{"id":1289,"date":"2017-10-06T23:22:21","date_gmt":"2017-10-06T23:22:21","guid":{"rendered":"https:\/\/davidgerard.co.uk\/blockchain\/?p=1289"},"modified":"2017-10-15T14:43:29","modified_gmt":"2017-10-15T14:43:29","slug":"bitcoin-gold-a-new-bitcoin-full-history-fork-on-the-gpu-bitcoin-core-claims-bitcoin-and-btc-names","status":"publish","type":"post","link":"https:\/\/davidgerard.co.uk\/blockchain\/2017\/10\/06\/bitcoin-gold-a-new-bitcoin-full-history-fork-on-the-gpu-bitcoin-core-claims-bitcoin-and-btc-names\/","title":{"rendered":"Bitcoin Gold, a new Bitcoin full-history fork on the GPU; SegWit2x; Bitcoin core claims “Bitcoin” and “BTC” names"},"content":{"rendered":"

After the Bitcoin Cash<\/a> split in August, the model of a full-history fork that gives existing Bitcoin holders free coins has shown its appeal. And so we have Bitcoin Gold<\/a>.<\/p>\n

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The key change is that Bitcoin Gold is mined fastest by GPUs \u2014 they’ve changed the hash to Equihash<\/a>, a memory-bound<\/a> hashing algorithm taken from Zcash. The idea is to make GPU mining feasible once more: “When we find asic is created, we will change to another PoW.”\u00a0 To avoid the problems Bitcoin Cash has had with long delays between blocks, Bitcoin Gold plans to adjust the mining difficulty each block<\/em>.<\/p>\n

The effort is being led by Jack Liao of LightningASIC<\/a>, which makes GPU mining rigs<\/a>. LightningASIC advocates this fork as necessary competition for Bitmain, the biggest manufacturer of ASIC-based Bitcoin mining rigs (who are also one of the backers<\/a> of Bitcoin Cash) \u2014 though they claim that “Bitcoin Gold is not a competitor of Bitcoin.”<\/p>\n

There’s also all those Ethereum rigs that overenthusiastic home miners<\/a> bought in June and July that are currently grossing a few dollars a day (before electricity) from NiceHash, and which will suddenly be obsolete if Ethereum succeeds in moving to Proof of Stake \u2014 that’s a miner base just waiting for a chance.<\/p>\n

Bitcoin Gold was announced<\/a> on 26 July 2017 and the plan is to fork as of 25 October, with the full network launch being 1 November.<\/p>\n

Why do a Bitcoin fork instead of an altcoin? The hook is, of course, the promise of free money for existing Bitcoin holders. (A “dividend fork.”<\/a>) As I note in chapter 9<\/a> of the book<\/a>, altcoins “have a much simpler value proposition: you might get rich too if you start your own magical Internet money!”<\/p>\n

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SegWit2x and the backlash<\/b><\/p>\n

There’s no reason there can’t be endless Bitcoin “dividend forks,” just as there are endless altcoins and ICOs. SegWit2x<\/a> still plans, per the New York Agreement<\/a>, to fork in November. It will likely become a\u00a0fourth<\/em> full-history Bitcoin fork \u2014 but there’s a non-negligible possibility<\/a> that it could take over as the main Bitcoin, given it has substantial miner support, even if the rest of the Bitcoin ecosystem doesn’t seem to be all that thrilled<\/a>.<\/p>\n

Bitcoin core developers and supporters have objected strenuously \u2014 supporters making claims such as:<\/p>\n