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.


Ethereum 2.0 will not eat away your Ethereum for Gas. what you need to know

16 Feb 2021 6 minute read 26 comments LiquidAttic

Yes this is a reminder to anyone who is tired of paying high fees in Ethereum to the miners. Ethereum has been on the rise lately, which is why Ethereum fees are also rising. These fees are rising to unprecedented levels and this makes no sense. For...

Polygon (MATIC) Explained

25 May 2021 6 minute read 15 comments RelyOnCrypto

The project was previously called Matic or Matic Network before the rebranding to Polygon. Matic was founded in 2017 by three founders who were prominent members of the Indian cryptocurrency community and decided to join forces to address Ethereum sc...

Algorand (ALGO): Decentralized & Fast Smart Contracts

16 Jun 2021 4 minute read 5 comments MintDice.com

When it comes to cryptocurrencies, there are a few major issues facing the technology. And the main one is that it is nearly impossible to have full decentralization along with full security and full scalability. All one has to do is look at the scal...

TOP 5 Staking Coins 2020

6 Apr 2020 3 minute read 45 comments Cryptonator`s

Coin staking has become an attractive alternative to trading for many crypto investors. Yes, I`m a huge fan of coin staking and I believe that you love it too. That`s why I decided to write this post about it. So here they are, my personal TOP 5 stak...

PoS- A PoS? - Staking- The Claim of Decentralized Consensus and Reward Distribution, Unrealized. The TK fix

1 Nov 2020 9 minute read 9 comments Thunderboltkid

Witness EOS, Where 11 wallets control most of the wealth within that  crypto "Ecosystem' Earning rewards every Epoch. Not good. Is there a better, improved way to Stake (Proof of Stake) and earn rewards for providing Consensus services  to settle tr...

Top Things You Should Know About Cardano (ADA)

15 Apr 2020 12 minute read 28 comments MuyAsk

Hey guys :) I’m back with yet another comprehensive list of questions and answers, this time for the popular and highly anticipated decentralized blockchain and smart contract platform – Cardano (ADA).  This piece lays everything out on the line so t...

Why I strongly believe in ALGO and its PPoS?

24 Nov 2020 1 minute read 19 comments MikeZillo

Algorand Foundation Ltd is incorporated in Singapore and was founded in 2017 by the Italian inventor Silvio Micali. Algorand uses a PPoS (Pure Proof of Stake) protocol where the influence of each user on the choice of a new block is proportional to h...

Staking Crypto – Strategy to make Millions!

13 Jun 2020 3 minute read 19 comments SamBTC

If you have read my previous posts you would have found a common theme that is I am a hardcore Bitcoin maximalist. I firmly believe BTC is the king of crypto and will continue to be the leader for decades to come. I had however been looking for some...

Top 5 Crypto Staking Pools In 2020

11 Jun 2020 4 minute read 21 comments Absolute Unit

Staking has quickly become one of the most sought after features in most coins out there, as evidenced by ETH's massive increase in staking eligible wallets with their announcement of ETH 2.0. As long as the price of the coin remains fairly stable, s...

Vitalik Sheds Light On ETH 2.0 Development Focus, Benefits and Much More in AMA

19 Nov 2020 1 minute read 10 comments Abhimanyu Krishnan

Vitalik Buterin was part of an Ethereum Foundation Reddit AMA conducted on Nov. 17, and provided a lot of insight into ETH 2.0, including how quickly users would see the benefits. The special Phase 0 Genesis Edition of the AMA invited a lot of of qu...