What is “Proof Of Stake”? - Crypto in Plain English – Episode 20 - by cryptohunt.it
Crypto in Plain English - by cryptohunt.it25 Okt 2021

What is “Proof Of Stake”? - Crypto in Plain English – Episode 20 - by cryptohunt.it

Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english.

Last time, we explained how time-consuming puzzles are one way to solve the problem of cheating on the blockchain. That was called “proof of work”.

Today, we talk about “Proof of stake”, the other way that crypto technologies solve fraud.

Remember: Multiple computers on a blockchain validate one transaction, and if they agree, the transaction gets approved. But that also means: in theory, it would be easy to spin up thousands of fake validators and take over a network.

So how DO you make sure you trust the computers in the network? With “proof of stake” that simply happens by trusting those who actually own a lot of the token itself.

That’s like trusting a veterinarian who has 5 dogs, and not trusting another who doesn’t have any.

This makes cheating very expensive, because you’d have to hold a large portion of tokens to do so. And even if you try, other validators still have to agree with your results of the transaction, making it almost impossible for you to trick the system because they will see that your numbers are different. And to deter you even more, in many blockchains, you may lose some of your tokens if you produce wrong results.

And next time, we talk about the pros and cons of “Proof of work” and “proof of stake”.

Disclaimer: This podcast references our opinion and is for information purposes only. It is not intended to be investment advice. Do your own research and seek a duly licensed professional for investment advice.

Episoder(373)

What makes Ripple (XRP) special? - Crypto in Plain English - Episode 61 - by cryptohunt.it

What makes Ripple (XRP) special? - Crypto in Plain English - Episode 61 - by cryptohunt.it

What makes Ripple (XRP) special? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, we dive into Ripple, one of the earliest cryptocurrencies out...

21 Des 20211min

What make Cardano (ADA) special? - Crypto in Plain English - Episode 60 - by cryptohunt.it

What make Cardano (ADA) special? - Crypto in Plain English - Episode 60 - by cryptohunt.it

What make Cardano (ADA) special? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, we talk about Cardano, one of the most popular blockchains o...

20 Des 20211min

What is the Blockchain Trilemma? - Crypto in Plain English - Episode 59 - by cryptohunt.it

What is the Blockchain Trilemma? - Crypto in Plain English - Episode 59 - by cryptohunt.it

What is the Blockchain Trilemma? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, we’ll talk about the three big problems every blockchain trie...

17 Des 20212min

How safe are stable coins actually? - Crypto in Plain English - Episode 58 - by cryptohunt.it

How safe are stable coins actually? - Crypto in Plain English - Episode 58 - by cryptohunt.it

How safe are stable coins actually? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, we’ll talk about how stable those Stable Coins actually ar...

16 Des 20212min

056 - What makes Solana (SOL) special? - Crypto in Plain English - Episode 56 - by cryptohunt.it

056 - What makes Solana (SOL) special? - Crypto in Plain English - Episode 56 - by cryptohunt.it

What makes Solana (SOL) special? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today, let’s talk about Solana! Solana is a blockchain technology th...

15 Des 20211min

What makes USD Coin (USDC) special? - Crypto in Plain English - Episode 57 - by cryptohunt.it

What makes USD Coin (USDC) special? - Crypto in Plain English - Episode 57 - by cryptohunt.it

What makes USD Coin (USDC) special? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Today is about yet another popular stable coin: USD Coin, also ca...

15 Des 20211min

What makes Tether (USDT) special? - Crypto in Plain English - Episode 55 - by cryptohunt.it

What makes Tether (USDT) special? - Crypto in Plain English - Episode 55 - by cryptohunt.it

What makes Tether (USDT) special? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. Before we start today, we want to share some exciting news. We just...

13 Des 20212min

What makes the Binance Coin (BNB) special? - Crypto in Plain English - Episode 54 - by cryptohunt.it

What makes the Binance Coin (BNB) special? - Crypto in Plain English - Episode 54 - by cryptohunt.it

What makes the Binance Coin (BNB) special? Welcome to the cryptohunt jam where we spend one minute a day to explain crypto. In plain english. We talked about Bitcoin and Ethereum, number 1 and 2 in ma...

10 Des 20212min

Populært innen Business og økonomi

lydartikler-fra-aftenposten
stopp-verden
dine-penger-pengeradet
rss-penger-polser-og-politikk
e24-podden
rss-borsmorgen-okonominyhetene
livet-pa-veien-med-jan-erik-larssen
pengesnakk
utbytte
pengepodden-2
finansredaksjonen
okonomiamatorene
tid-er-penger-en-podcast-med-peter-warren
morgenkaffen-med-finansavisen
liberal-halvtime
lederpodden
rss-markedspuls-2
stormkast-med-valebrokk-stordalen
rss-politisk-preik
rss-pa-konto