About Proof of Stake

KALM-150x150"

Tom clears up the confusion in Ethereum’s new method of verifying its blockchain and explains the different approaches blockchains utilize.

Featuring Tom Merritt.

Episodes mentioned:

About Blockchain

MP3

Please SUBSCRIBE HERE.

A special thanks to all our supporters–without you, none of this would be possible.

Thanks to Kevin MacLeod of Incompetech.com for the theme music.

Thanks to Garrett Weinzierl for the logo!

Thanks to our mods, Kylde, Jack_Shid, KAPT_Kipper, and scottierowland on the subreddit

Send us email to [email protected]

Episode transcript:

I heard one of those big crypto outfits merged something to proof of stake

Does this mean only rich people control cryptocurrency?

Or does it somehow involve beef?

Confused? Dont’ be!

Let’s help you know a little more about Proof of Stake.

In our episode on how a blockchain worked we talked about one of the big advantages of the blockchain is that it’s really hard to fake a record or manipulate how transactions get recorded. It is very difficult to alter the ledger.
See that episode for more details, but one way to preserve this aspect of decentralization is to make it hard to be the one who adds and validates new blocks to the chain. You want to make it hard and hard to predict who will get to do the block validations. In that episode we talk mostly about proof of work. This is the system that requires a node to be the the first to calculate a very hard problem in order to have the right to add the block to the chain. In Bitcoin’s blockchain it’s called “mining” because you’re also rewarded with a bitcoin. The calculation is such that just having the most power won’t assure you do it first, but you will need a lot of computer power, so not just anyone can attempt it. And the downside is, it uses a lot of energy.
But we briefly mentioned another method called Proof of Stake. Instead of requiring work to be done, Proof of stake uses a random factor to distribute who gets to add the block. This still prevents actors from dominating the block validation, but without the energy use caused by proof of work. One proof of stake method is coin age. The actor that has the coin they have held on to the longest without spending OR being used to prove their stake, gets to calculate the next block. The example we give is you have kept a coin for 90 days another actor has kept a coin for 75 days and everybody else has kept their coins for 60 days or less. You get to calculate the next block, but then your coin age is reset to 0. The next block would go to the actor who had a coin for 75 days. In practice other factors are also used to prevent participants with large collections of coins from being able to dominate the network.
Ethereum switched from proof-of work to proof of stake. It wasn’t the first blockchain to implement proof of stake but it certainly is the biggest.
Ethereum uses a system of at least 16,384 validator nodes– it has more than 400,000. To become a validator, a node must “stake” 32 ETH. That’s 32 ETH per node. The stake cannot be spent. Validators are chosen at random to propose validating a block, using Ethereum’s own “good enough” RANDAO system. A committee of 128 validator nodes then attests to the block.
Each validator node on the committee adds its verification to a block of “shards.” When 128 shards have been attested that shard block is done. When 2/3 of the validators on a committee agree that the transaction is valid, it is finalized and closed and replicated throughout the blockchain. Validators receive transaction fees as a reward for both proposing a block and attesting to it.
One side note about the shard aspect of this. Sharding lets multiple blocks be processed at once. So instead of validating a block. Adding it to the chain and validating the next block. Ethereum will run 64 shard chains at once. As each shard block is finished its added but it doesn’t have to wait for all the other shard blocks to finish. It can just be added when it’s done. This means the Proof of Stake Ethereum chain can process transactions at least 64 times as fast as the proof of work chain could.
You could do sharding on a Proof of work system, but because computer power would be lower on each shard chain, it would be less secure. Since Proof of stake doesn’t use computer power as an element of choosing the validator, it is not susceptible to that weakness.
As we mentioned Proof-of-work uses energy. It requires computations be difficult so that it’s hard to win the right to make a block. Proof-of-stake doesn’t use nearly as much energy since there is no intense computation required to win the right to record a block. Before it switched to proof-of-stake on September 15th, Etehreum estimated energy consumption on the Ethereum blockchain would drop by around 99.95%.
In a proof of work system the limiting factor on someone validating blocks is equipment and energy. In a proof of stake system, it’s the amount of tokens they can buy or already own and then just random luck.
Proof of stake doesn’t reward the actor with the most expensive equipment. When balanced properly it’s expensive enough to buy in as a validator that there is a barrier to bad actors from entering, but it is not so high a barrier that a wealthy actor can dominate the system. Random assigning of validators means if the pool of validators is diverse and balanced, then it would be extremely difficult to manipulate the system.
One safeguard is the requirement to use tokens as a stake in order to validate and they can lose that stake. Misbehavior can see a participant lose some or all of their stake. At the very base if they qualify as a validator and then fail to participate they lose their stake. The penalties are small enough on each instance, that getting knocked offline won’t wipe out a stake. Consensys.net estimates that “if a validator is participating correctly more than half the time then her rewards will be net positive.” This is meant to keep bad actors from teaming up to sabotage the network by not validating new blocks.
On the Ethereum chain there are two dishonest behaviors that can result in an actor losing their entire stake. One would be proposing multiple blocks at once, also called equivocating. Another would be proposing contradictory attestations. In other words saying the block is valid but also saying it’s invalid. The more validators that attempt this at once, the higher the penalty. One validator acting alone would lose 1% of their stake, but the more that attempt it the higher the percentage up to possibly losing the whole stake. A violator can also be ejected from the network.
Other kinds of attacks on the blockchain can also be attempted. Ethereum argues that since validators do not need to do energy-intensive work to conduct validation, they have more flexibility in fighting off attacks. For instance, if a bad actor attempted to fork the chain to their advantage the good actors could promote a minority fork of the blockchain without the bad actor as the valid one and cut out the bad actors stake.
Most proof of stake systems have other security features that they intentionally do not advertise in order to reduce attempts to circumvent them.
Proof-of-stake is more complicated. On Ethereum, users have to run three pieces of software to participate. Proof-of-work systems generally only need one.
But in the end Proof-of-stake is more accessible and quite a bit more energy efficient. Its proponents argue that it should also be more efficient. Expect more blockchains to copy Ethereum’s successes, and learn from their mistakes. In other words, I hope you know a little more about Proof of Stake.

