The recent collapse of the crypto market remains devastating, especially to investors on the losing end. Unfortunately, this is not the first time for the market, typical with extreme price volatility. The recent collapse has seen the prices of top assets like BTC, ETH, ADA, XRP, and BNB fall beyond reasonable comprehension. Terra’s LUNA was the most disappointing, losing more than 90% value in a single day to cap off a struggling period for the market. Unfortunately, till today, the crypto market is bleeding, as digital assets struggles remain evident. Surprisingly, the relatively unpopular cryptocurrency- Bitcoin Gold, posted gains in the same period of turmoil for the crypto space. However, it is important to understand what the digital asset entails and why it is gaining.
What Is Bitcoin Gold (BTG)
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Co-Founded in 2017 by a group led by Hang Yin, Bitcoin Gold is a hard fork of the Bitcoin Network. It is an open-source, decentralized digital currency without an intermediary transactable via peer-to-peer on its network. It is a permanent divergence from the Bitcoin blockchain and adheres to the new rules governing it. Bitcoin Gold also aims to combine the characteristics, security, and strength of Bitcoin with an opportunity for experimentation and development.
According to its development team, the purpose of its hard fork was to make Bitcoin more decentralized again. Another reason behind the hard split is changing Bitcoin’s proof-of-work algorithm, especially towards mining. Typically, Bitcoin uses ASICs (Application-Specific Integrated Circuits) for mining. However, Bitcoin Gold seeks to enable mining on commonly available graphics cards. According to its developers, this goal is to democratize and decentralize the mining and distribution of Bitcoin Gold.
How Bitcoin Gold (BTG) Works
Bitcoin Gold is a cryptocurrency that enhances the crypto space like Bitcoin but goes beyond the limitations of the network. In terms of similarity, it possesses enormous features like Bitcoin. Apart from running in the exact consensus mechanism, both cryptocurrencies utilize ten minutes to process a transaction. The total supply of the two cryptocurrencies is both 21 million tokens and will never exceed that amount. However, the differences that exist between them are what tell their uniqueness. Firstly, it is not resource-intensive like Bitcoin, which utilizes high energy for its hash power.
Alternatively, the blockchain network aims to offer users a cryptocurrency expanding the opportunities for Bitcoin. The Equihash proof-of-work algorithm, which links block output to the memory available for storage, drives the blockchain to function optimally. This is why the network does not require the commonly used ASCIIs machines known with Bitcoin. However, the blockchain relies on smallholder hardware miners to keep its mining democratic and decentralized. Alternatively, since it is community-driven, it is open-source and technology-driven, with enough room for transparency and decentralization. Unlike Bitcoin, the network also offers anonymity, similar to the Monero Blockchain. It does not publishes transactions like Bitcoin and does not reveal actual wallet addresses.
Features of Bitcoin Gold
Listed below are the distinct features of Bitcoin Gold and why it is different from other cryptocurrencies like Bitcoin;
Despite being digital, many cryptocurrencies act as legal tenders to pay for goods and services globally. BTG is not different, as it serves as a payment enabler and a means to transfer value. Despite no institutional backing proclaiming it as a national or international currency, it serves the purpose of fiat money. Hence, it is a for settling accounts or paying for goods and services by many retailers globally.
Bitcoin Gold network fees are as low as 0.5%, considered by many traders as almost insignificant, especially when compared with competitors. Typically, the costs to purchase the digital asset on crypto exchanges may vary, dependent on many factors. However, the network’s charges are meager and remain encouraging.
One of such features pertinent to the Bitcoin Gold network is allowing users to transact anonymously. During transactions, the in-house explorer does not show the wallet identities of parties. This is usually covered via encryption and representative symbols. Alternatively, when a user sends BTG to another, the final delivery does not indicate the wallet of both the sender and receiver. Like Monero, both cases use encrypted addresses generated by the network for validation and verification purposes.
Since Bitcoin Gold is from Bitcoin, it contains the same transaction history as the leading cryptocurrency blockchain network. This makes it possible for transactions to duplicate across chains, as it is a problem with forks. However, with Bitcoin Gold’s Replay Protection, transactions from one blockchain are rendered invalid on the other.
Why Choose Bitcoin Gold?
Like Bitcoin, BTG is mineable, and users can download the core wallet client to join any mining pools. However, one uniqueness of the network is that it is the only fork of Bitcoin attracting huge institutions and enterprises. This is why the project’s market capitalization is over $500 million. BTG also features a unique combination of the properties of the Bitcoin blockchain and an innovative approach to boost it. This is why it introduces a new proof-of-work algorithm that combats the scalability issues pertinent to Bitcoin.
BTG also revolutionizes the mining process by introducing the Equihash PoW. This model currently favors GPUs for mining, unlike the one employed by Bitcoin. Also, because it is community-focused and driven, it is an open-source protocol. This is why it allows users and developers to participate in its governance and development without limitations. Apart from crypto exchanges, BTG’s adoptions currently span across many swap platforms and service providers. Lastly, it is a hard fork that pushes the decentralization of Bitcoin further by improving anonymity.
