Investing in cryptocurrency is one of the hottest topics in the financial market nowadays. Bitcoin, Ethereum, Tether, and other digital coins attract investors with their decentralization, anonymity, and global availability. They represent an important financial tool for accessing the global economy and opening new trade and investment opportunities. In the long term, cryptocurrencies can play an essential role in transforming financial systems and making transactions more efficient.
Many modern investors make a regular WBTC-BTC exchange because they believe BTC is worth investing in. Practice shows that this is indeed the case. Even with a relatively small investment, the profit can be significantly higher than in other financial markets.
But what about Bitcoin Cash (BCH) and Monero (XMR)? Which coin is better for investors? Find the answer to this question in the paragraphs below.
BCH General Characteristics and Key Benefits
Bitcoin Cash is a crypto coin formed in 2017, having separated from BTC after a hard fork. This project was created to eliminate the problems that arise with Bitcoins. This is mainly about speed and transaction fees. BCH can record 27 transactions per second. This is about 2 million transactions per day. High computational speed reduces transaction costs and facilitates mining. In addition, Bitcoin Cash offers the best protection against duplicate spending, verification, and e-wallet hacking.
Compared to other cryptocurrencies, the operation of BCH is very diverse. It allows to:
- Send and receive funds;
- Make transactions at high speed but at a lower cost;
- Make quick deals;
- Buy goods and services.
Considering all of the above, it becomes obvious that the coin’s high popularity is due to its wide possibilities in everyday life. However, many continue to exchange BCH to XMR for profit. Let’s consider Monero in more detail and find out if it’s profitable.
XMR Features That Attract Investors’ Attention
Monero is a cryptocurrency and a decentralized blockchain system based on the RandomX protocol. It uses the CryptoNote one-time ring signature algorithm to perform anonymous transactions. XMR is not tied to any monetary currency and is issued through special cryptograms, like most other digital coins.
This coin has something in common with Bitcoin. It uses identical technologies for transferring information and earning cryptocurrency. But users use one unique e-wallet address to accumulate coins. Only the owner has the key to it. Therefore, neither federal agencies nor other users can view the data.
- It is produced in limited quantities, which guarantees a constant increase in demand;
- Has a high degree of reliability;
- Guaranteed anonymity;
- Popularity in the crypto market.
The advantages of Monero also include high liquidity. It is available on most modern crypto exchanges. Therefore, users usually do not encounter problems when exchanging it for other coins or fiat.
BCH or XMR: What to Choose for a Profitable Investment?
Both BCH and XMR have their own unique features and benefits that attract investors. If you are having difficulty choosing the best coin, please note that BCH is widely used in everyday life, and it is unlikely that any drastic changes will occur. According to forecasts, Bitcoin Cash will continue to grow moderately in the next few years (source). Its price may reach $369.24 by 2025.
As for XMR, it will continue to attract users who want to keep their transactions anonymous. However, regulatory risks may affect its prospects. Thus, for example, the coin may be subject to strict regulation in various jurisdictions due to its privacy, which can be used for illegal purposes.
Therefore, cryptocurrency markets remain volatile today. In this regard, it can be difficult to make an accurate forecast even several hours ahead. Carefully consider the features of each crypto coin, and you will be able to make the right choice!
Last Updated: August 11, 2023