Bitcoin Cash was born from one of the biggest arguments in crypto history: how Bitcoin should scale. One camp wanted bigger blocks for cheap on-chain payments, and when that lost, they forked off and created BCH. It keeps Bitcoin’s hard-capped money supply but optimises for spending rather than saving. This review explains the fork, how BCH compares to Bitcoin, its supply and security, and how to buy and store it.
What is Bitcoin Cash?
Bitcoin Cash (BCH) is a cryptocurrency created in August 2017 through a hard fork of Bitcoin. It emerged from a long-running debate over how Bitcoin should scale. One camp wanted to keep blocks small and push payments to second layers. Another wanted larger blocks to fit more transactions on-chain and keep fees low. The large-block camp forked the network, and Bitcoin Cash was born.
BCH aims to be usable as everyday “peer-to-peer electronic cash,” money you actually spend, with low fees and fast confirmations, rather than primarily a store of value.
Bitcoin Cash vs Bitcoin
The two share the same DNA but made opposite choices about what crypto money should be.
| Property | Bitcoin | Bitcoin Cash |
|---|---|---|
| Born | 2009 | 2017 (fork of Bitcoin) |
| Maximum supply | 21 million | 21 million |
| Block size | Small, with second layers | Much larger |
| Primary goal | Store of value | Everyday payments |
| Scaling philosophy | Off-chain (Lightning) | On-chain (big blocks) |
They are separate networks and separate coins. BCH is not “cheaper Bitcoin,” it is a different project with a different philosophy about where transactions should happen.
How Bitcoin Cash’s tokenomics work
Because it forked from Bitcoin, BCH inherits Bitcoin’s core monetary policy.
- Fixed supply. A hard cap of 21 million BCH, identical to Bitcoin.
- Halving. Block rewards halve roughly every four years on the same schedule, steadily reducing issuance.
- Larger blocks. The key technical difference. BCH raised the block size limit far above Bitcoin’s, allowing many more transactions per block and keeping fees very low.
| Property | Detail |
|---|---|
| Maximum supply | 21,000,000 BCH |
| Consensus | Proof-of-Work (SHA-256) |
| Block size | Much larger than Bitcoin’s, for higher on-chain throughput |
| Issuance | Halves roughly every four years |
The scaling debate and BCH’s niche
Bitcoin Cash is best understood through the philosophy it represents. Supporters argue crypto’s promise is cheap, direct payments, and that keeping transactions on the base layer, rather than relying on second layers like the Lightning Network, is the truest path. Critics counter that larger blocks raise the hardware cost of running a node, which can reduce decentralisation over time.
In practice, BCH occupies a niche as a low-fee payments coin. It is widely listed and accepted, but it competes both with Bitcoin’s brand and security and with stablecoins, which have captured much of the everyday-payments use case on networks like Tron.
Pros and cons
Strengths
- Very low fees and fast, cheap on-chain payments.
- Shares Bitcoin’s hard 21 million cap and predictable halving schedule.
- A long track record and broad exchange support since 2017.
Risks
- Lives in Bitcoin’s shadow on brand, security budget, and network effects.
- Larger blocks raise node-cost and decentralisation concerns for critics.
- Strong competition from stablecoins in the payments use case.
Where to buy and store BCH
BCH is one of the most widely listed cryptocurrencies and trades on Binance, Coinbase, Kraken, and nearly every major exchange. New to this? See our how to buy crypto guide. After buying:
- Self-custody. Store BCH in a hardware or software wallet. It is supported by most multi-coin wallets. Our wallets guide helps.
- Spend it. Its low fees make BCH practical for real payments where accepted.
- Hold on exchange. Convenient for traders, but you do not control the private keys.
Like Bitcoin, BCH is a proof-of-work coin with no native staking. Any yield comes from third-party lending, which carries counterparty risk.
Frequently asked questions
How is Bitcoin Cash different from Bitcoin? Bitcoin Cash forked from Bitcoin in 2017 with a much larger block size, prioritising cheap on-chain payments. It shares Bitcoin’s 21 million supply cap, halving schedule, and proof-of-work, but optimises for low fees rather than settlement-layer scarcity.
Is Bitcoin Cash the same as Bitcoin? No. They are separate networks and separate coins. BCH split from Bitcoin (BTC) in a 2017 hard fork and has followed its own roadmap since.
Does Bitcoin Cash have a supply limit? Yes. Like Bitcoin, there will only ever be 21 million BCH, with issuance halving roughly every four years.
Is Bitcoin Cash a good payment coin? It is designed for it, with very low fees and fast confirmations. Its main competition for that role now comes from stablecoins, which many people use for everyday transfers.
Did I get Bitcoin Cash if I held Bitcoin in 2017? Holders of BTC at the time of the August 2017 fork received an equal amount of BCH, provided their wallet or exchange supported the fork.