secure wallet where you will keep your bitcoins. One option is the digital wallet offered by Paxful. You should do your research beforehand and make sure that the wallet you are choosing to use is safe. 

You have to have patience when it comes to investments in crypto. You will have periods when you will need to wait for the price to increase. Analyze the market and learn how it operates. The term “Hodl” (“Hold On for Dear Life’’) is used for when you are holding coins and believe that one day they will bring you profit. with the belief their coin will be profitable one day. 

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NordFX – All You Need To Know About 

It is a trading platform offering a lot of features. It was launched in 2008 and has become a favourite of many users. With NordFX you can feel safe that there are no scammers around and you will easily be able to create an extensive portfolio without moving from one exchange to another. This platform provides both the benefits of using a Forex brokerage and a cryptocurrency trading platform. 

Pros of Using NordFX

• Flexibility

The interface is quite straightforward. You can use it as a beginner or if you are more advanced since there is access through all kinds of data, providing more controlled investment. You can use both fiat and crypto trading. 33 currency and 14 crypto pairs are available which is  more than enough. You also have asset management service which is missing on other platforms. 

• Mobile Trading

You can also use the mobile version and trade from anywhere. It is available for Android and iOS devices.

• Customer Support

You will always be able to get in touch with a representative and get your question answered. They are available 5 days a week and can be reached through social media, chats or via the phone. The NordFX Learning Center is available for training if you would like to gain some knowledge. The courses are online and at different levels. 

Getting Started With NordFX

Firstly, visit http://www.nordfx.com/ and go through the offered products. Get acquainted with those. Then it will be time to create an account. Click on open a trading account and fill the form with your full name, email address, phone number, and the currency you’ll like to deposit. Select the leverage limit and the type of account. After that, you should read the terms and conditions. This is crucial. Go to create an account to begin. Once you have an account you will be able to make a deposit (via a direct transfer, debit, or credit card) and start trading. 

Conclusion

NordFX is one of the best trading platforms for those who are just starting out and don’t have huge capital. It has a very good reputation and many traders trust it.

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In this article you will find out more about different tactics for earning a profit.

Trading

This might be the toughest, but most profitable way to work with crypto. All you have to do is buy a coin at a low price and then manage to sell it at a higher one. This also affects the fluctuations on the market. As you might be able to guess, the toughest part is knowing when to purchase and sell. By analyzing the market you might be able to understand what the movement of the market will be, given the current situation. With experience and knowledge your predictions will slowly but surely become better. 

As a beginner, you can choose to study the market by yourself or hire a professional. Working with an advisor is a better choice if you can afford it. It is not enough to just predict the value of the crypto – you will most probably lose your funds in this way. 

Holding and rent

Unlike normal money, some coins tend to go up on their own. Coins are constantly being issued. With every creation of a new block, there is a reward. There is no limit to the total amount.

With Bitcoin this reward is reduced by 1/2 every 4 years. When the blocks reach 21 million the emission will stop. Then miners will receive only user commissions.

It is a good idea to hold crypto in cold wallets which are products for very secure offline storage.

Mining

The main points behind the blockchain technology are connected to transactions that form blocks, miners who are calculating a key for every block and rewards in the form of blocks which are given to the first miner who succeeds in finding the key.

You will need an enormous computing power in order to solve the puzzle. You might decide to invest in an application-specific integrated circuit which is more expensive, but has more power. Their main goal is mining. You can also join a group of miners and work together, afterwards splitting the rewards.

IEO and bounty

Initial Exchange Offering is when a previously private coin appears on the market for public sale for the first time. The demand will define the price at which you can purchase it. Since developers will need money to start, some projects begin collecting funds even before IEO. The price of the coin depends mostly on the demand. This is why promotion is crucial. There is a bounty program that is working well for creators. It consists of sending coins to bloggers, commentators, etc. in order to promote the crypto. For some projects the execution of some easy tasks will be enough to earn you a profit. All this is described in detail in the conditions. 

