Proof of Stake (PoS) - News, Opinion & and Analysis

Proof of Stake (PoS)

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Proof of stake (PoS) is a type of consensus algorithm used by a public blockchain network to achieve distributed consensys. It is an alternative to the widely known Proof of Work (PoW) consensus algorithm used by Bitcoin and other cryptocurrencies. 

PoS was initially introduced in 2011 on the Bitcointalk forum to solve problems faced by the popular PoW algorithm. In 2012, a cryptocurrency named Peercoin was the first to implement the new consensus algorithm. Since then, a number of leading cryptocurrencies have adopted PoS including NEO, EOS, Cosmos, Waves, Tron, and others. Ethereum is also migrating to a PoS consensus algorithm with its upcoming Casper implementation.

The main advantages of PoS over PoW are energy efficiency, security, reduced centralization risks, new economic penalties to prevent various attacks, and the issuance of new coins can be reduced because participants are incentivised to stake coins to participate in the network rather than mine them. 

In PoS-based public blockchains, new blocks are forged or minted rather than mined like in PoW. The new blocks are minted from a set of validators who lock up their cryptocurrency into a deposit. Validators then receive a reward for staking their tokens and minting new blocks and validators with a larger stake receive more rewards. Therefore, individuals are incentivized to partake in the system. 

While PoS presents various advantages over PoW, it is not without downfalls. Some experts argue that PoS is not ideal for a distributed consensus algorithm, claiming there is a "nothing-at-stake" problem. However, there are different solutions that various projects are working on and implementing to combat issues surrounding PoS.

In this tag you can discover proof of stake (PoS) news, cryptos, opinions and analysis created by knowledgeable individuals on the matter.

Cake DeFi Goes for Gold || Cake DeFi's Olympic Bake-Off Promotion.

19 hours ago 1 minute read 0 comments FreedomBuilder

  🏦 DFI Token is Already listed on Coinmarketcap in many good Exchanges like Kucoin, Bittrex & Latoken. 🎁 Total Reward: Receive $50 in DFI for an easy Sign up, verified identity & a minimum deposit of $50.🔶 If you want, you can put $100 in total to s...

Tezos, why I am super BULLISH !!!

22 Jul 2021 6 minute read 0 comments mattbesancon1

Tezos is here to stay ! Ok guys, in today's post, let's review this gem because it clearly is here to stay ! I know, i know, everything has been said about it already, but i truly believe that the best is yet to come, and here is why.   QUICK OVERVIE...

Ethereum 2.0 & Staking: What Is At Stake?

19 Jul 2021 10 minute read 4 comments CryptoWise

A Comprehensiveness Guide To Staking On Ethereum 2.0 For Beginners! I feel: When people’s financial freedom is at stake, technology has to be made accountable and reliable. ETH 2.0 has a lot at stake with this 2.0 avatar Ethereum 2.0 has one key c...

Stake of the Cake

16 Jul 2021 8 minute read 0 comments Thumbs Up Finance 🇨🇦

Digging Into DeFi #2 Welcome back to my series on decentralized finance (aka DeFi) for beginners. In the last post we looked at Bitcoin and I explained how you can get started with the original blockchain and it's increasingly popular currency of the...

Have you just discovered Cardano? Proof of stake

14 Jul 2021 2 minute read 2 comments poimandres

  Proof of stake (PoS) is a type of consensus mechanism or protocol that uses the amount of stake (or value) held in the system to determine consensus. In essence, a consensus protocol is what controls the laws and parameters that govern the behavio...

What Is Proof Of Stake Consensus & How Does It Works(Updated)?

7 Jul 2021 7 minute read 2 comments CryptoWise

  I Feel: “When technology encourages a mechanism where users also become an inclusive part of its day to day functioning and has a very stronger stay, the world is bound to become a beautiful place to live and grow exponentially ” One such powerful...

Netbox Browser - Browse The Web And Get Rewarded!, The First Decentralized Browser!

30 Jun 2021 4 minute read 0 comments ralleeee12

Netbox Browser - Decentralized and Rewarding   What Is Netbox Browser? The first decentralized browser is here and named Netbox Browser, It's not only decentralized but rewarding to!. You'll get rewarded for browsing the web in Netbox coins (NBX) the...

Opportunities And Challenges With Staking Derivatives

27 Jun 2021 2 minute read 2 comments RitabeII

With the glaring pitfalls of proof of work (PoW) consensus – high energy costs and others – which open-source blockchains, like Ethereum depend on towards safeguarding the chain against economic attacks, there has been a gradual transition to the les...

NIMIQ - June 2021 Progress

27 Jun 2021 1 minute read 0 comments Cappex

Hi guys, it has been very volatile months in crypto and after the euphoria of the months of April and May we have seen a very heavy correction. Bitcoin has lost more than 50% from its ATH and as often happens many altcoins have followed this trend. H...

Ethereum's TX Fee Burning EIP-1559 Is Coming

21 Jun 2021 4 minute read 1 comment

The cryptocurrency world is constantly changing. New technologies are being released while others are being updated and transforming into something new. And one of the biggest changes coming up is within the Ethereum network, and it is known as EIP 1...