2.
It is based on a consensus mechanism called delegated proof-of-stake (DPoS).
On a PoW like , miners employ large amounts of computational power to solve complex mathematical equations. Once the equation is solved, the miner publishes the answer for verification by the other miners on the network, and is reached. The block is then added to the chain, the miner that solved the equation collects his/her block reward, and everyone moves on to the next equation.
On a PoS network like , nodes stake an amount of (essentially locking up in a specific address for a set period of time) for the chance of being selected to add the next block of transactions to the chain. Although the selection is random, factors such as the amount staked, the amount of time it has been staked and the reputation of the node are often taken into consideration.
Delegated proof-of-stake is a version of PoS, where instead of validators being chosen at random, they are voted for by the rest of the holders on the network. Another difference on specifically is that, instead of purely staking , Block Producers stake their investment in the network in the form of infrastructure, community support, development, etc. We’ll look at this more in-depth below.
These delegates are then tasked with upholding the integrity and accuracy of the network by coming to a majority consensus on data or transaction blocks that have to be added to the network.
Brendan Blumer, CEO of Block.one, the company behind , Block Producers in the .IO technology as “21 elected delegates by the holders that are actually confirming the transactions of the network.”
Published at Fri, 24 May 2019 03:23:05 +0000
