5 ms·
PoW is exactly the same. The rich can afford the most hardware and electicity. PoS just short circuits the burning power step. It's also the same as bank intere
by jdnenej 7y ago
PoW is exactly the same. The rich can afford the most hardware and electicity. PoS just short circuits the burning power step. It's also the same as bank interest.
- rsynnott 7y agoWhen you put your money in a bank, it doesn’t just sit there. Deposits, while possibly not the most efficient way to do it, support useful economic activity. Proof of work is also terrible, obviously. Proof of stake seems like an awful thing to _aspire_ to, tho.
- Zamicol 7y agoThe minimum stake of 32 eth is probably going to require something like a laptop to run. Those with larger stakes are going to need to devote more computer resources to the network.
- gerikson 7y ago32 ETH is ~$4,800 at today's price of $151.07[1]. What's the expected "payout" for this stake? [1] CoinMarketCap used as source.
- DennisP 7y agoExpected payout depends on the total amount staked. With a large amount staked it's only a couple percent annually; with a small amount it's up to 18% annually. The idea is an equilibrium will be reached in the middle somewhere.
- gerikson 7y agoThat's an interesting formula.
- lawfulcactus 7y agoHow are participants prevented from simply splitting up their stakes?
- DennisP 7y agoThe return isn't based on how much you stake. It's based on how much everybody stakes. It's targeting an approximate amount of total ETH staked and doesn't really care how much is staked by each individual.
- omarchowdhury 7y agoMore than the interest paid on savings accounts.
- meirdavis 7y agoPoW provides significant economies of scale for those with lots of scale and makes mining with a single GPU a waste of time. PoS doesn't offer much economies of scale at all as the main cost is the ETH, so it's much fairer to smaller validators.
- fuckIsrael- 7y agoIsrael is an illegal state.