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Re:Ask HN: Am I going insane or is there genuinely no value ... by reeeeeeee on Saturday April 23, 2022 @06:50AM (#31133088)
Cardano is a cryptocurrency that offers ~250 transactions per second but should soon scale without a layer 2 solution. I mention this as I run a validator on a 8gb raspberry pi with ZRAM swap enabled with no issues consuming ~5W the whole network could run this way if needed. This is lower power due to a mechanism called proof of stake. BTC uses proof of work. Ethereum has been 'trying' to migrate to POS for some time.

As for layer 2's this could partly be the solution to some high costs. But risks sacrificing decentralization.

Re:Ask HN: Am I going insane or is there genuinely no value ... by tigershark on Saturday April 23, 2022 @07:37AM (#31133362)
Proof of stake is useless. It just give all the powers to the current stakeholders. So it’s not trustless by definition since you need to trust the stakeholders.
Re:Ask HN: Am I going insane or is there genuinely no value ... by tromp on Saturday April 23, 2022 @04:45PM (#31138344)
Well, PoW needs to assume that 51% of miners is honest, while PoS needs to assume that 51% of stakers is honest. The bigger downsides of PoS to me are that

1) a pure PoS system starts with the creators holding all supply and can keep an arbitrary portion for themselves while selling the rest as they please

2) the truth in PoS is subjective (nodes need to rely on other nodes to determine what is the current state of the system).

Re:Ask HN: Am I going insane or is there genuinely no value ... by akrymski on Saturday April 23, 2022 @05:08PM (#31138560)
In PoS systems validators can vote for both chains in case of a fork, as there is nothing at stake. It's not about honesty. It's about resources being committed.
Re:Ask HN: Am I going insane or is there genuinely no value ... by FabHK on Sunday April 24, 2022 @10:24AM (#31144276)
Exactly. The ETH PoS FAQ is a good introduction to the problem. In a nutshell, when there are two competing chains,

A) in PoW you

A1) either put all your resources (hash power) behind one chain, and get the block, thus the mining reward, with probability equal to your proportion of the total hash power (as before) assuming that chain ends up the longest chain (so you have a strong incentive to pick the "correct" one), or

A2) distribute your hash power between the two competing chains, but then each of them only gets half the hash power, and you reduce your probability of getting the mining reward to half, thus halving your expected reward.

At any rate, as soon as one of the chains is ahead, there is a very strong incentive to fall in line with the LCR (longest chain rule) and place all your bets on the putative winner, rather than diluting your expensive hash power.

B) In PoS, you can just continue staking on both competing chains, and whichever wins, you got get your mining reward (as usual, with probability equal to your proportion of the total stake). No incentive to settle on a winner early ("nothing at stake"), so just keep your options open by supporting both chains, and thus no incentive to congeal on a winner quickly.

https://eth.wiki/en/concepts/proof-of-stake-faqs

Re:Ask HN: Am I going insane or is there genuinely no value ... by akrymski on Saturday April 23, 2022 @05:05PM (#31138543)
Indeed. I fail to see how validators in PoS systems are any different to eg shareholders of Visa.