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Its doesn't have any mining at all. You put your coins in a smart contract that allows you to get randomly selected to create blocks from time to time, if you d
by cdiddy2 8y ago
Its doesn't have any mining at all. You put your coins in a smart contract that allows you to get randomly selected to create blocks from time to time, if you do something wrong then some of your coins are taken from you, if you do everything right you get a portion of the fees and/or a bit of inflation. There are lots of slightly different variants of it though
- bogomipz 8y agoInteresting. Is there a practical reason limiting its' adoption?
- cdiddy2 8y agoIt doesnt have the same history of security that proof of work has so its just newer and hard to get the incentives correct to create a secure network. Ethereum is working on moving to it and some others as well.
- bogomipz 8y agoThanks. I just found the following article about "proof of stake" in case anyone else is: interested: https://hackernoon.com/what-is-proof-of-stake-8e0433018256 https://hackernoon.com/what-is-proof-of-stake-8e0433018256