Lecture 15: Proof-of-Stake

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Proof-of-Stake
- Proof-of-stake vs Proof-of-work
- “Nothing at stake” issue and slashing
- Benefits and Drawbacks of Proof-of-stake
  1. Web3 Foundation
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This video really helped clarify some of the complexities of crypto investing.

valeriocafiero
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Thank you so much! What a great video.

PedroOjeda
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My Notes:
5:20 Simple Proof-of-Stake Mechanism

* In Proof-of-Stake (PoS) we calculate the next block producer
* next_block_producer = hash_of prev_block % (total_amount_of_coins)
* The more coins you have the more chances you have to be the next block producer
* Problem 1: PoS is very dependant on the selected producer node, what if it gets offline?
* Problem 2: There’s no right way to calculate the canonical chain
* Problem 3: Predictability. “If I know Producer C will produce next block, I can try to DDOS them”
* Nothing At Stake Problem: There’s no way to punish someone to try to do a Double-Spend attack
* Solution: Having all selected producers watching each other through “slashing”

cesar_chez
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thank you so much for the next_block_producer explanation!

explicacaoonline