Bitcoin Gold (BTG) plans to hard fork the Bitcoin on October 25, making another version of bitcoin simultaneously. In other words, Bitcoin will split in a hard fork resulting a new chain. The plans for hard fork was first made public back in July by Jack Liao, founder of Lightning ASIC, a mining firm from Hong Kong. The fork will incorporate the selection of new protocol that will change a portion of the consensus mechanism for bitcoin. The outcome is that miners would have the capacity to approach digging for tokens in new ways.
Bitcoin Gold will make use of the Equihash algorithm that Zcash uses, rather than Bitcoin’s SHA256 algorithm. It would also mean for you that you would have to no longer mine it with ASICs and go back to GPU mining.
What does that mean for you
If you own Bitcoin at 25 October, you will still have your Bitcoins after the hard fork, but you will also get Bitcoin Gold. The hard fork is a good opportunity to increase the value of your Bitcoins. However, you can expect the Bitcoin price to drop a few days before the hard fork it could be the reverse too. A lot of people would want to get a hold on a few Bitcoin Gold for free.
You will receive your Bitcoin Gold at a 1:1 proportion in Bitcoin Gold upheld wallets. Just make sure you hold the private keys to the wallet you use.
If you want to exchange your Bitcoins before the hard fork, you should do it as early as possible. If you want to buy more Bitcoin, you should wait until right before the fork when the price is low. Because it seems that Bitcoin will enjoy the upward trend for a while. The risk/reward favors the short side her for a while.
For more on Hard Fork Visit: https://steemit.com/bitcoin/@ghayas/what-is-bitcoin-fork-how-does-it-affects-the-network-hard-fork-and-soft-fork