Is There A Visual Search Trend? – DTNS 4388

Sony announces release dates, pricing and full feature set for the PSVR2. Plus Google just put a Lens button to the google.com homepage in the search bar. And we have all the news from Google’s AI event.

Starring Tom Merritt, Sarah Lane, Scott Johnson, Roger Chang, Joe, Amos

MP3 Download


Using a Screen Reader? Click here

Multiple versions (ogg, video etc.) from Archive.org

Follow us on Twitter Instgram YouTube and Twitch

Please SUBSCRIBE HERE.

Subscribe through Apple Podcasts.

A special thanks to all our supporters–without you, none of this would be possible.

If you are willing to support the show or to give as little as 10 cents a day on Patreon, Thank you!

Become a Patron!

Big thanks to Dan Lueders for the headlines music and Martin Bell for the opening theme!

Big thanks to Mustafa A. from thepolarcat.com for the logo!

Thanks to our mods Jack_Shid and KAPT_Kipper on the subreddit

Send to email to [email protected]

Show Notes
To read the show notes in a separate page click here!


Paramount llega a 67 millones de suscriptores – NTX 241

El MoMA exhibe videojuegos, Paramount crece en el terreno del streaming y revisamos el juego Beyond the Nightmares

MP3


Puedes  SUSCRIBIRTE AQUÍ.

Noticias:
-Tumblr actualizó sus lineamientos comunitarios para permitir “desnudos, temas para adultos o temas sexuales” siempre y cuando se etiquete adecuadamente la publicación.
-Google lanzará nuevos controles parentales para sus aplicaciones de Google Assitant, Google Home y Family Link tanto para Android como para iOS.
Twitch se asoció con Xbox para poder ofrecer tres meses de suscripciones de PC Game Pass al comprar o regalar dos nuevas suscripciones de Twitch.
-El Museo de Arte Moderno de Nueva York montó la exhibición de Never Alone: Video Games as Interactive Design.
-Juntando todas las plataformas de Paramount, como Paramount +, Pluto TV, Showtime, Noggin y BET +, la compañía pasó de los 63.7 millones a los 67 millones de suscriptores a nivel mundial.
-Este sábado, como parte del Festival de Cine de Terror Morbido en colaboración con Ventana Sur, se montó el showroom de Maquinitas para conocer varios juegos desarrollados por talento latinoamericano. El día de hoy te comparto una charla que tuvimos con Rogelio Alvarado, CEO y CTO de Tres Pixeles, quien nos platicará sobre Beyond the Nightmares. Puedes saber más sobre el juego en sus cuentas de Facebook o Instagram.

