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Learn how to setup Atomic Wallet to send, receive, exchange and buy cryptocurrency.
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Bitcoin Gold is a cryptocurrency and one of the latest hard forks of Bitcoin. The main idea behind the project is to make Bitcoin more decentralized. To do so the team created new mining protocol (Equiqash).
Fork means program code modification. The whole blockchain will be getting on the new rails with no backward compatibility to the older blocks/rules. Once you reached the destination out, there is no road back.
The main reason of Bitcoin Gold fork is that nowadays Bitcoin is getting to centralized. Mining pools are getting more and more powerful and this is getting controversial to the idea of transparency and decentralization.
To make system stable and scalable powerful nodes required. They apply to the blockchain consensus and interested in the future development and life of the whole network. Nodes are computers that propogate the network all over the world, validate trasnactions and continue chains of blocks. To find a block miner should solve a mathematical puzzle and spent some time and computating powers on it.
Application-specific integrated circuits (ASICs) now perform nearly all of the mining on the Bitcoin blockchain. These are devices built specifically for Bitcoin mining that is 1,000,000 times better at mining than your PC. These devices is a huge investment itself and common person would not be able to buy it and mine BTC.
Bitcoin Gold founders improved blockchain with hashing algorithm called Equihash instead of SHA-256. Equihash is more resistant for ASIC mining due to the RAM memory requirements for mining. Due to its memory intensive nature it’s really hard to build a cost effective specialized hardware chips. This algorithm is optimized and its more efficient; which can be mined using standard PCs that has more RAM power. It The world has already seen the implementation of this algorithm in ZCASH blockchain, Bitcoin Private, Komodo and in some others.
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