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.


Proof-of-work vs. Proof-of-stake

11 Mar 2021 2 minute read 1 comment cryptoworldd

  If you keep up with the news in the crypto community, you might have heard about Ethereum's plans to switch from PoW to PoS. Some miners are even planning to 51% attack the Ethereum blockchain to punish, the developers. But what do all these terms...

Data Science of Binance Smart Chain (BSC) vs Ethereum (ETH)

27 Feb 2021 4 minute read 0 comments quantdoge

Blockchain Architectures of BSC and ETH Ethereum is currently having the second-largest market capitalization after Bitcoin (BTC). As opposed to Bitcoin blockchain which serves solely as a store of value and peer-to-peer decentralized payment system,...

Why aren't Stacker more excited to participate in Ethereum 2.0?

22 Feb 2021 2 minute read 2 comments Shahjad Mohammad

Since there is no possibility of any strategy for quick exit in the event of sudden price fluctuations in any way, the stacker is not much inclined to stake its stake on Ethereum. This is also one of the most important reasons for this. In Eth2.0, th...

50% interest rate on USDT

19 Feb 2021 1 minute read 0 comments Jelly

Was checking my waves wallet after a long time and found some new investment plans waves interduced. Although 50% looks unbelievable but waves platform has a good reputation and a good user base with a nice exchange. So lets get to the point, how to...

What you should know about staking

18 Feb 2021 3 minute read 0 comments sunie

Questions that will be answered in this post:  What is staking and how is it done (with a focus on Ethereum)? How to get started (with Ethereum)? What is staking and how is it done on Ethereum? To lay the foundations on what is staking, you should...

Ethereum 2.0 will not eat away your Ethereum for Gas. what you need to know

16 Feb 2021 6 minute read 26 comments LiquidAttic

Yes this is a reminder to anyone who is tired of paying high fees in Ethereum to the miners. Ethereum has been on the rise lately, which is why Ethereum fees are also rising. These fees are rising to unprecedented levels and this makes no sense. For...

STAKECUBE, THE BEST WALLET !!!

15 Feb 2021 1 minute read 0 comments Criptoman

I present you a website where we can do staking with our own cryptocurrencies in our wallet. We can get rewards by keeping our cryptocurrencies in the wallet or even participate in the masternodes that are within them.The great advantage of this wall...

#3 how to set up a 3rd party wallet on the Piggy

13 Feb 2021 2 minute read 0 comments Onat_42

Hello everybody, welcome back on my Blog. Today I want to show you how you can even further increase your passive income. Use your vPiggy to stake other coins as well - just care if you want to mine as well (as Id recommend) you should only let 2 wal...

Staking ALGO: Comparing Wallets Yield

11 Feb 2021 2 minute read 9 comments renangeographia

Hello everyone who follows the blog! In today's post I will start a comparison so that I will update weekly the progress so that you can follow the best possibilities when investing in assets that are Participation Proof, or in the case of Algorand (...

What Is Staking?

11 Feb 2021 1 minute read 0 comments chris04

What is staking? Staking is the act of blocking cryptocurrencies to receive rewards and simultaneously contribute to the security of the blockchain. In most cases it is possible to staking your cryptocurrencies directly from your crypto wallet, perso...