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.


Ethereum 2.0 & Staking: What Is At Stake?

19 Jul 2021 10 minute read 4 comments CryptoWise

A Comprehensiveness Guide To Staking On Ethereum 2.0 For Beginners! I feel: When people’s financial freedom is at stake, technology has to be made accountable and reliable. ETH 2.0 has a lot at stake with this 2.0 avatar Ethereum 2.0 has one key c...

Stake of the Cake

16 Jul 2021 8 minute read 0 comments Thumbs Up Finance 🇨🇦

Digging Into DeFi #2 Welcome back to my series on decentralized finance (aka DeFi) for beginners. In the last post we looked at Bitcoin and I explained how you can get started with the original blockchain and it's increasingly popular currency of the...

Tezos, why I am super BULLISH !!!

22 Jul 2021 6 minute read 0 comments mattbesancon1

Tezos is here to stay ! Ok guys, in today's post, let's review this gem because it clearly is here to stay ! I know, i know, everything has been said about it already, but i truly believe that the best is yet to come, and here is why.   QUICK OVERVIE...

How to stake your ATOM and earn 9%+ APY - step by step guide

21 May 2021 5 minute read 1 comment lukasz_d

Cosmos calls itself 'the internet of blockchains'. It's goal is to connect sovereing blockchains so that they can scale and communicate with each other. Thanks to tools like Tendermint, developers are able to quickly deploy new projects on the networ...

Cake DeFi Goes for Gold || Cake DeFi's Olympic Bake-Off Promotion.

19 hours ago 1 minute read 0 comments FreedomBuilder

  🏦 DFI Token is Already listed on Coinmarketcap in many good Exchanges like Kucoin, Bittrex & Latoken. 🎁 Total Reward: Receive $50 in DFI for an easy Sign up, verified identity & a minimum deposit of $50.🔶 If you want, you can put $100 in total to s...

Ethereum's TX Fee Burning EIP-1559 Is Coming

21 Jun 2021 4 minute read 1 comment MintDice.com

The cryptocurrency world is constantly changing. New technologies are being released while others are being updated and transforming into something new. And one of the biggest changes coming up is within the Ethereum network, and it is known as EIP 1...

Traditional POS, Lending Or DeFi?

13 Jun 2021 3 minute read 4 comments Sapphire

Proof Of Stake When the previous bear market began to heat up in 2018, I began to think beyond the entry level economics of buy low, sell high. One of the methods I came up with was staking proof of stake coins. Something you need to be aware of, a l...

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...

How to pick a Polygon Validator

9 May 2021 4 minute read 5 comments AlgoRhythm

Hi All! I've seen many question on the Polygon discord about how to pick a validator and what to look for. I'm here to let you know all the numbers you can look at and what to consider when choosing a validator to delegate to. Above we have the main...

Cryptocurrency Staking Explained

19 Jun 2021 1 minute read 2 comments Defiant Pathfinder

Staking is when you lockup your crypto assets for a certain period and get rewards in returns it can either be Annual Percentage Yield (APY) and you get compound interest in this or it can either be Annual Percentage Rate (APR), e.g you can stake NOW...