“Chinese Bitcoin?”
In a move which should not be surprising, HShare/HCash is a Bitcoin clone.
This BTC clone is based in China and wants to create a distributed ledger which combines “blockless” and “block-centric” blockchains.
With cries of the system being a “scam” online, there are a large number of people who have mentioned that the team behind this system are either none-existent or have been copied from other websites.
On top of this problem, the further issue of what the product actually does. Because of the low barriers-to-entry of the crypto space, it’s very easy for someone to fork (copy) one of the more popular coins and then just release it as their own (with minor tweaks).
This appears to have been the case with HCash. This was forked from another coin just this year – the team providing a very small number of tweaks to get it working online.
The point is that even though this may appear to be a legitimate investment, ALL crypto assets are entirely unregulated and the idea that you’re going to have any sort of safety net when putting your hard earned money into them is false.
Why does it exist?
The UTXO-based blockchain system (e.g. Bitcoin) and account-based blockchain system (e.g. Ethereum) has opened the door of a brand-new world for us.
Although the impressive success of Bitcoin and Ethereum has certainly proven the value of blockchain technology and its massive potential in the future, we also see some inherent problems in blockchain technology along the way.
Since 2015, there has been quite a few highly-promising distributed ledger systems that are not block-based gradually coming into our view, such as DAG (Directed Acyclic Graph).
With no doubt, a decentralized digital world is dawning, and Bitcoin or Ethereum has the potential to become the base currency in block-based distributed ledger. IOTA or Byteball on the other hand, may fulfill a similar role in a system based on DAG technology.
Nevertheless, despite of the ability to be traded unrestrictedly on some centralized exchange platforms, these tokens, due to the fundamental differences in the underlying systems, can only circulate within their own blockchains, and would not be able to move freely from blockchain-based to blockless system or vice versa.
You can see the full Whitepaper here.
Trajectory
Even if the system appears to have momentum, the main problem it has is almost complete unaccountability. And whilst this didn’t bother the creator of Bitcoin, the difference is that Bitcoin was the first cryptocurrency – the idea is what counted, not the guy behind it.
Unfortunately for the people who already put money forward for this coin will not likely see much of a return from it. The reason for this – as stated – is that the currency part of the crypto world has been sealed up by BTC – everything else is just noise now.
The real money lies in the platform systems – the likes of Ripple, Ethereum, Stellar amongst others. Apart from already experiencing exponential growth, these have actual asset-bases which continue to add value to their proposition, especially important considering the likes of Ripple has over 150+ employees.
And, yes, whilst BTC still has many problems, the point is that releasing a “me too” coin with next-to-no differentiating functionality is going to do very much to change its dominance.
Consequently, whenever you see a coin like this – you need to keep your wits about you and beware of what you’re actually reading. Growth on a graph does not equate to real life value.
