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 MyCointainer Can Help You in this Pandemic

16 May 2020 4 minute read 2 comments ChrissCrypto

As the world are currently going through unprecedented times, it's important to maintain our financial freedom by using alternative instruments. After the coronavirus pandemic has taken its tool on global economy, the central banks from all over...

NULS Bimonthly Report - Second Half of April

7 May 2020 3 minute read 0 comments NULS

Technological Progress NDEX was tested within the NULS NTC,some testing and feedback were collected and improvements made. Nabox interface was optimized and modified, improving the response speed. NDEX explorer was in the testing phase. The first ro...

My intro to Masternodes

17 May 2020 4 minute read 1 comment PsklQc

Hi, let me introduce myself and what I pretend to do. I’m not a techy (if you are, please don’t read unless you want to laugh a little…) I’m just a normal guy with no particular skill with computer although with some background in finance. I’ve been...

An introduction to Tezos

10 Feb 2020 21 minute read 8 comments Allen Walters

Tezos main net has been up and running since the summer of 2018 without any major issues. In this period, Tezos' unique on-chain governance model, has since done what it was designed to do and took Tezos though multiple upgrade cycles, improving and...

INTRODUCING PZM CASH

20 Apr 2020 2 minute read 0 comments EbriDan

INTRODUCTION  PZM Cash is a cryptocurrency that makes use of the algorithm consensus of proof of Stake, as a medium of digital payment in a large ecosystem that keeps increasing and in so doing increases the total wealth available in the community....

Waves wallet exchange stake

16 May 2020 1 minute read 1 comment Argo19

  Earn 7.51% Annual Revenues 751.42734 USDis your rough annual income with staking, if you invest 10,000 USD.   Staking is the new way of depositing funds based on the blockchain economy   BANK DEPOSIT 0.1-1% interest in USD You give your money to...

Tezos Liquid Proof-of-Stake for dummies

1 Apr 2020 1 minute read 11 comments Baking Bad

Tezos staking algorithm Tezos blockchain has its own algorithm of consensus  - Liquid Proof-of-Stake. This is a kind of PoS with some nice features.  Typically, in Proof-of-Stake algorithms, such as Delegated PoS, the number of block validators is ti...

Staking MHC on Cex.io - 20% yearly earnings

15 Apr 2020 3 minute read 2 comments Call me Steven

Yup, you read it right, I wrote exactly what I meant to write. Trust me, I thought it sounded insane (or at the very least a bit far-fetched) when I read it at first too. But it turns out, it isn't. It's totally and completely legit. Enough foreplay,...

Staking Tezos for dummies

10 Apr 2020 2 minute read 6 comments Baking Bad

In Tezos community very often income newcomer questions, such as “I recently delegated and still haven't received any rewards”. It’s quite simple to start staking of purchased Tezos coins - go into the wallet, choose a delegate from the list and pres...

Passive & Green Income with Bitcoin Green

23 Jan 2019 3 minute read 5 comments ArcticSun

The ongoing electricity cost associated with running a mining rig on Bitcoin is often criticized for its energy guzzling requirements. Mining not just for Bitcoin but all other mineable altcoins, can be an ongoing challenge especially in a volatile o...