Bitcoin (BTC) and Bitcoin Cash (BCH) share a name and a common origin—but they are very different cryptocurrencies with unique philosophies and technical designs. This beginner-friendly guide explains why Bitcoin Cash split from Bitcoin, how the two networks differ in terms of speed, scalability, and adoption, and which use cases they are best suited for.
Origin: Why Did Bitcoin Cash Split from Bitcoin?
In August 2017, Bitcoin Cash was created through a hard fork from Bitcoin.
The debate centered around scalability: should Bitcoin prioritize being “digital gold” or “digital cash”?
BTC developers wanted to keep blocks small and move scaling off-chain (e.g., Lightning Network).
BCH supporters favored larger block sizes for cheaper, faster on-chain payments.
The split was ideological and technical.
Block Size and Speed
BTC: Block size ~1MB, ~7 transactions per second (TPS), relies on Layer 2 (e.g., Lightning).
BCH: Block size up to 32MB, higher TPS, faster and cheaper on-chain transactions.
BCH aims for everyday usage, BTC for long-term store of value.
Philosophy and Use Cases
Bitcoin (BTC):
Focus: Security, decentralization, and digital gold
Use case: Long-term savings, institutional adoption, store of value
Development: Conservative and slow-moving
Bitcoin Cash (BCH):
Focus: Fast, low-fee payments
Use case: Peer-to-peer digital cash, daily transactions
Development: Faster updates and adoption of new features
Each network serves different goals.
Community and Adoption
BTC remains the most widely adopted crypto with highest market cap and liquidity
BCH has a smaller, passionate community, especially in regions where low fees matter
BTC is favored by institutional investors; BCH is more grassroots
They coexist, but BTC dominates in global recognition and usage.
Conclusion
BTC and BCH started from the same blockchain but took different paths. BTC focuses on being a store of value, while BCH aims to be a spendable currency. Both represent important experiments in the evolution of money.
