All About Bitcoin Gold

Submitted by editor on Sun, 04/29/2018 - 05:46

Bitcoin Gold (BTG) is a hard fork of Bitcoin. The stated purpose of the hard fork is to restore the mining functionality with common Graphics Processing Units (GPU), in place of mining with the highly specialized ASIC (customized chipsets), used to mine Bitcoin. The hard fork occurred on October 24th, 2017 with a mining of 100,000 coins after the fork had already occurred. The team did this via a rapid mining of approximately 8,000 blocks at 12.5 BTG per block. The bulk of premined coins has been placed into an 'endowment' and, according to the developers, will be used to grow and maintain the BTG ecosystem. However, of the 100K coins, some five percent were set aside as a bonus for the team, or about 833 coins for each of the six members. Bitcoin gold uses the memory hard equihash as proof-of-work algorithm instead of the sha-256. So BTG aims to change the monopolisation of mining through this change of algorithm to solve the blocks.

Bitcoin Gold has branded itself as a new version of Bitcoin rather than a new platform originated from the Bitcoin source code. It still retains Bitcoin’s transactional history which means that if you owned any Bitcoin prior to the fork you now own an equivalent amount of Bitcoin gold. However claiming BTG is a precarious business. You need the right secure software otherwise you can leave your private keys to your wallet exposed. You need to know exactly what you're doing and really understand how the operation works. If you don’t then it is advisable not to attempt to recoup any BTG.

Trezor and Leger are a little easier. As per Bitcoin.com, "Another method is using Trezor or a Ledger wallet's splitting/claim tools. If you hold bitcoins on a Ledger or Trezor hardware wallet, the companies have created a splitting tool for your convenience. With a Trezor a user has to go to the hardware wallet's beta software page and update their firmware to 1.6.0. This operation tells people to make sure their seed phrase is available just in case anything happens during the upgrade. If everything installs properly, then users are directed to the Trezor BTG claim page where they can choose either a Segwit account or Legacy account for the tool to scan. After a few minutes, the page will detail how many BTGs the wallet possesses, and it requires people to send them to a different address. Trezor provides an address for the hardware wallet itself, but you can add an exchange wallet address or another BTG address of your choice."

This hard fork of Bitcoin has become very popular with a market capitalisation of just over $1,100,000,000 USD. The blockchain fairly and efficiently distributes the digital asset immediately to people all over the world who have interest in cryptocoins. The current circulating supply of BTG amount to just under 17 million coins with a total supply of slightly over 17 million.

To ensure the safety of the Bitcoin ecosystem, Bitcoin Gold has implemented full replay protection and unique wallet addresses, essential features that protect users and their coins from several kinds of accidents and malicious threats.

Bitcoin Gold is a free open source software project that is built by volunteer developers and supported by a rapidly growing community of Bitcoin enthusiasts that stretches around the globe. It is supported by over 36 exchanges and 10 different wallets including the ever popular Trezor and ledger.

BTG has become popular with merchants around the world as an easy, swift transactional medium that is not as volatile ad Bitcoin and not anywhere near as expensive to use. This article is for information purposes only and is not to be construed as financial information for any purposes such as investment or speculation and it is the responsibility of the reader to perform proper due diligence before acting upon any of the information provided. We recommend that you consult with a licensed, qualified investment advisor and certified accountant before making any investment decisions.