Referral programs

If you bring new users you will get bonuses for them.It is as simple as that. Your rewards in the world of crypto will be coins. It is an easy way to earn some money without investing funds. You should do your research carefully in order to avoid being scammed. 

Conclusion

Holding and trading is the best option for knowledgeable traders who have enough funds. If you are just starting out, you should first study the market. When it comes to IEO – research the project to minimize risks.

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The story is the same when it comes to the miners of crypto – those who decided they want to participate from early on managed to make a lot of money. Back in the day, there were fewer difficulties and the return was bigger. With more people joining, mining became tougher. We all know that now cryptocurrency is very popular and there is no way to go back and become an early adopter. However, there are still ways to earn a profit.

How to make money with cryptocurrency in 2021

If you would like to make money using cryptocurrency you should educate yourself on the way the market operates. You will need discipline and a little luck too and you will be trading successfully in no time. Learn about the different trading techniques – technical analysis and market sentiment analysis, and use them to monitor the movements of the market. The bigger the volatility, the higher the risk and possible return. You shouldn’t forget that trading is essentially gambling and timing is crucial. The market experienced again a small bull run recently which helped the new investors make a decent profit. 

Trading requires discipline and rules. You have to set them and be strict on when you will be purchasing and selling. In this way, you will minimize the risk of making bad decisions driven by emotion. Although there might not be such a big increase in prices as in 2017, there is still some room for newcomers.

The original crypto and the more established other ones are still in play. There was a period with many ICOs which by now have failed and disappeared and some of them which had scammers behind them, have been charged.

Mining

It is no longer an easy task to mine Bitcoin. You have to take into consideration the huge cost of electricity which is involved in the process. This amount varies, depending on where you are located. Your best option is joining other miners and combining your resources. You will be sharing the hashing power and splitting the final reward.

You could also invest in firms which are setting up mining rigs for the most profitable cryptocurrencies in the places with the cheapest electricity.  

Although mining used to be far easier in the beginning, you can still take advantage of the technology and make some money. Being creative and adapting quickly are two of the most important things in order to make a profit in 2021.

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Bitcoin mechanics and economics

You can think of mining as a contest for solving an algorithm as fast as possible. Special hardware is used in order to do this task efficiently and quickly and the person who finishes first gets a reward known as coinbase transaction.

N0des, used in mining, are monitoring for new ones. When a new block appears, the node selects the winner which stops the old competition and gives start to the new one. The completed block is validated and added to the ledger, and the mining node combines the transactions in a candidate block and begins to solve the algorithm. 

To put it simply, mining includes repeated hashing of the block header. In this way the parameter (nonce) is altered and the goal is to, in the end, match a particular target. This is done by randomly changing it, until there is a match. There is no way to guess the needed result, you have to go through the whole process every time. 

The Target

The already mentioned “target” is very difficult to achieve on purpose. The system adjusts it in such a way as to take about 10 minutes for all the miners (and their combined power) to reach the correct answer. The first individual who succeeds is automatically validated as having the correct answer since there is no way of guessing it. This whole process required a huge amount of electricity. 

Adjustability difficulties

Every 10 minutes a new block is created. The system automatically changes the parameter so that it could fill in this time period. The difficulty depends mostly on the whole computing power of the network. If the miners are being faster than 10 minutes, then the difficulty will increase and vice versa. The more people are joining and the competition becomes bigger, the more the difficulty has to increase.

Is there a way to cheat the system?

No. There are a lot of criteria that the system checks when a new block is created before it validades it. Each node makes an individual evaluation and only after that it transfers it to the next one. In this way there is no way for another block to sneak in. This way also ensures that the real miners will receive their reward and the mined block will be added to the global ledger. 

Starting to mine

Before doing anything else, you have to analyze some factors that are crucial for a successful mining career. They are:

• Initial investment – it is obvious that you will have to have good hardware as well as pay for cables, software, cooling, electricity, rent and so on. All of those things are important. 

