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.


I Read The Cardano Whitepaper(s). This Is What I Learned.

2 hours ago 5 minute read SkinnerCrypto

I hear LOTS of people talk about Cardano. Surprisingly, I haven't even touched anything related to it until today and I'm guessing that's because there's like, a GAJILLION different cryptos out there now. Sue me. I have a short attention span. It's f...

Best POS and Interest Site

2 days ago 1 minute read ionutzu97

Hello everyone! Today I will present one of the best poses that I use. This is Stakecube. Currently, 48 cryptocurrencies are listed on this site, but one is added each month. ABET,AEM,APR,ASAFE,BITB,BITG,BLOCK,BTC,COLX,DAPS,DASH,DC,DEV,DGB,DOGE,ESBC...

What is coin staking and how do you make money from it?

3 days ago 2 minute read Cryptonator`s Airdrop Hunt

Coin staking will become an attractive alternative to trading for many investors because it seems to be a safe haven. But how does staking work? What profits are possible and are there any risks? What is coin staking? Coin staking is basically a by-p...

Tezos XTZ Soars and What You Need To Know?

4 days ago 3 minute read TiddyBit

First we already know the market is reacting to this. People like you and I got in early while others are catching up and others still claiming scam as they are left behind just like Bitcoin and Ethereum did its watchers.... This is great right?   We...

Tezos (XTZ) to take on Ethereum (ETH) as number two Crypto?

4 days ago 2 minute read TiddyBit

Opinion: In recent days Tezos (XTZ) has taken many in the crypto world unexpectedly. With several gains and over shadowing many other coins it has many in the crypto world saying things from "SCAM COIN" to people trying to predict its demise. What is...