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.


Top 3 Bullish Facts about Ethereum (ETH) for 2020 and Beyond

4 Feb 2020 5 minute read 17 comments CryptoSorted

If you’re bullish on ETH then this is a time to be more bullish as ETH will be smashing new ATHs in 2020 and the rest of the decade. Ethereum has made more impact on the cryptocurrency space (in terms of contribution to the overall development of the...

I exchanged my BAT for XTZ last week, here's why.

3 Feb 2020 1 minute read 2 comments CryptoChopATL

I will begin by saying I am new to crypto (within the last 6 months) so do not take this as financial advice.  I was just holding a large amount of BAT waiting for a jump, and then I heard about XTZ last week and began my research on it.  The charts...

Best proof of stake coins to stake for massive profits.

31 Jan 2020 2 minute read 10 comments MadMaxx

Proof of stake is one of the best ways to get free money just by owning a coin. I personally stake Tezos in the Trust wallet, but there are other coins you can stake to get a profit  Staking is simply the "donating" of your coins for the development...

Tezos: a selection of exiting additions to look forward to in 2020.

27 Jan 2020 1 minute read 5 comments Allen Walters

LPoS staking rewards and the billions of $value of STO's that are announced to be launched on Tezos are things that get a lot of attention of people that speak and write about Tezos. But there is a lot more to be exited about when speaking of Tezos....

Byzantine Fault Tolerance

26 Jan 2020 1 minute read 0 comments piotrillo

The problem of the Byzantine generals, also called problem of interactive consistency. This refers to a problem of consistency. It is about the task of making common and precise decisions in a network. The problem can best be described with a metapho...

9 of the Best Masternode Coins for Go Cryptowise: what are yours?

25 Jan 2020 1 minute read 0 comments DaniBom

I recently bumped into this nice article on gocryptowise about masternode coins; there are hundreds of masternode coins out, most with crazy high inflation that eventually after a bit make the price crash. In this article are considered serious procj...

Beware of masternodes!

20 Jan 2020 3 minute read 1 comment Jelly Fish

Recently I've seen an article talking about masternodes and their passive income (blessed be Robert Kiyosaki!) Accidently, the article was written by some masternode hosting service. But who cares? In any case, the little devils of that masternodes'...

Proof of Work (PoW) Vs Proof of Stake (PoS) Consensus Algorithm | An In-depth and Non-Technical Comparison

19 Jan 2020 10 minute read 0 comments CryptoSorted

The two most popular blockchain consensus algorithms -Proof of Work (PoW) and Proof of Stake (PoS). What are their basics, how do they work? Who invented them? What differentiates Pow and PoS and what do they have in common? Which one is more secure...

Proof-of-Work vs. Proof-of-Stake (what is the difference?)

17 Jan 2020 2 minute read 1 comment TrocProcLock

So each Cryptocurrency has one of two methods to verify transactions. Proof-of-Work and Proof-of-Stake. Proof-of-Work (PoW) was brought over to the money world by Hal Finney in 2004. And when Bitcoin was introduced in 2009 it was the first widely ad...

January 2020

15 Jan 2020 4 minute read 5 comments SpectreCoin

Welcome to the January 2020 Spectrecoin newsletter. As you all know, 2019 was a really challenging year in many ways for the crypto industry as a whole and in particular smaller projects. Spectrecoin however achieved some great things and made some r...