Memechain and PoS

Proof of Stake (PoS) is a consensus algorithm that randomly selects a verifier (Validator) to contribute a number of tokens (staking) to the blockchain network to propose or validate a new block to the existing blockchain. Validators will receive a reward for successfully adding a block to the blockchain.

Why Is Consensus Mechanism Important In Blockchain?

A consensus mechanism is a set of rules by which different participants in a blockchain network approve transactions. Since the blockchain network is under no competent authority to approve transactions, the consensus protocol ensures that all participants agree to a single version of the blockchain. The consensus mechanism allows a blockchain network to:

  • Enforce without competent authority

  • Establish a single and unique version on the blockchain

  • Maintain security and transparency in a blockchain network

There are different types of consensus algorithms, including Proof of Work (PoW), Proof of Stake (PoS), Application Byzantine Fault (PBFT), Proof of Burn (PoB), and many more.

Of those consensus algorithms, Proof of Work (PoW) and Proof of Stake (PoS) are the most popular. As a blockchain enthusiast or just starting, you must understand the difference between PoW and PoS.

PoW relies on a node's ability to solve complex math problems that require large amounts of computing power, power consumption, and high initial investment costs.

PoS, on the other hand, requires verifiers to stake their tokens instead of having to solve math, thus reducing power consumption, preventing production, and avoiding the centralization of resources. PoS is also a protocol that uses a random number generator sequence to select validators.

Application of PoS to Memechain

With Memechain's high flux and decentralization, token users will not need to concern over issues associated with multiple PoW tokens such as low transaction amount per month, public chain congestion, centralized mining, and high transaction fees.

Memechain will maintain a high degree of decentralization due to its PoS algorithm.

Memechain relies on a pre-determined number of validators to facilitate the Proof-of-Stake (PoS) of the consensus algorithm, which results in shorter block times and lower fees. In PoS, validators candidates with the highest number of staked tokens are allowed to become validators to produce blocks. Tokens also use complex scenarios, thus leading to security, decentralization, reliability, transparency, stability, and block finality.

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