What Is Bitcoin Gold
Bitcoin Gold is essentially a hard fork of the original blockchain; however, it is still very much similar to it. Both of the blockchains feature the same transaction processing time of 10 minutes, and they both have a 21-million-coin maximum supply. This means that there will never be more than 21 million BTG in existence.
However, Bitcoin uses the SHA-256 algorithm in order to mine new blocks as well as transactions, while Bitcoin Gold uses what is known as Equihash. Both of the networks implement the proof-of-work algorithm, which means that they have a requirement for miners to solve their hard-cryptographic puzzles in order to mine a new block. Keep in mind that bitcoin miners get an advantage when using expensive mining gear; while this isn't an advantage for Bitcoin Gold miners, as in Bitcoin Gold, anyone that uses common equipment can mine it, which provides an equal opportunity for everyone that is interested in mining.
This hard fork of Bitcoin, which lead to the creation of Bitcoin Gold, occurred on October 24, 2017.
Note that hard forks can occur due to a variety of different reasons, such as for the purposes of scaling as a cryptocurrency customer base grows or simply due to the fact that the developers can run into a conflict and have different goals. Bitcoin Gold started life due to the fact that it wanted to make bitcoin fully decentralized again.
Bitcoin Gold Founders
Bitcoin Gold was founded by four people, including Jack Liao, Martin Kuvandzhiev, Franco Niebles, and Robert Kuhne.
How Does BTG Work
Bitcoin Gold can be seen as this fork that has a combination of specific properties that make the original Bitcoin blockchain special as well as an innovative approach when it comes to blockchain development as well as applications. Given the fact that it is a hard fork of the original BTC token, BTG has the intention of fully revolutionizing the mining process through introducing a proof-of-work algorithm, but one that combats the scalability issues found in Bitcoin.
It is an open-source protocol that allows developers to actually participate within the governance as well as the development of the blockchain easily. From the perspective of the developers, this is a must-have requirement when it comes to pushing decentralization, as well as one of the main points where the original Bitcoin struggles.
Bitcoin Gold is one of the first hard forks of the original cryptocurrency that has attracted enterprise investors and is available on a wide variety of exchanges. Bitcoin Gold has been adopted by online browsers as well as service providers. This is why it has a volatile Bitcoin gold price and a large market cap. The Bitcoin network was lacking, and Bitcoin mining was hard, so the developers had the intention of making bitcoin decentralized again, and its current price showcases the interest and the outcome of this through it being traded on a cryptocurrency exchange. Its new mining algorithm is fairer, and even the most basic hardware can do it, which is why there are so many coins in its circulating supply. The pow algorithm can be done by common GPUs. This can be clearly seen in its market cap, where only a coin that has so much interest can have such a market cap.
Aside from this goal of decentralizing bitcoin again and making it a more accessible digital set for even the smallest miners that can be fairly distributed and efficiently mined, Bitcoin Golds developers were also focused on the protection as well as the transparency issues found in BTC, which they are combating.
Unlike other blockchains, Bitcoin Gold attempts to increase the level of anonymity by not publishing any transaction details or wallet addresses, and given the fact that it is a free, open-source community project, decentralization and transparency are expected.
However, this did not come with some controversy, as on the same day on the launch, BTG had a massive DDoS attack on the cloud site, and within a few days after the launch, the miners actually accused one of the developers of having added a 0.5% mining fee which was hidden. There were also concerns that Bitcoin Gold's security measures were not as tight as initially claimed. However, there is controversy with any fork, as the main reason for a fork occurring in the first place is due to the fact that developers disagree on the certain direction the blockchain is heading.
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