Staking is not as trustless as it used to be - page 2.

cabron

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Quote from: deepblue01 on May 23, 2023, 12:19:56 PM

Now there is more urgent situation about energy. In this day Bitcoin alone is estimated to consume 127 terawatt-hours (TWh) a year for mining purpose.
There is more urgent discussion than this because we need to follow up stablecoin trend lately

Let me guess you also believe Bitcoin destroys environment because miners dig holes to get BTC.

If POS tokens needs to be sent to a 3rd party in order for staking to take place, then it really is not safe. The 3rd party could sudenly just snap and confiscate all the tokens you staked and leave nothing for you.

I found one token that you need not to send to a 3rd party for you to stake, ADA.

terencio

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I think there is hope for PoS to become more decentralized, if there is enough demand and innovation from the community. I don’t think we can blame governments and VCs for the path PoS has taken lately, but rather we should hold ourselves accountable for the choices we make as crypto users and investors.😊

Blitzboy

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It's indeed a lamentable evolution that the promise of trustless staking in PoS systems seems to be eroding, replaced by these centralized validators. From a purely technical standpoint, this does shift the crypto landscape towards a pseudo-traditional banking model. The original appeal of crypto was the prospect of disrupting and redefining how value is stored and transacted. However, as with most developments, the implementation often does not align with the theoretical ideals.

The necessity of validators in PoS systems has been a technical compromise to address the issue of scalability and energy consumption found in PoW systems. Validators or staking pools also help smaller investors to participate in the staking and earning process. However, this doesn't necessarily condemn PoS to a future of centralization. Blockchain projects are tirelessly working towards innovative solutions. The introduction of sharding in Ethereum 2.0 and parachains in Polkadot are examples of this. There's a silver lining here; the sector is young, and the opportunity for evolution remains ripe.

Wiwo

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Above all, the proof of stake (pos) has pushed front more centralization of the cryptocurrency markets such that, such that the highest liquidity providers control the confirmation of the transaction and this could lead to more control for high liquidity providers who may seize the network and choose which transaction get confirm or not, this give them full control over the security of transactions.

POShhas has not really achieved any positive miles stone because it has not helped the Ethereum blockchain in whatever way, even though pos promised to aid the scalability of the network.

deepblue01

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Now there is more urgent situation about energy. In this day Bitcoin alone is estimated to consume 127 terawatt-hours (TWh) a year for mining purpose.
There is more urgent discussion than this because we need to follow up stablecoin trend lately

Abiky

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I remember the good-old days where you could stake coins like Peercoin and Blackcoin on your own node in a decentralized (trustless) manner. After ETH announced its intentions to become a PoS coin, those days are over. Most PoS coins require you to "lend" your coins to a validator or third-party for you to start earning income right away. ETH, Polkadot, Polygon, and many others now work this way. Isn't crypto's intended purpose to eliminate the middleman? By requiring trust in a PoS system, you're bringing back centralized banking to crypto. Money talks, so don't expect this to change anytime soon.

Do you think there's hope for PoS to become decentralized again? If not, why? Can we blame governments and VCs for the path PoS has taken lately? Your input will be greatly appreciated. Thanks.

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