How to Buy BCH in Canada
Netcoins makes it easy for users to buy Bitcoin Cash in Canada.
“Bitcoin Cash is essentially the little brother of bitcoin.”
Bitcoin Cash (BCH) exists because a group of developers decided to deviate from the original bitcoin project and officially forked the network on August 1, 2017. They did this in order increase the block size of the BCH network. Although it was a group of developers who put Bitcoin Cash forward, it’s Roger Ver who is most connected to it because he was an early adopter and investor of the currency.
Bitcoin Cash allows individuals to transact in a cheaper and faster way than the original bitcoin could offer in 2017. Because BCH can hold more information (8 times more than bitcoin), it can also verify transactions much more quickly and therefore has cheaper fees. For this reason, BCH has become one of the largest cryptocurrencies by market cap.
Wondering how to buy Bitcoin Cash (BCH) in Canada? Netcoins is a publicly owned, fully regulated crypto trading platform based in Canada. Simply create an account with Netcoins, fund it with a Canadian dollars and head to the trade page to buy or sell BCH. Netcoins offers 0% funding fees and free cash withdrawals with e-Transfers, along with live customer support service seven days a week.
Buy Bitcoin Cash in 3 steps
Create an Account
Provide some personal details and get verified in minutes through our automated KYC process.
Fund your account with a crypto deposit, Interac e-Transfer, or bank wire transfer.
Buy and sell as little as $10, or up to $10 million with no slippage due to our deep liquidity.
Rapid Transaction Times
Fund and withdraw quickly. Buy and sell instantly. Get your money in and out easily.
Get verified at lightning speed with our automated KYC process. Get to trading bitcoin as soon as possible.
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Difference between Bitcoin Cash and Bitcoin.
What’s the difference between Bitcoin Cash and Bitcoin? While Bitcoin (BTC) and Bitcoin Cash (BCH) share many similarities (other than their name), they are quite different from one another. For starters, bitcoin is often referred to as “digital gold” while Bitcoin Cash is referred to as “digital cash.”
Initially, they were one network until the community was divided over the future of Bitcoin, resulting in a hard-fork. A hard-fork happens when a blockchain is diverged into two separate paths due a difference in opinion on how the network should operate. Typically, both networks will agree on the transaction history and the code base up until the point where the hard-fork takes place, where it then becomes two separate networks and two separate currencies.
That is what happened on May 23, 2017. Those in the Bitcoin community who supported the idea that the blockchain should increase its block size in order to allow more transactions to fit into each block voted for Bitcoin Cash. Those who didn’t want to increase the block size remained in the original Bitcoin network.
By increasing the block size, BCH can process more transactions at a much faster rate than Bitcoin can. For example, the block size of Bitcoin Cash stands at 32 MB, while Bitcoin’s block size stands at 1 MB. Plus, BCH charges much less fees than bitcoin does, therefore acting more as “digital cash” than bitcoin does.
Part of the reason for this is that bitcoin values decentralization and resistance to censorship more than it values how many transactions it processes per second. After all, its role as a store of value and a hedge against inflation depends on being protected from potential attacks. It’s seen much success in this, as the Bitcoin network has never been hacked to date.
On the other hand, Bitcoin Cash values speed, lower fees and innovation. The network embraces hard-forks and invites innovation to happen on top of the network. In this way, Bitcoin Cash’s usability can increase worldwide and therefore BCH can be used as the preferred method of cash. Meanwhile, Bitcoin tends to be more cautious and deliberate about the changes it makes to its code base.
Regardless of their differences, the two blockchains are open and public for the world to see. They each carry their pros and cons, so it depends on what you value most when buying cryptocurrencies. That’s why it’s important to do your own research and to back up your investments with a thorough understanding of the assets you’re investing in.
How Much BCH Can I Buy?
You don’t need to buy 1 entire Bitcoin Cash to get started! You can buy fractions of Bitcoin Cash. Similar to bitcoin, the smallest possible unit of BCH is also called a satoshi (sats for short) and is equivalent to 0.00000001 BCH (8 decimal places). Many beginners start their Bitcoin Cash journey by stacking sats. You can start as small as $10, or invest up to $10 million with Netcoins.
Why Buy BCH?
Like bitcoin, Bitcoin Cash was created as a digital currency that gives control back to the people (instead of authoritative powers that control the money supply). Many investors view Bitcoin Cash as an altcoin (short for alternative coin) project that has way more upside than most competitors.
To this point, the return on investment with Bitcoin Cash over the last three years is actually significantly lower than bitcoin, but that’s exactly why many believe that the fundamentals of Bitcoin Cash dictate potentially exponential growth in the not-too-distant future.
In addition, here are four more reasons why people buy BCH:
BCH is familiar. While there are many altcoins, Bitcoin Cash carries with it the cache of bitcoin’s brand name and much of its original implementation along with the upside of an altcoin.
Bigger block size. Bitcoin Cash block sizes are 8MB (compared to bitcoin’s 1MB). Put simply, the BCH network can fit more transactions in each block which makes confirming transactions more efficient.
