A Major Upgrade: ETH to move from PoW to PoS
This is not the drill!
Ethereum, one of the leading cryptocurrency platforms, is finally moving from Proof-of-Work (PoW) mining to Proof-of-Stake (PoS) mining. Investors and supporters of the said decentralized computing platform are all eager to know what this change can offer to the users. This news is one of the most talked about topics in different social-interaction sites for crypto.
Knowing that Ethereum is more than capable of doing impossible things, users are having their own wild guesses. The upgrade will be launched anytime soon, and users seem to be on the same page, what should we expect next?
We all know that Ethereum is constantly proving its existence in the current technological world. Truth be told, almost 98% of the population of crypto investors and traders have a basic knowledge about this blockchain and its coin called Ether. Despite the fact that it is not owned by anyone, Ethereum was awesomely structured— flexible and always has a goal of going beyond the limit.
With that, Ethereum is once again showing its mettle by upgrading its consensus mechanism from PoW to PoS.
What is Proof-of-Stake?
Cryptocurrency is gradually gaining acceptance worldwide, and as we move closer to a more advanced and developed world, blockchains are also upgrading their features to better serve the public. Ethereum is doing the job through replacing its old consensus mechanism to a sharp one.
PoS is the upgraded version of PoW — a consensus mechanism that requires all computers on the blockchain network to execute complex mathematical calculations to decrypt the secured transaction. While PoS is formulated to be a greater alternative to achieve different goals in the consumption of energy.
In comparison, PoS has lesser energy consumption yet faster transaction speed compared to PoW. According to the team, in this consensus, owners of the tokens are the ones who are delegated to have controls in the network, giving them the mining power based on the percentage of coins held by a miner.
PoS has a lot to offer including: stronger immunity to centralization, thicker protection from hackers, and most importantly, lower gas fee for Ethereum. Users are most excited to stake ETH and earn money with the security and transaction speed they deserve.
What else can we expect from a powerful consensus mechanism like PoS? Share your guesses and win a prize through jotting down your thoughts on KuCoin’s ETH in PoS activity.
Author’s note:
I am more than excited to see what this progress can give to an Ethereum supporter like me. I’d say that the development of blockchains is making me proud and more interested in cryptocurrency. I can now imagine a lower gas fee, more secure and accessible platform for all.