"Bitcoin Gold" And Other Bitcoin Forks
What is Bitcoin Gold?
Bitcoin Gold or Bgold is a fork by a group of people that want to take bitcoin and change the rules after block 491,406 is mined (happening around 24th oct 2017). Once this happens, the new rule set will start a new chain with the same history up to block 491,406, anyone that had bitcoin on the legacy chain will also have the private keys for the chain that is splitting off called Bgold.
What is special about this fork
The Bgold team will be pre-mining 100,000 Bgold coins to be used by the Dev team before releasing the software to the public. This pre-mine will mean that the new Bgold network will be inaccessible for a few days by users. It is intended to become accessible after the dev team release their core software.
Is Vaultoro going to support BGold (Bitcoin Gold)?
As Vaultoro grows as a service we want all our clients to have access to any benefits hard forks have. Our number one priority is our clients funds safety and security. If we choose to support a new blockchain asset, we have to not only thoroughly audit the software code ourselves but have the open source community also vetting it over a period of time.
At the moment it is not possible for Vaultoro to support Bgold, due to the fact that for our platform to accept a new blockchain asset a few other services like bitpay also need to support it. Not only that, the developers have not made the code available for review so we will not be able to audit or review the code.
Vaultoro's main priority at this time will be to support Bcash (bitcoin cash) as well as keep an eye on the consensus around the x2 fork that is scheduled to fork into existence around November the 24th 2017. If new networks prove themselves to be useful and secure, Vaultoro may decide to support that asset at a later date.
Once Bgold or any other fork in the future has been split from the bitcoin network, the keys to these new assets will remain securely stored by Vaultoro.
At the time of a fork, Vaultoro will snapshot every member's bitcoin holdings and if Vaultoro decides to support Bgold or any future altcoin released via a fork of bitcoin, customers will be able to withdraw the altcoin associated with their Vaultoro Bitcoin balances at the time of the snapshot.
What actions do I need to take?
Moving forward we feel that forks will happen more and more frequently as it is an easier way to launch an altcoin. We recommend our clients that if there is a fork happening that you find interesting then please withdraw your bitcoin and hold the private keys for the time of the fork so you may have access to the forked coins as soon as you like.
If you decide to leave your existing Bitcoin funds on Vaultoro, your funds will remain safe as always. We will continue to monitor the development of forked coins and if any network proves useful and secure, Vaultoro could decide to support it at a later date.
Will Vaultoro users see any downtime?
It depends. Forks like Bgold will not have any delays but forks designed to upgrade bitcoin itself could. We will always let our clients know as much time ahead as possible of any disruptions.
We might halt bitcoin transactions during the x2 hard fork but we are still assessing in this case. Safety of client's funds has top priority.
What will happen to the bitcoin network from all these forks?
In 2015/16 we saw the year of altcoins, 2017 was the year of the ICO's and 2018 looks to become the year of the fork. We believe that it's a good thing, as people will hold bitcoin to get access to the new altcoins. Forking looks to be a better way of focusing value on 1 chain (bitcoin) but it comes with the risk of consumer confusion and risk of greedy people exploiting the technology. But essentially its an integral part of the voting system behind bitcoin by mining or running a full node in the chain you like.
Gold is the perfect private asset-based hedge against fork ups, pardon the pun.