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The big problem with proof of stake is that it requires a centralized root of trust. Suppose for example that I takeover the Cardano website. I could create m
by aeternum 6y ago
The big problem with proof of stake is that it requires a centralized root of trust.
Suppose for example that I takeover the Cardano website. I could create my own root block and generate millions of 'stakers'. Staking requires ownership but since it's my own new chain, I can generate coins easily without expending any real-world resources. As a new user, how could you differentiate the 'real' Cardano chain from mine?
- jwblackwell 6y agoIsn't this basically the case with github now? i.e all the cryptos have their code public on github so if I wanted to start mining, I'd have to go there to get the code
- aeternum 6y agoWith Bitcoin, there are quite a few completely independent clients available: https://en.bitcoin.it/wiki/Clients https://en.bitcoin.it/wiki/Clients, but the beauty of proof-of-work is that you do not need to trust any of them. With proof-of-work chains, one can download the blockchain even without a client and write a simple program/script to calculate the total work (hashes) embedded in the chain. This provides a completely independent measure of trust. With PoS, you must assume you can trust the client or root of the blockchain, which really kills the primary use-case of a decentralized currency.