The 3 Best Ways to Buy Bitcoin Cash (Bcash, BCH, or BCC)

Last updated on December 26th, 2017 at 03:52 pm

Wait, what? There’s more than one Bitcoin? As if getting a handle on cryptocurrencies wasn’t hard enough, we’re now entering the days of multiple Bitcoin currencies. I guess you could compare it to dollars: there’s both the US dollar and the Canadian dollar, and they clearly have quite different geographical uses. But as you can probably imagine, things are slightly more blurred when it comes to the blockchain.

Bitcoin Cash is one of the most famous altcoins. It walks the wobbly line between fading into myriad other altcoins and grasping the fame and fortune of the original Bitcoin.

Bitcoin Cash came to fruition in August 2017 after a hard fork and a split in the Bitcoin blockchain. There are constant debates and many opinions about how best to cultivate cryptocurrency, and Bitcoin Cash is a direct result of the argument.

In this guide, you’ll find out what exactly makes Bitcoin Cash special, who’s working with the currency, and where to get your hands on some.

What is Bitcoin Cash?

Bitcoin Cash stems from the scalability issues that face Bitcoin. The original blockchain has grown exponentially in recent times. This means that many more users and transactions are using the cryptocurrency, which is weighing down the network. The limited Bitcoin block size of 1 MB means that blocks are filling up more quickly than they can be mined. Transactions have, at times, become slow and expensive.

Bitcoin Cash makes some distinct protocol changes, the main one being an 8 MB block size. This change allows for more data per block, meaning more transactions can be processed in each block mined. Many see this as a step forward in terms of how best to scale the network.

Others remain adamant that it’s simply a short-term fix that doesn’t solve the problem, and there’s no implementation of ideas—such as Segwit, whose protocol is now active on the original Bitcoin blockchain—to help effectively break transactions down into smaller, more manageable pieces.

Importantly, with a split in a blockchain, currency is duplicated. This means that the historical Bitcoin transaction data were copied, and anyone with Bitcoin funds was credited with the same amount of Bitcoin Cash. So does that mean free money? Yes, yes it does—especially when each Bitcoin Cash is valued at hundreds of dollars. Here’s our guide on how to claim your Bitcoin Cash if you owned Bitcoin before the split on August 1, 2017.

Step 1: Get a Bitcoin Cash Wallet

Before you can buy Bitcoin Cash, you’ll need a Bitcoin Cash wallet to store it in. Many providers and platforms have been reluctant to embrace Bitcoin Cash. There could be many reasons for this. Some may hold on to ideals about how best to scale cryptocurrency; others may simply want to focus their efforts.

Recently, many major wallet creators have been adopting Bitcoin Cash. While there may still be fewer exchange choices, you can find plenty of places to squirrel your funds away for now.

Hardware wallets that support Bitcoin Cash include industry leaders Ledger and Trezor. Both provide functions for you to use Bitcoin Cash as you would any other cryptocurrency. After a slightly slow start, they’ve also introduced the ability to claim your funds if you already owned Bitcoin at the time of the blockchain split.

There are a variety of software wallets you can use; you may even already be using one of these for your original Bitcoin. Exodus provides a seamless shapeshift service with its software so that you can move your currency at will.

For example, you can morph between Bitcoin Cash and Ethereum Classic if you’re feeling particularly alternative. Jaxx supports multiple currencies, including Bitcoin Cash. The service runs on desktop and mobile devices, so you can keep your private key with you at all times.

Electron Cash is a derivative of Electrum. If you’re used to Electrum, then you’ll have no problem jumping on board with its sister technology: it’s simply a fork from Electrum with all the necessary components for Bitcoin Cash.

Some exchanges work with Bitcoin Cash, although you may not want to leave your funds in their wallets for extended periods of time. Storing funds with online companies can make for quick trading, but you tend to lose control of your private keys. This might be a security risk depending on what service you use. Coinfloor offers a decent wallet that allows you to trade on its UK exchange. It will keep your keys in cold storage offline while making your funds available to trade with on short notice.

