Bitcoin Cash on a Downward Spiral after Tesla Snubs it from its Payout Section

Tesla, the car maker, deleted a warning to its customers not to send Bitcoin SV or Bitcoin Cash when paying for orders, but the damage was already rummaging the reputation of BCH/BTC. Compared to its parent, Bitcoin, Bitcoin Cash (BCH) has been on a downward trend after Tesla publicly rejected this controversial Bitcoin (BTC) spin-off to be used for payments.

A series of tweets from Tesla’s CEO and “Technoking,” Elon Musk, on March 24 revealed that it was now possible for U.S. customers to purchase a Tesla using BTC. His company however was against the use of “fork products” as payment alternatives, such as BCH.

Tesla: Only BTC Allowed

In August 2017, BCH was born as it spun off the Bitcoin Blockchain, but its reputation within the crypto sphere remains that of a controversial newcomer. However, BCH has its supporters who talk of how it reigns supreme over BTC since the BCH fees are lower, its transaction time is lower, and it does not require an array of resources to execute.

The statements have been changing as the years pass, and proponents at times might be calm while other times they go on an attacking mode, but BCH keeps showcasing new lows. On Wednesday, for the first time, BCH holders received lower that 1% of a Bitcoin – 0.089 BTC per 1 BCH.

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This BCH/BTC one-week candle chart from TradingView shows the downward trend BCH has been on.

When Tesla publicly accepted BTC as a payment method, the downturn intensified. Bitcoin Cash and its companion Bitcoin SV (BSV) were singled out by Tesla as “fork products,” so are not suitable for payment.

The car maker deleted the warning that stated “You may not make purchases with us using any other digital asset, including Bitcoin fork products, such as Bitcoin Cash and Bitcoin SV.”

Kim Dotcom Takes on Lightning Network

Most BCH proponents argue that it is the ‘real’ Bitcoin, and Kim Dotcom, a notable entrepreneur is in the frontline taking Musk to task. Dotcom’s tweet that was directed at Musk urged him to try and buy a soda with Bitcoin.

Dotcom continued further respond to a tweet by tweeting that Satoshi’s vision of Bitcoin was not of a cryptocurrency that acted as a new class of bank that was controlled by the same corrupt power structures that reign supreme in the current financial system. He added that Lighting is just a custodial solution that is not changing the broken system and users do not have to let such third parties control the keys to their digital money.

BCH has a long way to go especially if it is compared to its parent, BTC, which has a 12-year track record of exceeding the odds set up against it.

Image courtesy of pixabay

Edwin Kinoti

Edwin Kinoti

Edwin is a naturally curious person with a deep interest in blockchain, finance and new tech, fields which he dedicates his time to researching and documenting.

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