Topic: Really need to undersand proof of state. (Read 336 times)

Instead of nodes competing with each other to solve hashes, in Proof of Stake, blocks are “minted” or “forged” (there is no “mining” so we don’t use that word in Proof of Stake) based on the amount of tokens each node is willing to put up as collateral.The more tokens each validator (node) is willing to put up as collateral, the greater the chance they have to forge the next block and receive a reward.

Proof of work: Where you need to set up some miners (hardware) to generate the computational power it takes to mine (produce) new coins.

Proof of stake: A fixed % is set for a specific period of time for which a miner (specifically coin owner) needs to keep their coins in that wallet to generate more coins during the given time frame. The generated coins on all the addresses are the mined (minted) coins (adding up themselves to the current circulating supply) for that specific timeline that carries on till the total supply is reached. This is how PoS rewarding system works. For more on this, read this article: https://blockgeeks.com/guides/proof-of-work-vs-proof-of-stake/

Well, the name pretty much tells it already.
Proof of Work relies on work to be done in order to secure the network (an attacker needs lots of work to attack the network).
Proof of Stake relies on money/value to be staked in order to secure the network (an attacker needs to stake a lot of money/value to attack the network).

thanks mate, i have just one qustion
what deference bitween proof of work and proof of stake?, thanks first 

As far as I know ETH's shift from PoW to PoS will take place by means of a "difficulty bomb". That is, miners will be driven off their blockchain by increasing mining difficulty beyond profitability once ETH's PoS scheme is ready. I'm not really up-to-date though, so their plans may already look different by now.

I am really confused about how the shift will occur from PoW to PoS for Etherium.
How will it effect Miners and how will it effect people who have ether?
I am also concerned about the integrity of the entire thing.

As mentioned before, if you really want to do a Great project, you will need more people. If you want to learn it and write a cryptocurrency with PoS that's fine, you can since your dev, just learn it. The thing is, if you don't nothing, it will take some time (more if your alone - thats fine if its for learning purpose), but the thing is if you want to do a nice project you will need more people, more devs, because a good project not only consists of coding, there are a lot of other factors to make a great project.

So, if it's for learning purpose, do it, learn stuff, code it... But if you want to create a project like this alone this will be very disappointing and impossible for you.

It is not trash talk, Eth PoS (Casper) is not the standard PoS.

You think it will be better , doubt it, as of right now they still have not even implemented it.
So considering it is buggy untested code , why would anyone study it when the true PoS code has been running for years and can be used now.

No telling how long before Casper is running on ETH or what problems their changes will cause.
Plus they are going to keep running PoW alongside casper for the foreseeable future as they don't even trust their own code.


FYI:
https://www.google.com/search?q=peercoin+proof+of+Stake+explained&ie=utf-8&oe=utf-8
https://github.com/peercoin/peercoin

Just post the link where sunny king published his wiki of his own POS so OP can learn about it. you don't have to trash talk the ETH version of POS. its thier way so they also do not care about Sunny kind's version. But consider OP wants to learn it as well. I have no idea the difference between Sunny's and ETH but  I'm confident ETH's POS may not be the original but its better.

But do you not believe that a cryptocurrency that is expensive to produce, expensive to attack, and expensive to make rule changes is the only one that can be considered truly scarce?

Provable scarcity = value.


It is not totally ignored. Do not say it like no one cared. There are those who do, maybe except Jihan Wu. Hahaha.

Yo Dum Dum,  Sunny King invented Proof of Stake and used it in peercoin.

It is the original , so it is the one that should be studied first.
All the others derive from his original work and originally he combined PoW & PoS.

Eth is going to do some weird crap using their smart contract design to fake Proof of stake , it will not be like the true proof of stake design created by Sunny King ,
but something else. Which unless you are wanting to follow ethereum folly of smart contracts that are NOT recognized in any court system in the world then you ignore his coin's bullshit as it is over bloated wasteful code and will eventually be crushed under it's own weight.

https://hackernoon.com/the-ethereum-blockchain-size-has-exceeded-1tb-and-yes-its-an-issue-2b650b5f4f62

FYI:
Ethereum biggest weakness is it's blockchain is growing exponentially.
Bitcoin biggest weakness is its energy requirements are growing exponentially.
Both Major issues totally ignored by their communities.

How do you come to the conclusion?

OP was asking for sources to understand PoS. And the ethereum wiki is one of the best places where PoS is explained pretty detailed.
Calling it 'not worth the time' is just overstated.




OP was asking for PoS, not for any shitcoin utilizing a PoW/PoS hybrid.

Ethereum version of Proof of Stake will be like Frankenstein's PoS monster,
not really worth your time , unless you wanted bloated confused code running a Bastardization of proof of stake.

Study Peercoin design as it is a hybrid of both PoW & PoS created by Sunny King.
Then Study Rat4's Blackcoin Proof of Stake only project.
Rat4's code is pretty rock solid.

The link Bob mentioned is Very good, I learned from there..

If there's a disagreement like you suggested the 49% will lose their stake. It's like a bet.

One important thing is that when you stake your coins they are going to be hold until the network reaches the consensus. If someone is trying to cheat (creating an disagreement) they will lose their stake.

It's similar to the mining process in pow.
If you mine a block with glass transactions you will lose your work (electricity)

If you just started to learn about consensus algorithms and decentralized projects itself, chances are high your project will contain massive bugs and will be worthless.
If you are really serious about developing a proper project, get a team of a few developer to build proper software.




You can take a look at the github repository of ethereum. Proof of stake is pretty detailed explained in the FAQ: https://github.com/ethereum/wiki/wiki/Proof-of-Stake-FAQs

I am the developer myself. I mean proof of stake yes. I just wanted deepl explanation and how everything is related.That's why I asked.

With PoS you are probably refering to Proof of Stake ?

In PoW miner try to generate a valid block (whose hash is below a specific value (determined by the difficulty)).
The first to generate a valid block can publish it.

In PoS the stake does determine who will be chosen to append the next block to the blockchain.




You shouldn't start a project on your own if you don't actually know how everything works in detail.
If you are serious about creating a new (non shit-)project, hire a competent developer team.

Hello folks. The reason I want to understand POS is i am going to create a big project and i need to understand everything in very deep deep down. Here are my questions. At least I tried .

Let's imagine There have been made 10 transactions. So they went to mempool.

1) When proof of work, nodes go to mempool take transactions and put it into block . then start minging it(generating hash).
    When proof of state (I don't know) (maybe nodes take transactions,put it into block and that's all). Then in my opinion, node looks for someone who can validate this block and it's more likely node chooses someone who has more coins . when the person  chosen, how does he validate transactions in block? this person just has account and 100 coins on it. and that person is moving in the streets. how does he validate? I think he doesn't have his own node set up. if he has (is it mandatory?).

2) When proof of state, node takes transactions ,puts it into block , someone validates and that node (this specific node whoever did it first) updates his ledger, publishes it? what if 51% of other nodes agreed and 49% not agreed? is someone's money taken?. what if 49% agreed and 51% disagreed? i don't know whose money is taken , when the person who validated the block injured?

I would love if someone could explain it in very detail. I just understand proof of work very well but i need the same for proof of state. the articles and information i've read on the internet are not very deep and elementary. i need elementary  what happens after what.

Thank you guys. Let's explain this, discuss it ,maybe it will be amazing for starters in the future.