Puedes apoyar a Noticias de Tecnología Express directamente en este enlace.
Gracias a todos los que nos apoyan. Sin ustedes, nada de esto sería posible.
Muchas gracias a Dan Lueders por la música.

Contáctanos escribiendo a [email protected]

Show Notes
Para leer las notas del episodio en una ventana aparte, ¡haz click aquí!

Sony Announces PSVR2 Release Date and Price – DTH

Sony announced the release date and price for the PSVR2 headset, Tumblr revises community guidelines to allow for “mature subject matter,” and Twitch launches Guest Star for all streamers.

MP3

Please SUBSCRIBE HERE.

You can get an ad-free feed of Daily Tech Headlines for $3 a month here.

A special thanks to all our supporters–without you, none of this would be possible.

Big thanks to Dan Lueders for the theme music.

Big thanks to Mustafa A. from thepolarcat.com for the logo!

Thanks to our mods, KAPT_Kipper, and PJReese on the subreddit

Send us email to [email protected]

Show Notes
To read the show notes in a separate page click here.

How Do You Cut an EV? – DTNS 4387

We find out how Mercedes-Benz is developing new technologies and protocols to make EVs safer for passengers and first responders. Plus Amazon is opening its full Amazon Music Unlimited catalog in Shuffle Mode to all Prime subscribers at no additional cost. And YouTube announced “Primetime Channels”, a feature that lets viewers subscribe and watch content from over 30 services within the YouTube app.

Starring Tom Merritt, Tim Stevens, Roger Chang, Joe, Amos

MP3 Download


Using a Screen Reader? Click here

Multiple versions (ogg, video etc.) from Archive.org

Follow us on Twitter Instgram YouTube and Twitch

Please SUBSCRIBE HERE.

Subscribe through Apple Podcasts.

A special thanks to all our supporters–without you, none of this would be possible.

If you are willing to support the show or to give as little as 10 cents a day on Patreon, Thank you!

Become a Patron!

Big thanks to Dan Lueders for the headlines music and Martin Bell for the opening theme!

Big thanks to Mustafa A. from thepolarcat.com for the logo!

Thanks to our mods Jack_Shid and KAPT_Kipper on the subreddit

Send to email to [email protected]

Show Notes
To read the show notes in a separate page click here!


La guerra del streaming de audio se vuelve más competitiva – NTX 240

Amazon Music Prime mejora su oferta, Google Hangouts se va de este mundo y te invitamos a conocer más sobre el juego Dark Tales from Mexico.

MP3


Puedes  SUSCRIBIRTE AQUÍ.

Noticias:
-Uber tuvo su reporte a inversionistas y tuvo ingresos de 8,340 millones de dólares, por encima de los 8,120 esperados por analistas, aunque la compañía reportó una pérdida neta de $1,200 millones durante el trimestre
-Netflix continúa gastando como si no hubiera recesión y adquirió su sexto estudio desarrollador de juegos, Spry Fox
-El jefe de Xbox, Phil Spencer, dijo que siguen planeando lanzar juegos de Call of Duty en PlayStation, “siempre que haya una PlayStation a la cual enviarlos”
-Guardemos un minuto de silencio por Google Hangouts, la aplicación de mensajería de Google, usada también para videollamadas, y que hoy deja de funcionar.
-¿Tienes Amazon Prime? Te tenemos buenas noticias, ya que ahora podrás acceder a todo el catálogo de Amazon Music, pasando de los 2 millones de canciones que ofrecía a 100 millones.
-Este sábado, como parte del Festival de Cine de Terror Morbido en colaboración con Ventana Sur, se montó el showroom de Maquinitas para conocer varios juegos desarrollados por talento latinoamericano. El día de hoy te comparto una charla que tuvimos con Luis Cepeda para hablar sobre el desarrollo de Dark Tales from Mexico

Puedes apoyar a Noticias de Tecnología Express directamente en este enlace.
Gracias a todos los que nos apoyan. Sin ustedes, nada de esto sería posible.
Muchas gracias a Dan Lueders por la música.

Contáctanos escribiendo a [email protected]

Show Notes
Para leer las notas del episodio en una ventana aparte, ¡haz click aquí!

