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.


How To Stake POS Cryptocurrencies

19 Dec 2019 3 minute read arcanu

In the crypto sphere, all transactions need to get validated, that's the one thing every blockchain has in common. Until a while ago, the most common validation system was mining or 'Proof-of-Work' which is known to use huge amounts of electricity, a...

Where does the money come from on the blockchain?

31 Mar 2019 4 minute read connecteconomy

Unlike our traditional currencies, like Dollars, Euros, Yen, etc, cryptocurrencies are NOT issued by an authority like a central bank of a country. In the decentralized world of blockchain technology, money is being issued based on a set of rules and...

September 2019

3 Sep 2019 15 minute read SpectreCoin

Welcome to the September 2019 Spectrecoin newsletter, the first after a long summer break. There are some exciting development updates and a sneak peak into what we are working on. The team as always, works to improve the security of the wallet as we...

Guide: Staking Spectrecoin on a Raspberry Pi

19 Mar 2019 3 minute read SpectreCat

Staking Spectrecoin on your Raspberry Pi is really easy to set up. Just follow this guide and you can sit back and watch your Pi do the work for you!      — — — — — — — — Summary Flash the latest Raspi image from the official Spectrecoin Github onto...

Mining by Leasing Proof of Stake (LPoS) Waves

6 Aug 2019 3 minute read Thiago Capuano

We have already heard of the rewards received for acting to aid blockchain decentralization through block confirmations, especially the most well-known Proof of Work (PoW) and Proof of Stake (PoS). This article will cover the Waves Leasing Proof of S...

Blocknet coin: A proof of stake coin rewarding users and node service provider for securing the network and running blocknet DEX exchange

11 Oct 2019 5 minute read quintomudigo

      Blocknet coin is a native cryptocurrency of the block DEX platform  created on the blocknet blockchain network platform whose transaction takes place from one peer to another without involvement by the government thus is being considered to b...

Edgeless coin: A utility coin for gambling that rewards users for using their coins to fill the edgeless bankroll

8 Oct 2019 5 minute read quintomudigo

  Edgeless coin is a native cryptocurrency of the Edgeless casino  created on the Ethereum blockchain network platform whose transaction takes place from one peer to another without involvement by the government thus is being considered to be a dec...

Binance asking 0% fee over XTZ staking rewards. An issue?

9 Dec 2019 2 minute read Allen Walters

Tezos is a smart contract platform. The Tezos' blockchain uses a PoS consensus mechanism called LPoS. Holders of XTZ can bake or delegate their coins and earn PoS rewards. People running a node, are called bakers. People who don't want to run a node,...

Why should you opt for Staking?

11 Nov 2019 3 minute read ChrissCrypto

Good morning/evening, everyone! Today we live in a world where the Society is increasingly governed by cryptocurrencies, currently nearly 3000 different Cryptos are in use and increasingly used in our daily transactions Cryptocurrencies eliminate th...

wanchain coin: A proof of stake coin for allowing transfer of assets from other blockchain to wanchain blockchain

15 Oct 2019 5 minute read quintomudigo

  Wanchain coin is a native cryptocurrency of the wanchain blockchain platform that results from the ethereum folk code created on the wanchain blockchain network platform whose transaction takes place from one peer to another without involvement b...