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The bitcoin pricereachednew all-time highs on a regular basis this year, but some have pointed to the congestion currently found on the Bitcoinnetwork as a sign that the system will be unable to scale to more users over the long term.
These high fees — or the prediction that fees would eventually go much higher — are what led to the creation of Bitcoin Cash, which is a Bitcoin fork that was created over the summer around the same time that the Segregated Witness improvement was locked-in on the Bitcoinnetwork. Bitcoin Cash features a larger block size limit, which increases the supply of blockspace, but it is also a completely different cryptocurrencynetwork that does not have the level of liquidity or network effects seen in bitcoin.
The Cost of Getting Into Bitcoin as a Store of Value is Still Low
While the use of bitcoin as a medium of exchange was often hyped as the killer use case in the early days of the project’s development (it’s even discussed in the opening section of the whitepaper), the asset has evolved to become viewed more of a store of value — not that the two use cases are mutually exclusive.
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