Bitcoin Diamond, a digital currency that is a fork of Bitcoin, conquered the cryptocurrency market in November 2017. The essence of the fork is to split the blockchain into two branches with a change in the source code.

On November 24, 2017, a group of developers initiated a bitcoin hard fork, which took place on block 495,866. The only thing known about the creators is that there were three of them, there is practically no specific information. Only two nicknames were revealed to the society - Evey and 007, the third decided to keep the Anonim status.

The hard fork process involves splitting with a change in the weight of one block and its incompatibility with old software. The updated system has become a solution to a large number of problems previously encountered by Internet users. At the same time, the purpose of digital money has remained unchanged - it is still a means of payment, which is traded under the BCD ticker on 28 exchanges, the list of which is supplemented by CEX.com, OKEX.com and other small trading platforms. Lets consider in more detail this project, the principle of its operation, its features and prospects for further development.

About the Bitcoin Diamond project

Bitcoin Diamond operates on the principle of Faster Transactions Lower Fees Segwit Technology, which translates to "faster transactions with low fees." After the fork of the Bitcoin network, a new chain was created at block 495866, which helps in creating blocks using the new OptimizedX13 algorithm.

The project intends to constantly improve and increase the level of protection of confidential data of its clients, while using new functionality built on the basis of BTC. The original blockchain will be the same, and the new forked chain will be additional power and a means to solve old problems. BCDs transaction history was identical to Bitcoin prior to generating a new unique block.

The capital of Bitcoin Diamond is 210,000,000 coins. This figure is the final one, which protects the currency from inflation, which is typical for fiat money. Currently there are 170,000,000 BCD in circulation at a price rate of 10 BCD = 1 BTC. This amount is intended for holders, the rest of the money supply forms a pool for rewards for mining, contests and assistance in improving the ecosystem.

Rivalry with Bitcoin and a way to solve old problems

Many are wondering if this cryptocurrency competes with the original Bitcoin. Definitely not, because the new digital currency is a fork of the chain with updated technology, while maintaining its original qualities.

The active development of Bitcoin leads to the annual appearance of millions of new users. But the problem with scalability and overpriced commissions has not been resolved. What bitcoin holders are unhappy with:

there is a high threshold for entering the system;
transactions are confirmed for a long time.
The new version of Diamond introduced the Lightning Network. It is primarily designed to improve the old version and update the daily use of the BCD.

Lightning Network is a payment protocol that operates on blockchains. It was proposed as a solution to the problem of Bitcoin scaling and the possibility of conducting lightning-fast transactions between participants. Bidirectional payment channels and internal nodes are part of a holistic network. A payment channel is established between the two nodes. Each of them temporarily blocks a certain amount and transmits it through the channel, adding the amounts between the previously blocked nodes.

What are the advantages of the new system:

instant transfer - acceleration of transactions;
block expansion up to 8 MB - storage has been increased and speed has been added for fast block completion;
full control of intra-system processes - secure encryption methods with personal data protection;
minimizing the production of isolated blocks;
increase in trade turnover.
Advanced replay protection technology protects customers from replaying transactions, i.e., simultaneous transfer of BTC and BCD. The operation of two different blockchains and special innovations prevented this possibility.

Safety comes first! Unique encryption methods restrict access to any personal information or transaction details. The new BIP-44 standard means creating an individual key for the owner for each wallet, and he is already a tool for generating other keys for transactions. To ensure confidentiality and security, a double-write blocking system was implemented.

Bitcoin Diamond features

Bitcoin Diamond cryptocurrency has many advantages over all money, including over the most popular cryptocurrency, which is also not without its drawbacks. In 2 years, a large-scale work has been done: generating blocks 5 times faster than BTC, transactions with a minimum commission, huge capitalization and an incredible debut on exchanges. And this is just the beginning.

Today BCD can be compared to any currency, and the comparison will almost always not be in favor of the competitor. The main task of the coin is to win the competition with more convenient functionality and favorable conditions and become the best cryptocurrency.

The team working on improving the project has the goal of creating the most profitable and secure solution for making financial transactions. Many people pay attention to confidentiality and declare some distrust due to the secrecy of the creators, despite all the successes and achievements. Do not forget the fact that the creator of Bitcoin also did not declare himself.

BCD cryptocurrency: price and total capitalization

As soon as trading began with the coin on the stock exchanges, its value skyrocketed. Quotes soon reached a historic high: 1 BCD = 92 US dollars. From that moment on, the price goes down. February 2018 was remembered by many traders as uptrends. From the next month the quotes were at the level of 2-5 dollars with the minimum amplitude of the price chart.

The popular rating portal Coinmarketcap has previously published a rating list of various cryptocurrencies. The project was officially completed only in March 2018, from that moment the countdown began. As of December 2019, BCDs capitalization is $ 64,752,827, with a trading volume of just over $ 28 million.

