Solarcoin is a great example of this.
Of what? "Decentralized" cryptocurrency?
Topic: I'm missing something about PoS (Read 396 times)
Of what? "Decentralized" cryptocurrency?
Solarcoin is a great example of this.
It's simple the amount of coin you have there is your real hash, you use that to generate other coin, which can be added to your hashpower and generate even more coins, but it has a bad initial distribution due to the fact that the dev need a good amount of coin early to distribute to the people, but because of this he can also use that to generate a large amount of coins and dump them on exchange
How exactly does a bunch of people locking their coins up in storage for staking power the coins network in the absence of mining?
Whenever I look up PoS it is always some dandy article about how whales can invest their capital and collect interest out of thin air and it never explains how the coin can operate without any miners left to power the blockchain. What am I missing here?
Whenever I look up PoS it is always some dandy article about how whales can invest their capital and collect interest out of thin air and it never explains how the coin can operate without any miners left to power the blockchain. What am I missing here?
Thing that confuse you is, that you think that computer power in PoW is runing PoW blockchains. It does not computer power in PoW only calculates and solves blocks. Same as stacking does in PoS.
Nor PoW blockchain nor PoS blockchain could not run with internet and your computer run by electricity.
PoS coins basically mine themselves, instead of conventional mining, it asks participants to prove ownership of their “stake,”. The more coins they can prove in their stake, the more likely they are to sign the next block. This also saves computing power , but like the blockchain, you are not likely to sign a block unless you own a tremendous amount of the coin, as opposed to hash power.
How exactly does a bunch of people locking their coins up in storage for staking power the coins network in the absence of mining?
Whenever I look up PoS it is always some dandy article about how whales can invest their capital and collect interest out of thin air and it never explains how the coin can operate without any miners left to power the blockchain. What am I missing here?
Whenever I look up PoS it is always some dandy article about how whales can invest their capital and collect interest out of thin air and it never explains how the coin can operate without any miners left to power the blockchain. What am I missing here?
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