Bitcoin Gold, also known as BTG, is a Bitcoin-based cryptocurrency that is mined using standard GPUs rather than specialized ASICs.
ASICs aim to give a few major companies a monopoly on the mining, whereas GPU mining allows anybody to mine again, trying to restore decentralization and independence. -Rather than going largely to ASIC warehouse owners, GPU mining rewards flow to individuals all around the world, re-creating the network effects that Bitcoin used to have.
What is Bitcoin Gold?
Bitcoin Gold was created as a more user-friendly version of Bitcoin. The BTG network intends to combine the Bitcoin blockchain’s security and strength, as well as its qualities, with the ability to experiment and expand.
BTG improves and expands the crypto space by employing a blockchain that is almost identical to Bitcoin’s, but without relying on Bitcoin’s hash power or competing for the label of “real Bitcoin.” The startup wants to deliver a currency that has the same implementation capabilities as Bitcoin but with more options for DeFi and DApp developers to use it.
BTG was founded in October 2017 when the Bitcoin Gold blockchain diverged from Bitcoin with the purpose of altering the network’s mining process. By modifying the fundamental algorithm, the community behind the project sought to diminish the influence of large miners using capital-intensive specialist equipment, allowing smaller businesses to participate.
The concept of “making bitcoin decentralized again” may appear paradoxical. Bitcoin, like all other cryptocurrencies, was meant to be decentralized from the start; it is not tied to any central bank, country, or political entity.
However, one of the fundamental flaws with bitcoin that motivated the development of Bitcoin Gold has nothing to do with central issuance. It has to do with the mining process, not the other way around.
The founders of Bitcoin Gold felt that by taking on a new mining algorithm (in this case, a so-called proof-of-work method named Equihash-BTG), the new branch of the world’s most popular cryptocurrency by market cap would not promote large mining operations excessively.
Bitcoin Gold: roots and history
Bitcoin Gold was established by a group of enthusiasts with a wide range of talents and experiences. Hang Yin is a co-founder of Bitcoin Gold and its chief developer. In 2015, he earned a bachelor’s degree in computer science from Fudan University. His professional career began immediately following his graduation. Yin joined Google as a software developer in late 2015. After three years, Hang Yin left the tech powerhouse to launch Bitcoin Gold, his first business endeavor. He was also a founder member of HashForests in 2018.
Martin Kuvandzhiev is the second co-founder of Bitcoin Gold and also serves on the board of directors. His career journey began as a food service worker at McDonald’s after graduating with a degree in computer software engineering from the Technical University of Sofia. He began working as a lead iOS developer at phyre JSC in 2016, after becoming an assistant professor at the Technical University of Sofia in 2015. He has also founded another startup, GoStartups.net, after co-founding Bitcoin Gold in 2017. Kuvandzhiev is now the CEO of Assetify.
One of the main aims of Bitcoin Gold has been to modify the algorithm used to mine the cryptocurrency so that it can no longer be done quicker on specialist equipment than on normal computer systems.
Bitcoin Gold is not the first large bitcoin hard fork. On August 1, 2017, Bitcoin Cash split from the main cryptocurrency. A Bitcoin Cash hard fork on November 15, 2018, separated the currency into two currencies: Bitcoin Cash and Bitcoin SV.
How does Bitcoin Gold work?
Bitcoin mining is a profitable yet time-consuming activity. The most lucrative mining enterprises are frequently those that pool together a large number of mining rigs, each of which requires costly, specialized equipment. Individuals seeking to mine bitcoin on their own must either invest a significant amount of money and effort in building their own rigs or risk being passed over since their computers cannot compete with professional rig systems.
Bitcoin Gold’s developers focused on security and transparency problems in addition to “re-decentralizing” bitcoin and creating a more accessible digital asset for smaller miners that could be dispersed more equitably and effectively. Bitcoin Gold, unlike other blockchains (including Bitcoin), aimed to promote privacy by not disclosing transaction data or wallet addresses. Decentralization and transparency are fundamentally anticipated in the Bitcoin Gold community as a free, open-source community initiative.
Why choose Bitcoin Gold?
Bitcoin Gold is a one-of-a-kind mix of the original Bitcoin blockchain’s inherent features with a novel approach to blockchain development and applications. BTG is a hard fork of the original Bitcoin currency that seeks to revolutionize mining by implementing a new proof-of-work method that addresses Bitcoin’s scalability difficulties.
Bitcoin Gold is an open-source technology that allows developers to freely participate in the blockchain’s governance and development. According to its founders, this is a must-have requirement for promoting decentralization and one of Bitcoin’s fundamental flaws.