RE: EOS.IO Storage White Paper Now Available!
My point of view is the POW system in bitcoin is essentially DPOW (Delegated proof of work): If you want to mine you need to delegate your power to a pool, you can't do this alone. In addition, the pools are not part of the blockchain protocol, you have to thrust in the pool and its statistics of mining (total power hash, etc), there are no proofs.
The advantage of DPOS is that the delegated voting is part of the blockchain protocol. There is no need to delegate hash power, then there is no need to use electricity in hash power, then there is no need to pay to the people that delegate their vote, then the fees per transaction are reduced (free). We only pay to the block producer a little amount taken from the inflation of the coin.
In terms of technology I think DPOS is better, but in terms of centralization I think there is no big difference (only the part I've mentioned).
The centralization will be reduced in function of the number of block producers. What do you think?
Bitcoin is becoming more centralized as the miners, "block producers" begin to pool their resources. The key to limiting the number of block producers is two fold in that 1) if pooling resources (centralizing) is a constant threat, then its the same problem for thousands of miners as it would be for twenty, but only making 20 block producers improves speed and reduces friction 2) they are "voted" into position and can be "voted" out if they misbehave. You cannot vote out a bitcoin mining pool as there is no built in governance that allows for it. EOS provides the governance and therefore the constant ability to defend against centralization. I'm mostly paraphrasing the many videos that I have watched of Dan Larimer explaining Bitshares and Steemit, so I hope I have explained this correctly.