Wow, after reading about how PoS and forging works in NXT, I think POI is a much better idea. I don't have a mountain of NXT so there really isn't much of an incentive for me to leave the server portion running. To me, the more people that contribute to the network the more secure it is (decentralization), and as the currency dilutes, more people will be in the same position. More people will hoard to create stake and that defeats the point of a currencies fluidness. If you want to use the currency as a store of wealth (gold, you don't transact in it, just keep it for stability), fine. But, for a "fiat" to succeed by its' very nature, a lot of people need to want and use it.
Maybe I don't fully understand PoS, but this just doesn't feel all that terrific. Still, better than PoW I think...
Also, on the one hand, I like the idea that perhaps increasing one's node(s) with infrastructure results in a direct benefit (like adding infrastructure to a utility and increasing customer base). If I want to be a big participant I can do it on my own dime for fun and it benefits the network. On the other hand, it seems like it might encourage centralization again if folks wanted to build huge node farms then we are back to ASIC farm dangers again. So it is almost like you need some sort of "difficulty" co-efficient like in mining where the participating nodes have scale to a point and then diminishing returns. I have no idea how you'd enforce that as any method I can think of easily bypassed (by IP? by client ID?, etc.)
Enlighten me if you know better. I'll need to pour over the NEM POI docs.
(This may be offtopic so feel free to ignore)
In NXT to don't secure the network when you forge with a small NXT balance, that is why you don't get any rewards. If you run a node with few NXT you "stabilize" the network, but for security purposes you don't add anything. That is the reason why the Balanceforging/Totalbalanceforging blockforgingchance was introduced. This can't be exploited. If the POI can be exploitet is yet to be seen.
