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.


Proof of Stake: scam or no scam

17 Sep 2019 4 minute read 19 comments viraladmin

In yesterdays article 10 simple rules of avoiding cryptocurrency scams I had two comments, one from @beachbummer and one from @yanika, that both suggested Proof of Stake coins should be the exception to my rule "Never trust the words passive earnings...

Is Cardano (ADA) a Good Investment? In-depth Analysis and Near to Longer-Term Expectations

9 Dec 2019 6 minute read 13 comments CryptoBoomer

A lot of cryptocurrency projects have emerged since Ethereum showed the world that a blockchain network could be used for much more than payments. If Bitcoin was the king of cryptocurrencies, Ethereum and the countless altcoins that followed were the...

A response to the article: "Staking - centralization risk"

9 Mar 2020 4 minute read 1 comment Allen Walters

This is a response to the article "Staking - centralization risk". The Steem situation is a shitstorm. I'm not going to debate that much, besides the fact that I want to point out that: The fact that Justin could buy up Steemit and gain a large posi...

Is Algorand (ALGO) A Good Investment? In-depth Analysis and Near to Longer-Term Expectations

13 Jan 2020 10 minute read 25 comments CryptoBoomer

Next-generation blockchains are all the rage at the moment. Everyone wants a little bit of Bitcoin and Ethereum’s market shares, but the former two have such a head start and made such progress that it is not going to happen without some incredibly u...

Exciting times with Ethereum striding towards Ethereum (ETH) 2.0

20 Apr 2020 1 minute read 2 comments Greenchic

  Image Source Topaz Testnet launch for mainnet Ethereum (ETH) 2.0 roll out Ethereum is a hot and happening crypto reflected in its appreciated price value of late. This 2nd largest crypto by Market Cap has been in news for the successful launch of...

Passive Crypto income. Earn 1% a day. Start for free. NOT a ponzi or wallet scam

21 Apr 2020 1 minute read 0 comments unicorngirl

Yes you really can earn passive crypto income through staking.  Y,es you can start collecting free coins to get you started. This is not one of those fake "wallets" that promise decentralization and unsustainable returns. You don't need to refer anyo...

Staked Wallet, scam or legit?

20 Apr 2020 3 minute read 6 comments Pappura

  Hi everyone, I'm writing this because some days ago I've funded a link of this wallet and immediately think that that was impossible, but hey, that was for sure the max, so why not to try to download the app and see how it works for real. When I r...

Bitcoin moving to proof of stake?

14 Apr 2020 1 minute read 1 comment Nielsb

Bitcoin has been rumored to move to proof of stake, so why is that? Recently ethereum which is probably the most known cryptocurrency besides bitcoin has moved to PoS algorithm, and Niklas Nikolajsen (Founder of  Bitcoin Suisse, also predicts that af...

The Masternode Ecosystem – A Leading Innovation in Consensus Mechanisms

8 Apr 2020 4 minute read 2 comments Crypto Adventure

With the advent of Blockchain technology, came in all sorts of intricacies and technical aspects that began to be developed, debated, criticized and implemented. There isn’t a single protocol, feature or application that checks the list of any partic...

Stake : Everything you need to know about staking

8 Apr 2020 6 minute read 4 comments Creativeboy

Think of being able to mine without buying expensive hardware or doing any routine maintenance. This is about stepping cryptocurrency. So the potential way to make passive income in digital asset markets Have you heard about Stake cryptocurrency? Or...