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What have PoW and PoS in common and what is different
Bitcoin’s Proof-of-Work (PoW) is the first network consensus that is used to come up with a single valid state of a ledger with nodes that are spread across a globe. As any technology can be improved also the network consensus can be improved in a way that it will be faster, more secure, decentralized, and consume less energy. Cardano’s Proof-of-Stake (PoS) will be such a consensus. Let’s have a look at what has both consensuses in common and what is different.
What is a network consensus and what are its key features
A plethora of individuals has become fond of blockchain technology, mainly owing to the decentralization aspect as it enables anybody to conduct transactions with other individuals, anywhere in the world, with no entity having sufficient power that can be used to block these transactions or enforce censorship. A decentralized system is generally a kind of system that lets the users make their own, individual, decisions. In such systems, there is no designated central authority making decisions in the name of all participants. Instead, each participant makes their own autonomous decisions pursuing their own self-interest that may collide with the goals of other peers. In an open, decentralized system, there are no limits or regulations for new users to access it. Likewise, any…
