Bitcoin Proof of stake - Bitcoin PoS - BPS
Online PR News – 06-August-2020 – Bitcoin Proof of Stake - BitcoinPoS - BPS
The Bitcoin Proof of Stake coin reserves the strongest aspect of the Bitcoin network with a flexible proof of stake algorithm. It presents a new paradigm in the utility of crypto. The Bitcoin PoS coin preserves everything that Bitcoin has while bringing new development to the blockchain technology.
Driving Mass Adoption
The Bitcoin PoS project aims to advance Satoshi Nakamotos vision of a decentralized financial network that is independent of centralized control. Bitcoin Proof of Stake is designed to be scalable and easy to use. The goal is to give access of banking services to billions of people globally. To achieve this, Bitcoin PoS aims to be a coin for ordinary retail payments.
About the Proof of Stake Mechanism
Generating the block will entail the sending of coins to oneself, which proves ownership. The amount of coins needed for staking is determined via a difficulty adjustment model that is similar to the PoW mechanism. The goal is to ensure an approximate constant block time. Just like PoW, the block generation process will result in rewards via a transaction fee and supply model.
Bitcoin PoS Deals with the Bitcoin Centralization Problems
The result is that only those with access to cheap power can secure the network. Today, most of those miners are located in China, which has led to a high concentration of mining power in one region. In effect, Chinese miners control the Bitcoin network. It was not the vision of decentralization that Satoshi Nakamoto had in mind.
To make the issue worse, the places where the cost of power is low also have highly authoritarian systems of government. Another issue is that in nations where the cost of power is high do not recognize BTC mining as a business. Thus, miners do not get access to subsidized power. It has led to the proliferation of mining cartels with some companies controlling as much as 5% of the mining power.
For retail miners, the only solution is to join mining pools, which effectively control all of the mining power of BTC. As a result, BTC is highly centralized in the current setup and it will only continue being centralized in the future.
Bitcoin PoS Solves the Issue
The Current State of Bitcoin PoS
New listings on different platforms and exchanges will come.
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