xuanling11Crypto Paycheck
Photo by Mario Gogh on UnsplashEmployees will receive their paycheck in the period as a reward for their work. However, the employer wants to pay less to employees so that they can have maximum profits. The tension between working and anti-working has increased ever since. TL;DR Nobody wants to work unless they can pay fairly. Fiat payment may not be sustainable to satisfy what workers can contribute if the employer continues paying less and gaining more from profits. Employees will want thei...
xuanling11Defi Review #4: AAVE The Defi Lending Services
AAVE is a decentralized finance lending service before decentralized finance even existed. It is an innovation lending service in crypto and one of the first kind. However, the lending service may only restrict to the crypto community and it may expand into the traditional financial field later. TL;DR AAVE is a crypto lending financial service which to provides lending services to the crypto community. They focus on security and smart contract lending may be the future of financial services. ...
xuanling11Stablecoin Crisis
Stablecoin is in the crisis mode. The most reputable stablecoin USDC is depegged. It is all triggered by the traditional bank collapse - Silicon Valley Bank or SVB collapse. Why traditional bank collapse impacts crypto stablecoin? Let's sort this out and reveal how stablecoin operates. First, why SVB collapse? The short answer is overleveraged. SVB is one of the 20 largest commercial banking in the United States. Some even estimate the bank owned half of startup assets. Bank operated in ...
xuanling11Crypto Paycheck
Photo by Mario Gogh on UnsplashEmployees will receive their paycheck in the period as a reward for their work. However, the employer wants to pay less to employees so that they can have maximum profits. The tension between working and anti-working has increased ever since. TL;DR Nobody wants to work unless they can pay fairly. Fiat payment may not be sustainable to satisfy what workers can contribute if the employer continues paying less and gaining more from profits. Employees will want thei...
xuanling11Defi Review #4: AAVE The Defi Lending Services
AAVE is a decentralized finance lending service before decentralized finance even existed. It is an innovation lending service in crypto and one of the first kind. However, the lending service may only restrict to the crypto community and it may expand into the traditional financial field later. TL;DR AAVE is a crypto lending financial service which to provides lending services to the crypto community. They focus on security and smart contract lending may be the future of financial services. ...
xuanling11Stablecoin Crisis
Stablecoin is in the crisis mode. The most reputable stablecoin USDC is depegged. It is all triggered by the traditional bank collapse - Silicon Valley Bank or SVB collapse. Why traditional bank collapse impacts crypto stablecoin? Let's sort this out and reveal how stablecoin operates. First, why SVB collapse? The short answer is overleveraged. SVB is one of the 20 largest commercial banking in the United States. Some even estimate the bank owned half of startup assets. Bank operated in ...
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I tried to explain what PoS is in comic strips.
TL;DR
I explained what PoS does mean and how PoS reflects the idea in the crypto space.
Some Takeaway
PoS or Proof of Stake is another consensus mechanism. Contrary to Proof of Work, the Proof of Stake approach moves away from the intensity of competition but rather focuses on transaction accuracy. Such a shift can potentially reduce energy consumption by 99.95%. Miners are becoming validators who stake their own cryptocurrency as a loan to become a node while working to help the network to process transactions. Everyone can truly contribute to the network as long as anyone holds cryptocurrency.
Energy Consumption
One of the most important features of Proof of Stake is energy efficiency. Compared to Proof of Work which focuses on the competition of miners that drives up energy consumption, Proof of Stake will slow down energy consumption and cut by 99.95% from MIT research. Instead of rewarding only miners in the blockchain, Proof of Stake rewards everyone to participate in the validating process. By inviting everyone to participate, it reduces the competition on the energy required to lower the overall cost of the network.
Decentralization vs. Security
PoS creates a path for decentralization. It makes everyone who can participate and possibly contribute as much as they can. However, there will be a trade-off of security in which members may accumulate large amounts of cryptocurrency to dominate the network. Such an event can have a negative impact on the network as known as a 51% attack
Validators
Miners will transit into validators who ensure accuracy of translation and to randomly be selected to create a block rather than focusing on competition to drive up the cost. It makes the network more efficient with low network fees, faster transaction times, and lower consumption of energy.
Security Risk
The biggest concern about PoS is a security risk. With fewer computers to control the network, one can easily take down the blockchain. Cryptocurrency is mainly to create a security environment that two parties can easily trade without worrying about their assets being attacked by hackers. Such security concerns will be a continuing debating subject on the progress of PoS development.
In conclusion
PoS is an alternative apart from PoW with high efficiency and further decentralized the network. However, security is one of the concerns that people will continue watching its evolvement.
I tried to explain what PoS is in comic strips.
TL;DR
I explained what PoS does mean and how PoS reflects the idea in the crypto space.
Some Takeaway
PoS or Proof of Stake is another consensus mechanism. Contrary to Proof of Work, the Proof of Stake approach moves away from the intensity of competition but rather focuses on transaction accuracy. Such a shift can potentially reduce energy consumption by 99.95%. Miners are becoming validators who stake their own cryptocurrency as a loan to become a node while working to help the network to process transactions. Everyone can truly contribute to the network as long as anyone holds cryptocurrency.
Energy Consumption
One of the most important features of Proof of Stake is energy efficiency. Compared to Proof of Work which focuses on the competition of miners that drives up energy consumption, Proof of Stake will slow down energy consumption and cut by 99.95% from MIT research. Instead of rewarding only miners in the blockchain, Proof of Stake rewards everyone to participate in the validating process. By inviting everyone to participate, it reduces the competition on the energy required to lower the overall cost of the network.
Decentralization vs. Security
PoS creates a path for decentralization. It makes everyone who can participate and possibly contribute as much as they can. However, there will be a trade-off of security in which members may accumulate large amounts of cryptocurrency to dominate the network. Such an event can have a negative impact on the network as known as a 51% attack
Validators
Miners will transit into validators who ensure accuracy of translation and to randomly be selected to create a block rather than focusing on competition to drive up the cost. It makes the network more efficient with low network fees, faster transaction times, and lower consumption of energy.
Security Risk
The biggest concern about PoS is a security risk. With fewer computers to control the network, one can easily take down the blockchain. Cryptocurrency is mainly to create a security environment that two parties can easily trade without worrying about their assets being attacked by hackers. Such security concerns will be a continuing debating subject on the progress of PoS development.
In conclusion
PoS is an alternative apart from PoW with high efficiency and further decentralized the network. However, security is one of the concerns that people will continue watching its evolvement.
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