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prodoosh t1_izd4lly wrote

Reply to comment by GoofAckYoorsElf in Ethereum’s energy switch saves as much electricity as entire Ireland uses | The success of The Merge concept may now serve as a roadmap to enable a switch from Proof of Work to Proof of Stake in Bitcoin. by chrisdh79

Not really? In POW it’s: whoever has more computational power gets to collect fees. In POS it’s whoever has a larger stake gets to collect fees.

POS works just how interest works. It’s basically replacing pointless computation (work) for a system of collateralized debt.

You stake your crypto to validate transactions. You get paid to validate transactions. If you’re found falsifying transactions (essentially impossible to hide) your crypto is gone and you lose your entire investment.

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GoofAckYoorsElf t1_izdawef wrote

What is a larger stake? More invested money. So it's the same old the few rich rule the system and get richer. That's not particularly democratic, is it?

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prodoosh t1_izeut06 wrote

No it’s pretty much how the current system works. It’s the time value of money. Nothing we can change about that. It’s just more efficient to be decentralized an digital than a huge legacy financial system.

You can’t argue that interest; the single biggest invention of financial history, is a bad thing.

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