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.


More than 9 mln XTZ is in the staking balance with Deactivated Tezos bakers.

24 May 2020 1 minute read 1 comment Baking Bad

In Tezos there are cases when the validation node becomes "inactive" or "Deactivated" in the blockchain. It happens because the baker has changed the infrastructure with the baking address, or just decided to stop baking service. All people who deleg...

Algorand Beats Them All 🌟

24 May 2020 1 minute read 2 comments valuevision

Algorand advantages   PPoS (Pure Proof of Stake Technology) 1.000 TPS 5 seconds to settle nearly zero transaction fee immediate transaction finality   If you start staking, you don't need to delegate your stake. Get rewards simply by holding a bala...

Four coins with a modified proof-of-stake consensus

31 Aug 2019 2 minute read 0 comments tsakf

There are many different blockchain consensus for cryptocurrency. One of the widely known and used, is the proof-of-stake consensus. Human creativity is always here, and some coins, modified the proof of stake consensus, to fit their needs better. We...

Tezos (XTZ) staking rewards tracking

6 May 2020 2 minute read 1 comment Baking Bad

In our previous article (1, 2) we have reviewed the specifics of Tezos Staking. The next important step is to track payments, because rewards for staking are not automatically distributed in the protocol. There is a telegram bot that allows you not t...

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...

Can DPoS ever suffer a 51% attack?

11 Mar 2020 4 minute read 3 comments Mappo

In a previous post, we outlined why the flaws with proof of work (PoW) and proof of stake (PoS) led aelf to choose a different consensus model. The DPoS model aligns closely with our philosophy that the token holders should have the greatest r...

What is staking? How to earn by staking?

24 May 2020 2 minute read 0 comments tornadooo

Staking is a method of earning money by keeping crypto coins in your wallet for a certain period of time. It can be thought of as earning interest on bank deposits. However, unlike interest, it does not contain negative interest and you do not pay a...

Understanding Ethereum 2.0: Where are we on the timeline?

24 May 2020 2 minute read 1 comment Hem123

Ethereum 2.0 is one of the project which has been working since 2017.A vision of Ethereum in making a real supercomputer. And is one of the most long awaited scaling solution that will take the blockchain to proof of stake(POS) model. It was schedule...

Top Things You Should Know About Cardano (ADA)

15 Apr 2020 12 minute read 27 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...

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...