Crypto Academy Season 3 Beginners' course - Homework post for Task 4: Different types of Consensus Mechanisms by @shahidchoudary

shahidchoudary (64)Beginner[2,3,4,5,6,8,10]in SteemitCryptoAcademy • 3 years ago

Greetings to you all out there 🤗 i am happy that this platform has became an important learning place because of @steemitcryptoacademy . I am here to submit my homework given by sir @sapwood . So let's begin our task :

Designed on Canva

(1) What is the difference between PoW & PoS? Advantages & Disadvantages? Which one is better in scaling Capacity? Examples?

I am quite confident about answering this question.si let's divide it part by part.

What is the difference between PoW & PoS ?

Ans :

PoW	PoS

(▪️) There is no such competition to add any block to the chain. The block creater is randomly chosen based on the stake value.

(▪️) The bigger stakeholder , the more chances he have to be a block creator.
(▪️) It consumes very less power.
(▪️) The creator doesn't get any reward so he charges fee for it.

(▪️) To add any block to the chain miners need to solve a cryptographic puzzle using their system power.

(▪️) The more powerful the system is the more likely the miner is to be selected as block creater.
(▪️) It consumes a lot of power.
(▪️) The miner gets rewarded when block is added in blockchain.

Advantages & Disadvantages ?

PoW :

Advantages	Disadvantages

(▪️) The most prominent disadvantage is Electricity inefficiency . As it is game of systems with high end specifications so it need a lot of energy and other computing devices . (▪️) Its mechanism is like centralised . Because the one with high end system and devices would be obviously like a decision maker and this higher rank of a specific user makes it centralised.

(▪️) Its overall performance is low because transactions need time and hence it is not very suitable for commercial use.

(▪️) Everyone gets a fair chance. But the fastest gets the opportunity and he charge what he deserves.

(▪️) High end security is prominent because as we this system is based on hashes so getting the correct hash is almost impossible and it would cost too much.
(▪️) It is goal oriented so the miner has a proper goal and he work for it connecting digital and physical world.

( ▪️ ) It is not very complex . So its simple nature of work also get it an edge.

PoS :

Advantages	Disadvantages

( ▪️) To be a part of PoS you can't trade. You have to store more and more . This creates sometimes a worry for holder and he miss the chances.

(▪️) Even if you have a very bigger investment , you won't be promoted accordingly because suddenly another richer would come and your deserved opportunity could be lost.

(▪️) You can lose your everything because it is less secured and frauds are likely to happen.

(▪️) Sometimes even the selected ones aren't present so it slows down the process.

(▪️) The most prominent advantage is its power efficiency . Like PoS it doesn't require very huge power and computing devices so it is less costly and eco friendly. (▪️) The user get rewarded According to stake value so the Reward would be equal to the value and hence their would be no( not 0% vut very less) centralisation.

(▪️) You don't need complex softwares and high end devices and this simplicity gives it an edge.

( ▪️) As it needs more and more token so it puts an selling / buying trend in market which is very essential for cryptocurrencies.

Scaling Capacity :

Scaling capacity is actually the ability of any cryptocurrency to proceed a specific number of transactions at a time . It is different for different currencies depending upon their system and nature of proof and some other factors.

Which one is better in scaling Capacity?

According to my study , PoS is better is scaling Capacity . Because even there are more transactions are queed at PoW , due to its slower nature it would not stand in comparison to PoW . PoW being so energy efficient makes the whole process very easy and fast. Even though it is less secured but when it comes to numerical figure it is prominent one .
Even many transactions are supposed to happen due to many stakeholders it get all done in no time and stands out.

Examples :

Many famous cryptocurrencies like

Bitcoin
Ethereum
Lite coin
comes in catagory of PoW but even after their dominance their scaling Capacity is less then many other cryptocurrencies.

Cryptocurrencies like

BnB
Akt
Dash
Neo
Comes in catagory of PoS and they have a bigger scaling Capacity.

••°°••°°••°°••°°••
🖤🖤

Thanks for giving it a read. I tried my best to answer the question in better way. I hope i didn't missed anything. ⭐😇

Submitted by :

@shahidchoudary

#homework #academy-intro04 #cryptoacademy #pakistan #steemit #steem #success

3 years ago in SteemitCryptoAcademy by shahidchoudary (64)Beginner[2,3,4,5,6,8,10]

Sort:

reminiscence01 (74)memberProfessor 3 years ago

Hello @shahidchoudary , I’m glad you participated in the 4th Task of the Beginner’s class at the Steemit Crypto Academy. Your grades in this task are as follows:

Criteria	Ratings
Presentation / Use of Markdowns	1/2
Compliance with topic	1/2
Spelling and Grammar	1/2
Quality of Analysis	1/2
Originality	1/2
Total	5

Observations:

The creator doesn't get any reward so he charges fee for it

This is not true. In PoS, the validators get reward from transaction fees on the network.

Recommendation / Feedback:

Firstly, try to make your explanations as simple as possible.
Always try to poof-read your work before submitting it. There were some grammatical errors that can be avoided using Grammarly. So I suggest you use it in your preceding tasks.
presentation is not good. You can improve your writing skills by working on your Markdown styles.

Thank you for submitting your homework task 4. We hope to see the rest of your submissions.

$0.00

[-]

shahidchoudary (64)Beginner[2,3,4,5,6,8,10] 3 years ago

I tried my best.. i am so embarrassed there was so many mistakes 😞😞... I would try to improve next time....thanks for grading

$0.00

STEEM 0.16

TRX 0.16

JST 0.030

BTC 59184.02

ETH 2530.26

USDT 1.00

SBD 2.46