• How difficult is it to mine – when difficulty increases, you can expect that your profit will also go down. It can be observed that mining is becoming tougher and tougher every day as the participants increase in number.  

• What is the value of Bitcoin on the free market? – This is a crucial point when calculating the potential profits. All investments in this crypto are very risky, but could also bring you a lot of money. You should never forget that it’s a volatile market. 

• Electricity cost – this is one of the most serious expenses you will face as a miner. Hardware is also very expensive, but electricity will have to be paid every month. You will also find a way to cool off since mining generates a lot of heat. If you are located somewhere where electricity is cheap, you have an upper hand. 

• Block and fee rewards – the block reward is reduced by ½ with every 210,000 blocks (or 4 years). If you are pressed for time, you will have to pay a higher miner fee to be confirmed quickly. If time is no issue, you can save money by waiting longer. This means that the rewards are unpredictable.

• Downtime – this is the worst thing. The time you are not mining, you are losing profit. You might come across overheating issues, software bugs, power outage, and many more. 

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You usually need around 10 minutes to mine 1 block (it has a max capacity of 1 mb) which made everything pretty slow and limited the possible transactions per second to 10. This has become a big scalability problem and it turns out that it could have happened with any widely adopted coin.

The Blocksize debate

There are 2 different sides to this debate – the big and small blockers. The former want the block size to be raised and in this way the problem will be solved. The latter are more for working with off-chain transactions, believing that the increase in block size would be a temporary solution and it would make it tougher to enter and help with the centralization. This is why Bitcoin Cash was created. Many doubting sides took part in the process.  The key creators were Roger Ver, Jihan Wu and Deadal Nix.

What makes Bitcoin Cash and Bitcoin different?

The size of the block

Bitcoin has a limitation of 1 mb per block while with Bitcoin Cash it’s adjustable and starts from 8 mb. This allows for more transactions, but it also needs more storage, stopping many from participating. You will be needing a better hardware and bigger storage – all this costing more than before. 

The algorithm for mining

The second big difference is connected to the algorithm. The one for BCH is easier so that more miners would be willing to come in. However, this strategy didn’t really work and led to people coming and going and creating block times which could not be predicted. This is why the Difficulty Adjustment Algorithm was included. To have more predictability, the mining difficulty became more flexible. 

Pros and cons

To pick a better option you have to take into account your goals. With Bitcoin you are focusing on decentralization, public status and the absence of needed permissions. However, it is also slow and costly. 

With Bitcoin Cash it’s the opposite – there are no scaling problems, it’s fast and cheap. However, here we can’t talk of real decentalization because there are only 3 pools which hold half of the hashing power. BCH even has a “CEO” in the face of Rick Falkvinge.

As you can see, both have pros and cons so it depends what your focus is.

What does the future hold?

There is a real war between the 2 technologies at the moment. Both are trying to get more miners and bring down the other one. There was a serious dispute after BCH was referred to as the “real Bitcoin”. Even the government got involved in the propaganda which shocked a lot of people and made the battle between the two even fiercer. Nobody could really say what the future holds for cryptocurrency. The resolution of the debate in which technology is better is also unclear. It’s advisable to stay away from anyone who is making secure predictions about the crypto future. We can say that BCH has helped with solving the scalability issue, the fees are small, the transactions – fast. However, with Bitcoin 10 times, more transactions are made at the moment. It’s normal for the fees to go up with the increase in size.

Can BCH become number 1?

Nobody could really say whether the 2 will continue to co-exist or only 1 will have to win in the end. There are many questions that come to mind whether it is a good idea to invest in Bitcoin Cash or Bitcoin, what will happen to their value, and many others. You should always do your research beforehand, come up with your important goals, and go for the option that suits you better. It will be interesting to see what will happen with this industry in the future since it is anything but predictable. 

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