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.


Tezos now has over 50,000 active delegators!

17 Jun 2020 2 minute read 1 comment Allen Walters

Delegators are holders of XTZ that join the PoS system that secures Tezos. The amount of active delegators has just reached + 50,000. A great milestone.  Short recap of Tezos' Proof of Stake model: blockchains that use the Proof of Stake consensus al...

Cosmos Staking is for the Serious HODLer

16 Jun 2020 2 minute read 0 comments AlgoRhythm

I began my crypto journey in 2014 like many: buying Bitcoin and selling it for a decent profit at the time, only to realize I knew nothing about the reward of HODLing until watching all the lost profit of late-2017 while my BTC wallet sat at 0. After...

Get Ready! Ethereum 2.0 is Coming!

16 Jun 2020 2 minute read 0 comments PhoenixDev

Although it has already been delayed for some time, the release of Ethereum 2.0 may be near. Although initially projected for January 2020, error and vulnerability detection and correction is taking a long time. But on June 10, the company Prismatic...

What is the AWC token anyway? Its like Binance coin ongly different!

16 Jun 2020 3 minute read 8 comments LiquidAttic

The AWC token  The token AWC establishes itself as the first token issued by a decentralized cryptocurrency wallet. I must say that this has aroused my interest. Looking at the potential growth, this token is only at the beginning of its journey. At...

Staking Crypto – Strategy to make Millions!

13 Jun 2020 3 minute read 19 comments SamBTC

If you have read my previous posts you would have found a common theme that is I am a hardcore Bitcoin maximalist. I firmly believe BTC is the king of crypto and will continue to be the leader for decades to come. I had however been looking for some...

Atomic Wallet - When the stakes are high

12 Jun 2020 2 minute read 0 comments Virendar

By now almost everyone has heard of Proof Of Stake (POS) tokens, and just like every other investment it is vital that we understand what we are getting in to, that's why I aim to tell you how easy it is to stake coins with Atomic Wallet in addition...

Top 5 Crypto Staking Pools In 2020

11 Jun 2020 4 minute read 21 comments Absolute Unit

Staking has quickly become one of the most sought after features in most coins out there, as evidenced by ETH's massive increase in staking eligible wallets with their announcement of ETH 2.0. As long as the price of the coin remains fairly stable, s...

Max supply: an overrated quality

9 Jun 2020 3 minute read 0 comments Allen Walters

Investing in cryptocurrency means doing a good amount of research on potential projects. There are many factors to considder and some factors are more important than others. One of the factors that pops up in many discussions is, the question "does t...

Magi Coin (XMG) Mining and Staking on Libre La Frite

6 Jun 2020 3 minute read 0 comments cryptoddy

This is a guide on how I managed to do mining on Magi Coin (XMG) on La Frite, a single board computer by Libre Computer. This coin mining is not a get rich solution, rather it is a good experience on how crypto mining works. Coin Magi (XMG) is a CPU...

Top 5 Staking Coins in 2020

3 Jun 2020 1 minute read 0 comments Diviner

With Proof of Stake becoming more and more common, staking has become more popular than ever. Here are my top 5 coins that you can stake and earn passive income with in 2020. 5. Icon (ICX) Icon is a blockchain network dedicated to connecting differe...