The cryptocurrency world has become very unpredictable in recent times. Actually, so far people should be ready for whatever changes day-in-day-out. The most common change is the cryptocurrency forks which are happening on a regular basis. Even the Bitcoin, which is the main crypto, has experienced many altcoins and branches since its launch. Of all the forks that have happened, the one that captured the Bitcoin community is the Bitcoin Gold which was launched in 2017.
The main purpose of this article will be to give you an insight on the Bitcoin Gold, background of the founders and history, features as well as its advantages over other cryptos. All this will be aimed at giving you a better understanding of the Bitcoin Gold as well as how to use it in the crypto market.
History of Bitcoin Gold BTG
Bitcoin Gold is a new crypto in the market that was created through the hard fork of bitcoin, similar to how the other clone, Bitcoin Cash was created. Bitcoin and Bitcoin Gold share similar history up until the hard fork which separated the two giants. One of the biggest differences between these two cryptos is in their mining algorithms. The fork was led by Jack Liao who is a member of the Lightning AISIC. The founders saw the fork was necessary to compete for Bitmain, though the company doesn’t not claim to be a competitor of the Bitcoin.
Jack Liao’s Lighting AISIC company sells mining equipment which includes GPU which is the hardware mining equipment Bitcoin Gold is relying on. The team that was behind this hard fork seems to be a small group of people who have over the years grown to bigger number.
The purpose for the creation of bitcoin by the founder Sakashi Nakamoto has undergone challenges since he envisioned a world where the cryptocurrency was decentralized. However, he didn’t count on the mining equipment being owned by private corporations which monopolize and sometimes abuse the individual miners and the whole bitcoin network. This has over the years proved to be a big challenge.
By changing the algorithms of the initial bitcoin, the new Bitcoin Gold cuts off the previous manufacturers of the mining equipment and paves way for new equipment (Equihash), which is easily available to the public. This in turn makes countless people have an opportunity to grab a piece of lion’s share which was previously privatized to only a few individuals. More to that, the new equipment is available worldwide hence it will reach the entire globe. This brings the thought of decentralization of the cryptocurrency world more of a reality rather than a falsified idea.
The first distribution of this currency was a bit different compared to the rest. During the fork of bitcoin, anyone who owned bitcoins, automatically owned Bitcoin Gold which was equivalent to the amount of bitcoins one owned.
How Bitcoin Gold is different from Bitcoin?
- In Bitcoin Gold, cryptocurrency is created prior to the code being open source to the users.
- Every one percent of every coin mined before going to the blockchain, is made available to the public since it will be used in the development and maintenance of the currency
- Bitcoin Gold has replay protection which is one of the common features in most bitcoin forks. A replay transaction is usually possible in the bitcoin since both a new and original blockchain have the same transaction history. This was a common malfunction in the bitcoin blockchain because malicious users could replicate the same transaction in a different blockchain hence receiving twice the money.
Mining of Bitcoin Gold
The Bitcoin Gold uses Proof of Work as a strategic way of its mining process. In this case, the more work you do, the more you increase your chances of winning a block added to your blockchain. Bitcoin Gold is considered by many as to be identical to vanilla bitcoin but the difference is that Bitcoin Gold uses POW called Equihash which is believed to speed up custom hardware.
The crypto coin began with giving the initial owners of the bitcoin the equivalent amount of the Bitcoin Gold. Now you can choose to mine Bitcoin Gold solo or choose to mine as a pool using the node client which is available for download.
Wallets to use for Bitcoin Gold
I’m sure you are considering purchasing this cryptocurrency for you own use or just to reap the fruits of the crypto world economics. You will obviously need a wallet. Here are some of the secure wallets you can opt for but not limited to;
- Legder Nano S
- Bitcoin Gold Core
However, before trading in any cryptocurrency you should read the white paper that shows what the crypto is all about. If you don’t understand, take a cup of coffee then read it again. You must understand what is happening since you plan to trade your money for it with the hopes of a getting a good investment. There are no shortcuts when it comes to trading with cryptocurrency.
In conclusion, I hope with the above descriptions, you can now say that you understand when it comes to the Bitcoin Gold cryptocurrency. If you ever want to enter into the crypto realm, make wise decisions and always stay updated about the crypto world. The future of Bitcoin Gold is that the developers plan to expand the crypto to a whole new level. The developers of this currency are conscious about partnerships and the entire crypto world.
By the end of 2018, the company plans to implement side chains, integrate lighting network with the decentralized network and also cross chain atomic swaps. In addition, the cryptocurrency tech team also is trying to look for ways to deal with scalability issues, hard forks and also implement a smart voting system so that every issue in the system is dealt with.
The overall result will be a cryptocurrency that has the best performance and the users are always completely satisfied. This is something we are all waiting for.