The current quotes are at 34 cents, which signals an excellent opportunity to buy currency at a very favorable rate. Considering that large-scale development of the project is planned in the future, such a purchase over a long distance will become a highly profitable investment of available funds.

How is Bitcoin Diamond created?

Many are interested in the question of the possibility of getting cryptocurrency. So, you can become its owner if you:

made a purchase on the exchange;
started mining;
the owner of Bitcoin - all users who were the owners of the currency during its fork received a new one in a 1:10 recalculation - BTC to BCD;
volunteer - receiving an award for participating in the improvement and creation of the ecosystem.
In order to be able to use digital money, you need to acquire a wallet for storing funds and making transactions. Any Bitcoin e-wallet can store BCD on the account, for example:

BitGo;
Bitpie;
ATOKEN;
KCASH;
QoinPro;
mobi.
All of them are actively used, but the majority choose the BitGo and mobi option. Also, funds can be in the account of the exchange wallet. Before that, make sure in advance that Bitcoin Diamond is supported by this exchange (all information is on the official page).

Cryptocurrency mining

Anyone can mine BCD. To do this, you need to use a masternode or pool. The currency itself is designed for GPU mining. The block is generated after 10 minutes, for which the user receives a reward of 125 coins. You can find software on Github - the resource provided the entire list of pools with the possibility of collective mining.

In order to start mining digital money, you need to acquire equipment:

ASIC miners - any model with X13 compatibility;
video cards - powerful devices such as GTX 1080–2080Ti.
Please note that this method is for advanced users. Think carefully before purchasing equipment hoping to make a lot of money. Mining becomes more difficult every year, which increases the costs of miners. Inexperience can only lead to losses. Calculate pre-investment and possible profit. After assessing the profitability over the time period, draw the appropriate conclusions.

Purchase and storage of funds

The easiest way is to use the services of cryptocurrency exchanges to buy BTC. The main trading turnover can be traced on three platforms:

VinDax - 43% market share, ETH and BTC;
BW.com - 21%, USD and BTC;
OKEX - 20%, USDT.
There are many other popular exchanges. But their trading volume in this currency barely reaches the maximum level of 4%.

Is Bitcoin Diamond Infinite?

The tight monetary policy on the part of the developers testifies to no less strict control over the volume of the money supply to ensure a stable price of the cryptoasset in order to reduce the influence of other market factors and nuances.

What does this decision mean? Everything is quite simple: it allows you to exclude the inflationary factor in order to maintain and stabilize the exchange rate. The constant filling of the market with new money supply leads to a constant collapse of the real value of the currency.

Why then did the cost of BCD go down?

The limited amount of money means there is no inflation risk. The price is formed depending on many other factors: supply and demand, intentions and actions of developers, market situation, competitiveness, investment attractiveness, etc.

The market chart clearly demonstrates two opposite periods associated with the BCD price.

The period from 2017 (November) to 2018 (March): rather frequent fluctuations in quotations are characteristic, there is high volatility. The original price with entry to the market was $ 61. Already in the second month, it rose to $ 105 due to the strong excitement. Until December, there was a correction of the exchange rate with an approximate cost of $ 40, in January - $ 30. This was followed by positive news about the intentions to launch the mainnet, the introduction of new software. This provoked a sharp rise in prices and a further pullback, which made it possible for everyone to earn money.

The period from 2018 (April) to 2019 (December) is the opposite effect with a downward trend. The decline in the BCD rate has been observed for more than a year. Until August, the price fluctuated in the region of 1–2 US dollars, but now it is 34 cents.

Strengths of Bitcoin Diamond

The new digital money differs from all existing options in the following characteristic features:

Bitcoin Diamond has an ambitious goal of creating a new currency that is more advanced than Bitcoin itself;
guarantee of confidentiality and confidentiality of data of owners, information in transactions;
optimized encryption algorithm;
mining difficulty check (every 14 days);
instant operations - increased speed by expanding the block weight to 8 MB;
fixed volume - 210 million coins.

TOP currencies: where is Bitcoin Diamond

Every year there is a replenishment of the list of cryptocurrencies ready to compete for their place in the market. A highly competitive environment encourages rapid growth and the development of new projects. The latest reporting with a sample of 100 currencies by market cap suggests the following data regarding Bitcoin Diamond:

place in the rating - 62;
market capitalization - USD 64,421,051;
daily turnover - USD 27,917,045.
Recently, there has been a stabilization of the exchange rate after a long fall. Experts say that this is an indicator of the reliability of an asset. It is also a prerequisite for a possible price increase.

The project leaders intend to loudly announce digital currency in 2020. This fork is technically even better than the original Bitcoin. Yes, it is almost impossible to achieve the original cryptocurrency rate. However, it is quite possible that BCD will soon start adding in price. Only the rate of development of these events is unknown.