Bitcoin Cash (BCC or BCH) is a new cryptocurrency founded on the Bitcoin blockchain system, but unrelated to Bitcoin in any other way. Designed as a way to increase the possible number of transactions within each block of the blockchain, BCH is suddenly becoming a hot topic.

Those faithful to Bitcoin see BCH as a sort of internal mutiny. Shifting mining power to a new alternative coin may have lasting impacts that are unforeseen at this early juncture, they argue. And they may be right. Already the high volatility of Bitcoin Cash seems to indicate that the altcoin has the power to really grow substantially. This would, of course, remove support from Bitcoin, moving market presence and power in a different direction.

Those who support Bitcoin Cash see a strong reason for the creation of the new cryptocurrency as a new stop-gap for the scalability problems facing Bitcoin. When Bitcoin was first conceived by the infamous ‘Santoshi Nakamoto’ (a nom de plume for the original builder(s) of Bitcoin), the number of transactions was minuscule, and the 1 MB per block transacting power was way more than enough. However, with the huge rise in Bitcoin trading, the blocks are now being overloaded and transactions are taking more and more time. An attempt to scale Bitcoin, effective August 1, took place, but in a manner that wasn’t sufficient for many who see the nearly limitless support and application of the coin. A ‘hard fork’ or a user initiated split in the currency, allows for recreation of the rules that govern the new coin (BCH in this case), and makes scalability simple and easy.

Regardless of which camp users may have supported before August 1, the fork has occurred and the interest in Bitcoin Cash is astronomical. The value of the coin has doubled (.08 BTC to .16 BTC) in just over 24 hours, and the volatility and trading appears to continue to be consistently heavy for some time to come.

Holders of Bitcoin before the fork should have received the BCH automatically, though many wallets and exchanges were not willing to support the new currency. However, with the fork having occurred, Bitcoin Cash is going to be worth some serious cash, and users will likely want to find a way to access those funds. If readers are interested in purchasing BCH, a number of exchanges support the freshly minted BCH, and can be accessed either through the link above or through BCHs’ own website.

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Scaling

The SegWit solution has created a new era of stability for Bitcoin, as the divided processing mechanism has instituted new and more rapid transaction speeds. The technology has opened a door for greater liquidity, as transactions are now simpler to process and faster, creating space for increased micro transactions. As the scaling crisis abates, the liquidity created by the change will produce a greater level of stability.

Liquidity and Stability

The increasing liquidity of the marketplace has created more numerous small-block transactions. The volatility of the Bitcoin marketplace has largely been due to large-block transactions which, when settled, had the power to shift prices drastically. While these large block transactions are still taking place and can disrupt the stability of Bitcoin, as the increased liquidity hits the market via small transactions, the large-block trades have far less effect on the prices.

This increasing stability has created a new foundation for the value growth. As the general public becomes more aware of Bitcoin via price increases, and volatility decreases, the market will continue to gain traction. Usability will continue to increase, and the values will continue to rise. Liquidity leads to stability, which leads to greater investment, and price increases.

Unlike other investment vehicles, then, Bitcoin’s price increases are actually a sign of strength. Even substantial increases like what has occurred over the past week are signs of greater stability, rather than volatility. The nature of Bitcoin as currency and asset has created a system that thrives on stability for Bitcoin (asset) but grows with liquidity (currency).

Future Growth

While many say that the values have peaked, the nature of the stability of Bitcoin would tell us differently. The value will continue to rise as mainstream adoption continues to grow. Liquidity and stability will draw greater numbers of users and investors into the marketplace, and prices will continue to rise. It would make sense to see Bitcoin over $5,000 before the end of the year, and perhaps higher, should mainstream adoption move rapidly.

Valuation of all currencies is based on public acceptance and usefulness. The value of a dollar, post gold standard, is only based on the usability in the marketplace and acceptance by users. Bitcoin is no different and will continue to gain traction.

The post Bitcoin Price Increases to $5,000? first appeared on Tech Insight.

50 Cent, the famous rapper had a genius idea back in 2014. He let fans purchase his album “Animal Ambition” with Bitcoin. Bitcoin was “only” worth $662 at the time and fans only had to pay a mere fraction of a single Bitcoin. The sales from that album campaign were over $400,000. Not bad, but nothing to write home about either.

But as we all know, Bitcoin has soared in value since 2014, with 2017 alone showing record climbs. And the best part, 50 admits he forgot he even had it. That means he never cashed out of his 700 Bitcoin, an estimated $7-8.5 million dollars.

Add 50 Cent to the list of crypto-genesius’ out there – 50 Cent and Bitcoin are now a thing.

50 Cent confirmed the report on his Instagram and Twitter accounts. He said, “Not bad for a kid from South Side, I’m so proud of me.” He even later admitted through a comment, “Ima keep it real, I forgot I did that shit lol.”

50 is lucky that he remembered his Bitcoin login info. If not, he’d join the illustrious ranks of all the other would-be millionaires who forgot their account info.

Instead, 50 Cent and Bitcoin become another of the success stories, and the rapper looks like a genius in the process. That Bitcoin investment paid off over 7 million times.

Many cryptocurrency enthusiasts jumped at the opportunity to welcome him to the community. And they were sure to give their own fifty cents on how he should use some of those Bitcoin to invest in other cryptocurrencies.

With Bitcoin value dropping in recent weeks, it’ll be interesting to see if 50 keeps his same tactic and leaves Bitcoin alone. Or, he could unload now while the value is still relatively high.

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The post What do 50 Cent and $8 Million Have In Common? Bitcoin. first appeared on Tech Insight.