US Senator asks for CFIUS review of Twitter financing deal – DTH

DTH-6-150x150US Senator asks for a review of Twitter financing deal by the Committee on Foreign Investment in the United States (CFIUS), the decentralized social media network Mastodon climbs the App Store rankings, and Netflix buys another game studio.

MP3

Please SUBSCRIBE HERE.

You can get an ad-free feed of Daily Tech Headlines for $3 a month here.

A special thanks to all our supporters–without you, none of this would be possible.

Big thanks to Dan Lueders for the theme music.

Big thanks to Mustafa A. from thepolarcat.com for the logo!

Thanks to our mods, KAPT_Kipper, and PJReese on the subreddit

Send us email to [email protected]

Show Notes
To read the show notes in a separate page click here.

4 Second Warning, Now For Earthquakes! – DTNS 4386

How is climate change negatively impacting high-performance computing aka super computers and what can be done about it? Plus how did Android users get alerted to an earthquake before it happened? And now that Elon Musk is the owner of Twitter what are the changes that are being announced?

Starring Tom Merritt, Sarah Lane, Dr Nicole Ackermans, Roger Chang, Joe, Amos


MP3 Download


Using a Screen Reader? Click here

Multiple versions (ogg, video etc.) from Archive.org

Follow us on Twitter Instgram YouTube and Twitch

Please SUBSCRIBE HERE.

Subscribe through Apple Podcasts.

A special thanks to all our supporters–without you, none of this would be possible.

If you are willing to support the show or to give as little as 10 cents a day on Patreon, Thank you!

Become a Patron!

Big thanks to Dan Lueders for the headlines music and Martin Bell for the opening theme!

Big thanks to Mustafa A. from thepolarcat.com for the logo!

Thanks to our mods Jack_Shid and KAPT_Kipper on the subreddit

Send to email to [email protected]

Show Notes
To read the show notes in a separate page click here!


Aumenta el uso de Mastodon – NTX 239

Mercado Pago te permite comprar cripto, Mastodon incrementa usuarios y hablamos sobre el videojuego de Mexzombies.

MP3


Puedes  SUSCRIBIRTE AQUÍ.

Noticias:
-Google adquirió la plataforma de avatares animados Alter, lanzada originalmente como Facemoji, por aproximadamente $100 millones de dólares.
-En la India, los usuarios de WhatsApp en Bangalore pueden usar la plataforma para comprar boletos de tren y saldo para sus pases de viaje. WhatsApp
-China lanzó el tercer y último módulo necesario para establecer su estación espacial permanente.
-Mercado Pago ya permite la compra, venta y administración de bitcoin y Ethereum en su plataforma.
-La plataforma de microbloging, Mastodon, vio un aumento de suscriptores este viernes, con 70,000 nuevos usuario, llegando a los 91,000 durante el fin de semana.
-Este sábado, como parte del Festival de Cine de Terror Morbido, se montó un showroom para conocer varios juegos desarrollados por talento latinoamericano. El día de hoy platicamos con Sebastián Covacevich, el diseñador principal del juego Mexzombies, basado en la película de ViX + del mismo nombre. Los siguientes días estaremos presentando más cápsulas para conocer otros juegos presentados en este evento.

Puedes apoyar a Noticias de Tecnología Express directamente en este enlace.
Gracias a todos los que nos apoyan. Sin ustedes, nada de esto sería posible.
Muchas gracias a Dan Lueders por la música.

Contáctanos escribiendo a [email protected]

Show Notes
Para leer las notas del episodio en una ventana aparte, ¡haz click aquí!

GM pauses Twitter advertising – DTH

DTH-6-150x150Elon Musk may charge verified Twitter users a subscription fee to keep the blue checkmark, GM paused Twitter advertising, Apple’s new M2 MacBook Pros may not arrive until next year, and Peloton rolls out a Wear OS 3 app.

MP3

Please SUBSCRIBE HERE.

You can get an ad-free feed of Daily Tech Headlines for $3 a month here.

A special thanks to all our supporters–without you, none of this would be possible.

Big thanks to Dan Lueders for the theme music.

Big thanks to Mustafa A. from thepolarcat.com for the logo!

Thanks to our mods, KAPT_Kipper, and PJReese on the subreddit

Send us email to [email protected]

Show Notes
To read the show notes in a separate page click here.