In the past, transactions have been normalized to be conducted through a middle-man, meaning it is a centralized system. Today, cryptocurrencies revol
In the past, transactions have been normalized to be conducted through a middle-man, meaning it is a centralized system. Today, cryptocurrencies revolutionize the financial system by redirecting any form of payment directly between the two holders. It is, as such, a decentralized system. Acting independently from a central bank. One of the more prominent and newer of these digital assets is Hacker Gold (HKG).
In recent events, HKG has raised its value upon being selected as the official currency token for the 2016 Hackathon platform, Ether Camp’s Virtual Accelerator. Hackathon events are gatherings for programmers and other project designers, where they meet up to collaborate on software projects and discuss new business initiatives. The Virtual Accelerator event democratizes opportunity for a number of groups, including entrepreneurs being given access to early funding for their projects through the investment in the digital currency, HKG.
Primarily, most participating teams in Virtual Accelerator events aim to create their own business beginnings. The hackathon platform makes this possible by providing the digital Hacker Gold token, where fans from over the world can invest in their preferred teams and thus claim voting rights on how these investments should be used in the very early stages of their favorite design initiatives.
Before the 2016 event, HKG was issued through a crowd-sale. Now, after this, entrepreneurs must purchase HKG on the open market in order to participate in other Virtual Accelerator hackathons. Hereon, the value of the HKG is decided through simple supply-and-demand logistics. As the HKG is the official token of the Virtual Accelerator platform, investing in entrepreneurs with the official token, therefore, also increases the resources available to the Hackathon platform as a whole, giving even more opportunity to aspiring businesses.
The vision for Ether Camp’s annual Virtual Accelerator Hackathons is to give any idea – or, more specifically, any great idea – the option to become a reality. By purchasing or acquiring HKG tokens, the individual in question is given more votes and thus, more power over investment. Crowd diligence is therefore an important principle for HKG, making it a truly decentralized currency. In spite of this diligence, however, the Russian-Canadian programmer, Vitalik Buterin, admits that one needs to be careful with administrating the votes through the HKG. “You wanna prevent things like people selling their votes to the highest bidder,” he says. “I think voting transparency is a good idea, but you need to be careful.”
In short, the stock value for Hacker Gold increases and decreases on a fixed, annual basis. Demand for the token increases significantly months before and during the Virtual Accelerator Hackathon. Meanwhile, in the intermediate time, the supply increases while the demand decreases, meaning the HKG loses value. In total, a whole 16.110.893 HKG circulates the market. More than 16 million coins which enables fans to cast their votes and support their favorite designs, giving aspiring or creative entrepreneurs the opportunity to further develop their technological projects.
On the importance of the HKG, Vitalik Buterin further comments: “I think the crypto-economical way of thinking is one of the major advancements that allows designer networks to work in open networks with open participation. Basically, economics is the way you have to motivate people, and this opens the door to applications that allows much wider sets of participations.”