Other wallets include Keepkey, BTC.com, Bitpay, and Coinomi. You can view all available wallets on the official Bitcoin Cash website.

Step 2: Find a Bitcoin Cash Exchange

Bitcoin Cash exchanges are not as abundant as Bitcoin exchanges. However, there are still some heavyweight options to work with.

Bitcoin cash markets

eToro – Platforms like eToro don’t give you actual access to your coins and you can’t send coins from eToro to other people. The only thing that can be done with the platform is to buy and sell Bitcoin Cash for fiat currency (i.e. Dollars, Euros, etc.). Meaning this platform is good if you only want to speculate on the price. This method is only valid if you live outside of the US.

Coinbase – The most reputable Bitcoin exchange around just added Bitcoin Cash support and buy / sell options (starting Dec 19th 2017). Coinbase allows you to get competitive rates if your country is supported by the broker.

CEX.IO is also a nice option. Based in London, the company is a trusted, experienced name in the industry, having been around since 2013. You can choose from a selection of currencies, including Bitcoin Cash (read our CEX.io review here). If you just want to get ahold of some currency, there’s a quick buy option via credit card.

CEX.io Bitcoin Cash exchange

Be aware, though, that the credit card option is an expensive one. For low-fee trading, you can deposit via bank transfer and trade on the exchange for a 0.2% fee, and it will save you a small fortune on large buy and sell orders. The European-based company allows you to work in both euros and USD.

You can even use margin-trading techniques on the platform to maximize (or minimize) your returns while also keeping an eye on the market depth.

Coinfloor supports a Bitcoin Cash open exchange; it’s also London based, so it’s very helpful for UK traders.

If you know what you’re doing when it comes to trading, Kraken has been functional with Bitcoin Cash ever since the cryptocurrency’s launch in August.

Other options include Bitfinex, Poloniex, HitBTC, and more (you can view all available exchanges on Bitcoin Cash’s website).

Step 3 (optional): Transfer the BCH to your wallet

As usual, we recommend that you never leave money on an exchange. Once you’ve finished buying your Bitcoin Cash, move it to your own self-hosted wallet (the one you have control over the private keys to). You can then follow the status of your transaction using a Bitcoin Cash block explorer. Once you receive three confirmations for your Bitcoin Cash, you can safely say you’ve completed the process.

Bitcoin Cash Conclusion

It’s apparent that Bitcoin Cash has still not gained full acceptance by large parts of the cryptocurrency community. It still sits firmly in second place to its older brother in terms of both price and availability.

The future is unclear for Bitcoin as a whole. More splits and hard forks are a certainty, and Bitcoin Gold (yes, another Bitcoin) hasn’t enjoyed a large profile since it forked from Bitcoin in October 2017.

Bitcoin Cash is staying clear of Segwit, whereas the original blockchain pushes on toward increasing the implementation of Segwit. Who will reign supreme? In the short term, no one—and we’re likely to see further turmoil as 2017 concludes. Bitcoin Cash might have the advantage of being the first major split that has garnered acceptance.

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14 Comments on "The 3 Best Ways to Buy Bitcoin Cash (Bcash, BCH, or BCC)"

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Branden
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Branden

Awesome article, I’ve had a lot of trouble with coinbase in the past and have transferred most of my coins to Binance **referral link removed**. It’s been solid so far and support is really attentive.

I just wish you could deposit directly into exchanges via debit like you can on coinbase, would be so much easier!

