Brian Kelly, a CNBC contributor and the CEO and founder of digital currencies-focused investment firm BKCM LLC, is full of praise for Bitcoin cash (BCH). On Monday, the widely followed cryptocurrency investor said that Bitcoin cash is the must-own digital currency of the moment, according to CNBC.
Developments around Bitcoin Cash
The primary reason for his recommendation is the proposal of a “Bitcoin Cash Development Fund,” which will offer numerous opportunities to fund the development of necessary applications and other artifacts on top of the bitcoin cash blockchain. Over the weekend, Bitcoin Cash miners had a meeting to discuss the necessary funding for the proposal. As per their proposal, the miners will contribute some part of their mining rewards to the bitcoin cash development fund, and that capital will be used to carry on the necessary development of the Bitcoin Cash blockchain.
"That's how blockchains gain value," he added. "You're going to be getting more use cases to the extent that usefulness translates into value. That could be a positive for bitcoin cash," Kelly said.
Last week, Kelly launched his actively managed blockchain exchange traded fund (ETF) called the REX BKCM ETF (BKC). It will invest in the stocks of about 33 blockchain- and cryptocurrency-related companies.
Bitcoin Cash Gains Popularity
Bitcoin cash has been gaining ground in recent times. It surged from the levels of around $634 in early April to the peak of around $1,818 by early May making it the best performing cryptocurrency during the period. It also got a recommendation from Roger Ver, aka "Bitcoin Jesus," who stated his preference for Bitcoin cash as the global cryptocurrency, for its ease of use. (For more, see 'Bitcoin Jesus' is Bullish on Bitcoin Cash.)
Bitcoin cash emerged last year as a hard fork of the original bitcoin cryptocurrency, and is now the fourth largest cryptocurrency in terms of market capitalization. Bitcoin remains the most popular cryptocurrency with the highest market cap but continues to suffer from transaction processing delays, making its wider adoption problematic. Bitcoin Cash offers great utility in terms of being used as a medium of daily transaction with hassle-free instant processing, which is leading to it increasing adoption. Additionally, the continuous development of infrastructure and new innovations being built on Bitcoin Cash will contribute to its growing popularity. (See also, Bitcoin Cash: The New King of Cryptocurrency?)
Bitcoin Cash was trading at $1,188.41 Tuesday morning, down about 5 percent over the past 24-hour period.
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