Bitcoin Gold: How Players Benefit From New Cryptocurrency
The latest Bitcoin fork occurred recently this week with the launch of Bitcoin Gold, a new cryptocurrency that is also an alternative version of the Bitcoin protocol.
With the launch, Bitcoin users receive free Bitcoin Gold, which is expected to help improve the protocol, a goal that is also shared by the previously launched Bitcoin Cash. This is the reason why Bitcoin casino players may already have some Bitcoin Gold waiting for them in their wallet.
Bitcoin Gold: Improve mining and promote Bitcoin
The small team behind the creation of Bitcoin Gold has two goals. One of which is to change the methods of mining Bitcoin wherein ASICs or mining hardware becomes obsolete.
Bitcoin Gold is set to make Bitcoin mining decentralized which makes it possible for anyone with a computer, regardless of its hardware specification, can mine the cryptocurrency. It does so by changing the proof-of-work algorithm of Bitcoin from SHA-256 to Equihash. By decentralizing Bitcoin mining, Bitcoin mining infrastructure may become more resilient and follow Satoshi’s original intent for the cryptocurrency.
The second goal of BTG is to encourage more people to use the Bitcoin network. It will do this by freeing the Bitcoin network from large companies which have an undue influence on the network.
BTG concept came from Jack Liao, CEO of LightningAsic in Hong Kong, who leads a company that sells mining equipment such as GPUs made for Bitcoin mining. Liao is an outspoken critic of the state of the Bitcoin mining scene. He shared his idea for Bitcoin Gold early in July.
Bitcoin users get free Bitcoin Gold after launch
Anyone who owns Bitcoin will receive the same amount of Bitcoin Gold. If an owner has 1 BTC, for example, they get 1 BTG upon the launch of Bitcoin Gold. As long as a person has bitcoins in an online or offline exchange at the time of the snapshot when the block 491,407 was mined, they are entitled to receive their BTG.
While every Bitcoin owner is entitled to receive the new cryptocurrency for free, there are some exceptions. People who have Bitcoin in wallets which they control the private key will receive Bitcoin Gold. Bitcoin wallets that allow a user to control their private key include hardware or mobile wallet. Even those who have Bitcoin stored on a paper medium are entitled to Bitcoin Gold.
Certain exchanges and wallets which recognize Bitcoin Gold have given BTG to Bitcoin owners on their website. Unfortunately for others, not all exchanges and online wallets will give Bitcoin owners the BTG owed to them. Meanwhile, crypto users can sell BTG on Bitfinex, HitBTC, and BitBay.
People who have Bitcoin in exchanges that support BTG automatically received Bitcoin Gold. For those who have Bitcoin in cold storage such as hardware or paper wallets, they can export the private keys of their wallet to an exchange that support BTG. Those who have offline wallets, they can claim their Bitcoin Gold at any time after the launch date since there is no expiration date to receiving this cryptocurrency.