Mandy
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Mandy
Hi Nathan, Just wondering if you know if it’s possible to buy bitcoin cash with bitcoin? I’ve been trawling the ledger zendesk and going around in cirlces. I did not own bitcoin before the split so did not get any free bitcoin cash. However, now I own bitcoin and want to buy bitcoin cash with it? I have only the ledger wallet and ledger nano s – and have installed the bitcoin cash wallet on the ledger wallet. Now am just trying my darndest to work out if there’s a way to move the bitcoins across i.e. from the bitcoin… Read more »
Steven Hay
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Steven Hay

Hi Mandy,

There’s no direct convertibility between Bitcoin and Bcash. They’re different currencies. The way to exchange one for another is to use an exchange service. If you want a simplified process, then I would suggest using Changelly.com – this site will ask for your desired Bcash amount and Bcash address (which you can find in your Bcash Ledger wallet) and then request that you send Bitcoin to Changelly’s wallet. Once your Bitcoin arrives, they will send you the relevant amount of Bcash, minus fees.

Peter
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Peter

Coinfloor might not be UK based;they provide a UK address (could be just a mailbox…), but the bank details for deposits are for a bank in Poland.

Nathan
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Nathan

Hello, in terms of OTC for BCH exchange, what do you guys think of Coincola?

Steven Hay
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Steven Hay

Hi Nathan,

Well, I can’t say I’d ever heard of them before. I suggest that you ask other Hong Kong Bitcoiners for their opinion on this service. I know there is a big meetup group in Hong Kong, here is their site:

https://www.bitcoin.org.hk/

You can also try online groups, the only one I know about is on Facebook:

https://www.facebook.com/BTCGroupHK/?_fb_noscript=1

This way you should get a first-hand account on whether Coincola is reliable, as well as maybe make some new friends in Bitcoin. If you are pressed for time, then I suggest just buying small amounts through Coincola and seeing how it goes.

Nathan
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Nathan

Thanks Steven!

Actually I just went ahead and did some research and was very surprised. They seem to be the biggest OTC in China at the moment!

They don’t seem to have much press coverage though, but this article from https://news.bitcoin.com/china-monitors-booming-otc-bitcoin-market-shutting-exchanges/ looks reliable enough.

I’ll go ahead and try it myself. I’ll keep you up with how it goes!

Steven Hay
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Steven Hay
Hey Nathan, OK, good to know! I guess the Chinese OTC market is booming given their exchange restrictions. I’ve heard a LOT of volume is being done privately over there, which makes sense as most Chinese have no other options for Bitcoin trading. Be careful though… the banks or regulators may decide to crack down. If you can use Coincola without giving away too much personal info, that would be better… As for Bitcoin.com articles being reliable… I guess for certain subjects they might be. However, since they ran an article claiming Bcash as “the real Bitcoin,” they lost a… Read more »
Anthony Sucre
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Anthony Sucre

in the review, it says Jaxx supports BCH. I have checked through Jaxx but didnt find support for BCH, am i doing something incorrectly or its no longer supported as at today?

Susan
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Susan

Oops… Crash course..

Susan
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Susan

Hello Ofir, I have a Lendger nano s but haven’t dived in as of yet. Does this hard wallet only useful for one transaction? And does it except bitcash and etheteum or do I need other wallets for them?

Getting ready to jump in, Thanks, love your card course!

Steven Hay
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Steven Hay

Hey Sarah,

Hope you don’t mind my answering for Ofir.

The Nano S can be used for an unlimited number of transactions. It does indeed support Bcash and Ethereum (+ its many ERC-20 tokens), and many more altcoins. For the current list of support coins, see here:

https://ledger.zendesk.com/hc/en-us/articles/115005304449-Which-altcoins-and-tokens-are-supported-by-the-Ledger-products-

JVB
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JVB

My biggest confusion is the wallets. Especially using USI Tech. Can you explain more detail exactly how this works? And can you purchase with an online wallet than transfer funds to Tresor or Ledger?

Thanks so much,
J

Ofir Beigel
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Ofir Beigel

Hey JVB. I’m not familiar with USI Tech but I’ve heard some very disturbing things about it. I will need to investigate further. In any case, I’m not sure I understand your question – can you explain exactly what it is you’re trying to do?