Bitcoin – Proof Of Stake Virtual Mining

Proof of Stake Virtual Mining – Bitcoin and Cryptocurrency Technologies

Part 8 – Alternative Mining Puzzles
Not everyone is happy about how Bitcoin mining works: its energy consumption and the fact that it requires specialized hardware are major sticking points. This week we’ll look at how mining can be re-designed in alternative cryptocurrencies.

Deciding the value of Bitcoin Gold is not possible for any person. The difference, however, is in how careful the fork is to prevent a chain split which we’ll explain later. The main shift in XT is an important increase in Bitcoin blocksize, to be able to boost the capacity of the network.

At present, the mining process is now unaffordable as a result of powerful computers which not only are expensive but they also caused a look of mining farms. All available method of getting and retaining control (legal and at times illegal) needs to be expected. One of the goals of an exchange is to guarantee fair trades are conducted. Because bitcoin’s purpose is clear, in order to create digital currency transfer with no intermediary.

Every one of the transactions that have been completed within a specified period of time are saved into a block of transactions. Your account is about to go! A user’s account may not be frozen.

Technically, everyone can make an alternate client. Basically the clients which have the orphans have to correct and organize in line with the most important chain. The service was made to benefit bloggers, forums, reviewers, news websites and artists. On account of the casual bitcoin mining of specific poker, there’s an exact available new web access. Employing zk-SNARK, the network maintains a safe ledger of balances without sharing the quantity or the individual involved. The bitcoin network is the largest distributed computing network in the Earth, and it’s growing extremely fast daily.

While each has had a varying degree of succeeding, it appears a lot of the network proceeds to run Bitcoin Core. The underlying accounting done to ease the transaction is a little more complex, but breaking it down should ensure it is simpler to comprehend. The Bitcoin software is totally open source and anybody can review the code, everyone can create its very own digital currency also. To start with, the developers will need to give up the concept that they’re in charge. If you’re a miner, exchange operator, developer on a particular project, please do get in touch so we are able to establish an appropriate discussion that functions as a counterbalance to the previous one where Core proponents dominated. Only miners whose blocks wind up in the most important blockchain get rewarded. It’s well worth noting here that there’s an alternate bitcoin blockchain named Testnetwhere it is possible to have long forks.

Despite significant opposition, calling the vote is rather difficult, as we’ve seen. What’s important is the vast majority of nodes that you allude to later. No matter your opinion of the business could possibly be, Bitmain is really the most dominant Miner and they’re the 800 lb gorilla in the mining space. Among the issues is that Core doesn’t have a practice of any kind for gathering consensus for a tough fork. One of the most significant issues who have any Bitcoin fork is the chance of losing your coins in what is referred to as a replay attack. Further, there are a number of technical problems that may need to get addressed in addition to code that needs extensive review and testing prior to a soft fork can happen.

When you own a consensus, all parties have the very same data. Nakamoto consensus is quite sticky. Basically, there’s an overall disagreement on the best way to move forward with Bitcoin scaling issues.

34 thoughts on “Bitcoin – Proof Of Stake Virtual Mining

  • June 13, 2017 at 10:49 pm

    “No harm to the environment”. BS.
    Why should I trust that “address” where I’m sending my money? Isn’t that centralization?

  • June 14, 2017 at 4:19 pm

    Does mining not add value by doing computations? or they not used for anything?

  • June 25, 2017 at 6:20 pm

    How much coins you need to be able to verify transactions?

  • June 27, 2017 at 11:51 am

    Were you nervous while making this presentation? You looked like you had to take a monster shit but had to pinch it. Good content though, good job.

  • July 1, 2017 at 1:18 pm

    this is bs

  • July 3, 2017 at 10:08 pm

    So, No More Decentralization.

  • July 8, 2017 at 11:11 pm

    i love your video man, could i contact you and have a chat with you i am working with some folks on a startup and we have some questions


  • July 10, 2017 at 1:34 am

    Thank you for this content!

  • July 16, 2017 at 11:28 pm

    Proof of stake is a scam. What are you talking about!

  • July 26, 2017 at 11:11 pm

    Proof of steak does not take out the need for mining. Who is mining? What is the incentive to mine if the control/reward is in proof of steak?

