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.


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,...

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...

NULS main net wallet upgrade

6 Apr 2020 1 minute read 0 comments NULS

  To NULS Community, NULS team plans to complete the main net wallet upgrade V2.5.0 at 3:00 PM April 6, 2020, Singapore Time or 07 00 AM UTC. This version will improve the consensus node delegation mechanism and network stability, also, it will avoi...

Ethereum 2.0 Explained and How Elastos Project Has Already Solved Several Issues

1 Apr 2020 3 minute read 0 comments PNin

Ethereum 2.0.  In 2017, cryptokittes was launched on the Ethereum network; it caused massive congestion issues. The Ethereum blockchain was not able to handle all of the transactions that flooded the network, gas prices skyrocketed, and the network...

Why Algorand Is Your Number One Solution For Staking

30 Mar 2020 1 minute read 0 comments Sapphire

The Algorand Blockchain Enters The Limelight The last few months have seen Algorand release one staggering accomplishment after another. Though I suspect many would not consider the SOV building their national digital currency using Algorand technolo...

Is Bitcoin 2 the new Bitcoin

28 Mar 2020 1 minute read 0 comments Cooldudue

I believe the best way to reach an evaluation of bitcoin 2 is to compare it to the OG bitcoin since bitcoin 2 claims to be the best bitcoin alternative. Both cryptocurrencies have the same maximum supply of 21 million. On 5 February 2018 bitcoin 2 fo...

Supernode Proof of Stake, the Next Generation of PoS

24 Mar 2020 10 minute read 0 comments falconite

One of the most important aspects of any blockchain network is the consensus algorithm that is used to validate transactions. In centralized systems like Visa and MasterCard, transactions are verified by a host of authorities. On the other hand, in a...

Proof-of-Stake (PoS) Consensus Mechanism Review

24 Mar 2020 6 minute read 1 comment Changelly

Proof-of-Stake (PoS) Consensus Mechanism Review It’s not a secret that blockchains are based on certain algorithms of consensus to enable transactions and data exchange. Bitcoin was the pioneer in the sphere with the proof-of-work mechanism, but it’s...