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That's partly the case, though note that in terms of Bitcoin, stock would be considered to be centralized, not distributed, as the exchange determines ordering
by TD-Linux 10y ago
That's partly the case, though note that in terms of Bitcoin, stock would be considered to be centralized, not distributed, as the exchange determines ordering of transactions. It's not really proof of stake because it doesn't have the problem that proof of stake is trying to solve in the first place.
- kevinpet 10y agoStock is centralized, but not in that way. There is no single ordering of transactions. Exchanges (which are distinct entities, i.e. decentralized) are legally required to report their trades, but the order actually happens at independent places. What is centralized is the record of ownership of the shares. All publicly tradable shares in the US are in a technical sense owned by Cede & Co., a partnership related to the DTCC. When shares change hands, all that happens is an entry in the database at the DTC. Since we're talking about the blockchain, it's interesting to know how this system is secured. The mechanism is that both parties report the expected transactions to DTCC, which ensures they match before the money changes hands. The trade that happens during market hours is only the agreement to trade, and the actual delivery happens three days later.
- zby 10y agoThe voting consensus is not about recording transactions (that is buying selling shares) - it is about governing the company by the people holding the shares.