3 ms·
> the more people that stake, the smaller the reward In PoW reward is proportional to normalized "work". Reward is proportional to normalized amount staked. Th
by friendzis 4y ago
> the more people that stake, the smaller the reward
In PoW reward is proportional to normalized "work". Reward is proportional to normalized amount staked. This very directly leads to wealth concentration.
- AgentME 4y agoIn PoW, the "work" is just how much money the miner spends on mining hardware and electricity. Both PoW and PoS are cases where people with money invest that money and get a proportional reward. PoS just cuts out the hardware and electricity waste.