Since its birth in 2017, Bitcoin Cash has represented the main alternative to Bitcoin in the crypto world. Well, the cryptocurrency was born from a division of BTC to improve the capabilities of virtual currency. However, after an alleged theft of $ 30 million in its Blockchain, the currency is being questioned by the entire community.
The alternative to Bitcoin
When Satoshi Nakamoto first introduced the Bitcoin design in 2008, it was an alternative to traditional fiat money. A currency that could be used to acquire goods and services, but without the supervision (and manipulation) to which the traditional currencies were subjected. Leaving control over the Bitcoin system in the hands of its own users.
However, to achieve this goal, Bitcoin must overcome major development problems. Among which the scalability, if not the main one, at least it is one of the most important. Well, the slow execution of operations, when too many are carried out simultaneously, prevents BTC from being a feasible option for consumers when paying for merchandise.
This problem was exposed in 2017, when during the great bullish rally the execution time of the transactions exceeded 30 minutes. Unleashing a debate within the crypto community, about the possibility of performing an update on the Bitcoin Blockchain that would allow addressing this problem.
Leading the group that promoted this update, after it was rejected, decided to leave the BTC chain to create Bitcoin Cash. An alternative currency, which improves scalability, and therefore would become a more realistic competitor against fiat money. Or at least, that’s what their drivers argue.
The robbery that killed Bitcoin Cash
However, it seems that this story would have the days counted, after one of the largest holders of Bitcoin Cash claimed that 30 million dollars in BCH were stolen from his wallet. Opening the debate about the security that this cryptoactive would provide to its users.
The user victim of the hacking would have been the founder of Dreamhost, Josh Jones. Who also lost 1,500 Bitcoins in the same robbery, valued at 14.4 million dollars. Making the total of the same reach 45 million dollars.
Apparently, the theft would have been possible when Jones’ SIM card was compromised. Without it having clarified so far if your card was exchanged at some time. Or if the hackers managed to enter your system through it by other means.
Be that as it may, and although this theft would not be directly the responsibility of Bitcoin Cash. It comes at a time when, according to analyst Dovey Wan, the cryptocurrency is going through difficulties. Due to the confrontation between Bitmain executive Jihan Wu and Bitcoin.com founder Roger Ver. What could, combined with hacking, seriously affect the survival of Bitcoin Cash.
International Studies student, interested in economics and international politics. Passionate about the progress of the Fourth Industrial Revolution in general and cryptocurrencies in particular.