In light of recent events, Bitcoin Cash (BCH) will soon be equipped with smart contracts that are comparable to those found on the Ethereum network, as a result of an impending update that is scheduled to take place in May.
The improvement is expected to provide a “1000x efficiency advantage” in comparison to Ethereum’s smart contract framework, as stated by the developer Jason Dreyzehner.
Contracts that are self-executing are referred to as “smart contracts”. These kinds of contracts have the terms of the agreement between the buyer and seller encoded straight into lines of code.
They have become an essential component of the blockchain ecosystem as a result of their ability to facilitate automated and trustless transactions among participants.
The Bitcoin Cash community is looking forward to the upgrade scheduled for May 15th, despite the fact that the traditional financial world is preoccupied with central bank digital currencies, bank failures, and attempts to regulate permissionless digital assets.
In an interview with bitcoin.com, software developer and advocate for freedom-enhancing technologies, Jason Dreyzehner stated that the Bitcoin Cash Improvement Proposal (CHIP), also known as the Cashtokens CHIP, is one of the most talked about improvement proposals set to be implemented. Its advocates see it as promoting economic freedom.
He went on to say that the Cashtokens CHIP will enable the Bitcoin Cash network to be used for advanced on-chain applications such as higher-security vaults, decentralized exchanges, and bridged sidechains and added that in comparison to other chains such as Ethereum, it would be more scalable and cheaper.
Furthermore, he noted that the development difficulty difference between Ethereum and Bitcoin Cash, stating that Ethereum smart contracts are easier to write than Bitcoin Cash contracts due to their use of a simpler, single-threaded, global-state architecture. In contrast, Bitcoin Cash contracts employ a multi-threaded, stateless-validation approach.
According to him, Ethereum contracts are significantly more expensive to use and because of the architectural distinction, decentralized applications developed on Bitcoin Cash could scale to millions of users without increasing transaction costs, even during times of high network activity.
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