BTG has a circulating supply of 17,513,924 coins and a maximum supply amount as Bitcoin (21,000,000 coins). According to the project developers, the current circulating supply distribution is as follows:
- 30% is for blockchain and project development.
- 20% of its supply caters to the project’s annual expenses.
- 15% of the circulating supply is for ecosystem support and development
- 15% of this supply was initially distributed amongst its community.
- 8% of its supply catered to covering pre-fork costs and community development.
- 7% of BTG token supply is also set aside for bounties and app collaboration.
- The last 5% is for rewarding its founding team.
How To Buy BTG
Like other cryptocurrencies, there exist abundant options for purchasing BTG. The cryptocurrency is available for purchase on many exchanges, including Binance, Bitfinex, and Bybit. However, this step-by-step guide will help you purchase BTG on Binance;
As a user, you will need to log in or sign up on Binance. Using your email address or phone number, you can do that on the Binance App or Website. The Binance app is available for download on Android and iOs stores, compatible with the respective devices. The signing-up process is usually seamless and complete after supplying a few KYC details. To complete it, you will need to verify the information you have provided. However, existing users will only need to log in to their accounts.
After logging in, it is essential to fund your Binance account. This will enable you to complete the purchase of BTG smoothly. Funding your account is stress-free and could be done via a bank transfer, a debit, or credit card. Binance also allows users to fund their accounts via peer-to-peer trading in some jurisdictions. Alternatively, users can also take advantage of the numerous third-party payment options available on Binance.
You will then use the funded account to purchase BUSD or USDT on Binance. You will search for either asset via the home page and buy an amount corresponding to your balance. Now that you have your BUSD/USDT, you will use it to purchase BTG in the trade tab. Go to the market tab and search for BTG. Fill in the amount you want. You have 1 minute to confirm your order at the current price. After 1 minute, your order will be recalculated based on the current market price. You can click Refresh to see the new order amount.
Why Did BTG Price Soar When The Crypto Market Was Down?
BTG as a project and cryptocurrency is not one without controversies maligning it and stunting its growth. The network has been subject to several 51% attacks in the past, leading to the loss of funds amounting to millions of dollars. On at least two occasions, hackers have questioned and manipulated the network’s security for fun, leading to losses. However, those concerns are no more today, as it further aims to achieve stability. This could be why the token seems to be having a stellar time, as the general market struggles.
In the network’s roadmap, its development focuses include interoperability, applications, infrastructure, and the lightning network. According to analysts, its recent success could also result from achieving success with its roadmap. Alternatively, other reasons could have been behind its success this year, especially as it gained 40% during the crypto market meltdown. This is why it’s no mistake that BTG’s performance is commendable, as it looks like it has put its past behind it. However, its long-term price sustainability will attract investors to the low-cap token.
BTG Price Prediction
According to CoinMarketCap, BTG is one of the highly-rated low-cap tokens in the crypto market. Unfortunately, it’s far from its ATH of $539.2 in 2017 and also its all-time low of $2.54 in 2020. However, its recent rally has now seen it force its way into the top 100 tokens in the crypto market. BTG’s average 24hour trading volume is $$167,378,328.35, as its market cap hangs around $507 million. Considering the crypto market struggles, its 50% gain this week is attractive and commendable. However, its long-term performance predictions are unstable, as crypto analysts are uncertain of its future. DigitalCoin is bullish, predicting it may reach $57.37 this year. Their forecasts for the assets in 2023, 2024, and 2025 are also optimistic, as they anticipate a progression.
The Crypto analysts are confident that BTG will reach $203 in 2030. PricePrediction is slightly bullish about EVER, as they see the token hitting $0.4 this year. PricePrediction is also slightly bullish concerning BTG. They predict BTG to end the year at around $38.82. The analysts see the token reaching $86.51 by 2025 and hitting $1,000 in 2031. Unfortunately, WalletInvestor is pessimistic about the future of the token, as they predict a bearish run. The Crypto analysts see BTG falling by 48% this year. According to WalletInvestor, BTG’s price will drop to $12.623 by December 2022. Predictions of this nature are not strange to low-cap tokens, as they are highly volatile without directions. However, while forecasts can be great, cryptocurrencies remain volatile, and anything can happen in the future. The advice to investors is to commit funds they can lose to crypto assets.
Co-Founded in 2017 by a group led by Hang Yin, Bitcoin Gold is a hard fork of the Bitcoin Network. It is an open-source, decentralized digital currency without an intermediary transactable via peer-to-peer on its network. The token acts like Bitcoin but improves upon the limitation of the leading cryptocurrency. It is available for purchase on many exchanges, including Binance, Bitfinex, and Bithumb. Apart from going up by more than 40% in a bad week for the crypto market, its future predictions are remarkable. Crypto analysts, in large numbers, predict the digital asset to perform well this year and beyond.
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