Proof of Stake (PoS) was first introduced to the world in 2011 and implemented in 2012. A huge problem with big coins like Bitcoin and Ethereum which still use Proof of Work (PoW, the well-known “mining”) is the fact that miners need an immense amount of energy for 1 transaction. PoS is about to change that. With PoS one so-called “node” will be chosen to simply process the transactions without needing to solve complex math puzzles, like in PoW. Other nodes will verify the block. In order to penalize any attempts at cheating, the node’s owners must lock some of their coins in a virtual safe (staking) and this stake will be forfeited if any funny business is detected. The more coins you stake, the more likely it is you will be chosen to create the next block.
To put it simply: you leave your INFO wallet open and wait for rewards while at the same time you’re helping to maintain the InfoCoin network. This system proofs to enable more transactions per second and PoS currencies are a lot more cost efficient. There is no mining, no need for expensive computer equipment and therefore no fear for a large electrical bill.
No FUD allowed!
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