    Also, does proof of steak help stabilize the currency if people can earn coin by holding coin instead of having to take coin on and off to upgrade rigs to earn more money.

  • July 27, 2017 at 2:21 am

    this sounds like another fiat currency. Seems to defeat the purpose of just not buying more gold & silver…

  • August 4, 2017 at 3:15 am

    I’ve got a solution for you PoS idiots, go buy stocks instead, morons.

  • August 14, 2017 at 2:59 am

    No offense but how does this not create an economic class system where people who can purchase and store more ethereum are rewarded more monetary value than those who can’t.

  • August 19, 2017 at 6:41 pm

    where do all the money go when you buy a stake???

  • August 22, 2017 at 9:56 pm

    Mining in case of proof of work involves solving a real problem of finding the key to secure the block if I’m not wrong. In case of proof of stake how are you able to solve for that?

  • August 26, 2017 at 12:00 pm


  • September 11, 2017 at 10:25 am

    how does a coin solve the hash puzzle, that a mining rig does?

  • September 11, 2017 at 12:07 pm

    Thank you! At last i understand PoS. I think you acctually did a better explanation than Vitalik himself 🙂

  • September 28, 2017 at 8:21 pm

    Nice video friend.!!

  • September 30, 2017 at 5:53 pm

    very very helpful thank you for a clear explanation.

  • October 7, 2017 at 12:27 pm

    May i ask in proof of stake whos performing the puzzles exactly? In proof of work the miners do with good equipment to maintain the blockchain but how does pos do this? Soz new to crypto

  • October 11, 2017 at 8:10 am

    Congrats on your MsC! On other news, 51% of what you said were misconceptions and false data.

  • October 26, 2017 at 4:42 pm

    Does POS still have the nonce concept inside it ?

  • October 29, 2017 at 4:33 am

    what bs than if i rich. just buy 100k etherium hold in my wallet. and bassicly win it all

  • November 23, 2017 at 11:43 am

    Crystal clear, thanks!

  • November 28, 2017 at 3:05 am

    watch at 1.5x

  • December 12, 2017 at 3:50 pm

    you can send your coins to (((a special address))) to earn more of them.

    oh look at all these coins in our (((special address))) if only there were a way we could lend these out instead of just leaving them here doing nothing.

    let’s create derivatives based on the coins in our (((special address))) and offer them as interest bearing loans to increase liquidity in the system.

    oy vey if too many goyim try to exchange their worthless derivatives at the same time we won’t have enough coins to pay them all and the goyims economy will collapse. we don’t want the goyim to get hurt so we’ll just stop allowing them to exchange their worthless fiat derivatives for coins.

    *chuckles and rubs hands jewishly*

  • December 30, 2017 at 4:44 am

    If something need to be research, and researsh again, then either that idea is too far ahead, or someone is trying hard at getting your money. I can understang bitcoin, PoW, sha-256, protocols; but omg cant really understand PoS. like if I am going to use PoS, i just stay using with my bank account; look PoS it is far easier to have 51% for the rich; it is easier to swap the codes and make it centralize. please if you anything that could have arguments against those points let me know because I do want to be wrong on this.

  • January 3, 2018 at 2:00 am

    Sounds like a pseudo cloud mining scheme…

    I see how it will help the environment and make GPU mining obsolete, but cashing in directly a large sum of money to an “address” is just another form of centralisation a sort of “digital bank account”

    Dunno if this is the step in the right direction

  • January 4, 2018 at 6:19 pm

    So is proof of stake even profitable?

  • January 11, 2018 at 8:21 am

    So you send your coins to a special address in hopes that you get some return on it. Sounds familiar *cough* bitconnect *cough*

  • January 20, 2018 at 11:09 am

    As research in this area progresses, the original bitcoin blockchain and miners will dig their heels in even harder, as they thought they could gain control of the network and pull the ladder up after them, via expensive equipment and energy costs.
    Unlucky guys! The arse is about to drop out of bitcoin…

  • January 22, 2018 at 3:25 pm

    What if a group of individuals band together and form 51%? Then they could manipulate the currency in whatever way they see fit.

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