BCH has bigger block size. Bitcoin Cash can be bought in fractions, the smallest unit being called a satoshi. That is one hundred millionth of a bitcoin cash (0.00000001). This allows for micro-transactions and allow investors to start small.
BCH has faster transaction time.The bitcoin network can process approximately seven transactions per second, while the Bitcoin Cash network can process 116 transactions per second. That’s a huge gap! And the reason some investors buy BCH.
Things to Consider Before Investing in Bitcoin Cash
Bitcoin Cash wants to be a digital currency that people can use to buy goods and services. Like bitcoin, Bitcoin Cash is decentralized (not backed by a bank or a government) and is limited in supply (to 21 million coins). Scarcity plays a key role in protecting Bitcoin Cash’s value. Much like scarcity helped bitcoin maintain its value over the last few years, the scarcity seen in BCH should also help it maintain its value in the long-term.
With all that said, BCH is still considered a risky investment due to its volatility. Although BCH has helped make overnight millionaires, it has also made people lose all their savings. After all, volatility works in both directions. High volatility assets can work in your favour and yield great potential for return, but they can also work against you by causing you to take on big losses. This is why it’s wise to never invest more than you’re ready or willing to lose.
Related article: Three Ways to Make Your Crypto Assets Work For You
Ultimately, it’s up to you to decide how much you wish to invest in Bitcoin Cash. Anyone, anywhere around the world can buy fractions of BCH. If you decide to buy BCH, but are not sure how much to buy, you can start by practicing any one of these strategies:
- Investing a percentage of your wealth into BCH (like 1% or 10%)
- Dollar-cost-averaging (buying a set amount of BCH every day, week or month)
- Buying the dip (buying when BCH prices decrease)
- Starting as small as $10 to test it out yourself.
Bitcoin Cash (BCH) & The Future
When thinking about investing in Bitcoin Cash, it’s important to think about your personal financial goals and how crypto can help you achieve those goals. One of the advantages of buying Bitcoin Cash is that you can do so at much more affordable prices than you can with bitcoin.
Whether BCH will be a promising cryptocurrency remains to be known. However, it continues to scale while processing transactions at a faster rate than the bitcoin network can. Plus, the BCH network has been working on smart contracts capabilities (although not as advanced as Ethereum’s smart contracts).
In addition to that, our economic uncertainty is leading many investors to make asymmetric investments (in other words investments that aren’t correlated to the traditional markets). So, they’re investing in assets like Bitcoin Cash.
As BCH continues to push the boundaries of what it can do, it may be a good idea to consider buying Bitcoin Cash today. Despite what most people believe, there can still be upside and rewards for BCH as the community continues to innovate.
Remember, you can get started by buying as little as $10. After all, history shows us that a small portion of BCH today can go a long way in a few years.
Looking to buy and sell BCH? Netcoins is Canada’s first publicly owned crypto trading platform to be fully regulated. Simply create an account with Netcoins, fund it with an e-Transfer (more funding options available) and head to the trade page to buy BCH.
This post is for informational purposes only. For proper financial advice, we recommend you speak to a financial advisor.
Frequently Asked Questions
Why buy bitcoin Cash?
Bitcoin Cash is a great way for investors to diversify their portfolio by having non-traditional assets (like BCH) mixed in with traditional assets (like stocks and real estate).
People invest in Bitcoin Cash for three main reasons:
- It’s one of the most successful forks from bitcoin
- They believe it has more upside than bitcoin
- It’s one of the largest cryptocurrencies by market cap
While Bitcoin Cash aims to be an electronic cash payments system, it differs from bitcoin because it processes more transactions, at faster speed and with lower fees.
How much bitcoin cash should i buy?
A common misconception is that you have to buy 1 entire Bitcoin Cash, but you can actually buy fractions of Bitcoin Cash. You can start off with as little as $10, or invest a certain % of your wealth.
Many beginners start off by dollar-cost averaging in, which is the practice of putting in a set amount of money towards Bitcoin Cash in regular intervals (for example $100 every month).
Why is KYC (Verification) required?
KYC is a process that allows us to verify the identity of our customers, as per Canadian regulations.
What do I need to provide for your verification process?
You will have to provide your email address, phone number and personal information including your first name, last name, address, date of birth and a piece of identification (like a driver’s license). Most users are verified at this point through our automated process.
If you don’t pass the automated KYC process, you will have to go through an additional document verification stage. This is important and required as we are a regulated money service business in Canada.
How can I fund my account?
Your Netcoins account can be funded with a cryptocurrency deposit, Interac e-Transfer, or a bank wire transfer.
Once you have funds in your Netcoins account, you’ll find that it’s super easy to buy Bitcoin Cash in Canada.
Can I send my crypto to an external wallet?
Yes, you can either keep a crypto balance within your Netcoins account or withdraw it into your own external wallet. While FIAT withdrawals are free, there is a small withdrawal fee associated with crypto withdrawals.