It seems, there will soon be the next hardfork of Bitcoin, and this is not SegWit2x. We tell you what Bitcoin Gold is, how and when the hardfork takes place and what you need to do to prepare for it.

What is Bitcoin Gold?

Bitcoin Gold (BTG) is the brainchild of Jack Liao, the head of the Hong Kong company LightningASIC, which also sells equipment for mining. The goal of the project is quite ambitious: to become more attractive currency than the original bitcoin (Bitcoin). And the main way, which is supposed to achieve this, is to try to solve the problem of centralizing the mining by changing the algorithm that ensures the operation of the Proof-of-Work protocol. To change the algorithm, you usually need a hardfork, and the creators of BTG have decided to follow this path. For their own purposes, they chose Equihash, an algorithm sensitive to the amount of RAM, which is now used for the Zcash crypto currency. It is believed that in the foreseeable future no one will be able to create specialized hardware (ASIC) for mining through this algorithm, which means that the use of processors and video cards will again become justified, and the production of crypto currency will return to the users’ hands. Developers of BTG also consider pre-mining in the amount of up to 1% of the total number of tokens. It is not yet clear how exactly this idea will be realized.