Jihan Wu on Bitcoin Cash Halving: the Key for Successful BCH Lies in Building a Booming Ecosystem
Bitcoin Cash (BCH), the world’s fifth-largest cryptocurrency and bitcoin’s most famous offshoot, has undergone its first halving, in which the mining reward of the bitcoin cash network has been cut in half to 6.25 BCH from 12.5 per block.
On April 8, 2020, the first halving for bitcoin cash took place at the block height of 630,000 at around 12:20 UTC. Two days later, Bitcoin SV (BSV) is expected to have its halving, and the original cryptocurrency bitcoin is scheduled to see its third halving occur sometime on May 18.
On the halving day, the Future of Bitcoin Cash team hosted a live stream full of high-caliber people active in the BCH community discussing about the opportunities beyond the halving. Jihan Wu, co-founder of mining giant Bitmain, made his rare public appearance on the event.
The mining hardware mega-seller and BCH advocate describes the BCH halving as “a really huge milestone”.
He stressed that it is essential for BCH to build a booming ecosystem if it is to make a success. From wallets to various other applications built on Bitcoin Cash, Wu called it a “full ecosystem” and said it is poised for another “new wave” of new users and applications to enter the ecosystem.
He reiterates his compliment of and welcome for Tether to issue USDT on the BCH Network as such incidents are very helpful for BCH to expand its user base. Meanwhile, Wu stressed again the BCH community should keep united and solid and focus on the technical roadmap.
When asked about the potential of investment opportunities going forward, Wu said that a bullish market draws speculators and gets filled with buzzwords, but the price increase will lead to a general curiosity that would bring new users in.
In the discussion about the possibilities that are opening up in the cryptocurrency world in light of the latest financial turmoil amid the coronavirus outbreak, Wu believed that billions of liquidity into the markets from central banks’ bailout and loose monetary policies amid the coronavirus meltdown could make the prices of all financial assets including cryptocurrencies perform well.
The mining giant and most influential in the Chines crypto space was composed in the live stream and talked little about coin prices. In an earlier online interview, Wu expressed his optimism about the prices of cryptocurrencies.
As the most famous offshoot of bitcoin, the price movement of BCH is highly expected by many. After the halving, the price of BCH gained 11.2% on the day. While for most investors, the question lying ahead is whether the rally could sustain. According to crypto exchange OKEx, the long-short ratio turned lower after the halving event, the number of accounts shorting BCH contracts now has reached 1.5 times that of long positions.