the POI algorithm, albeit unique, is not a huge amount different than a regular POS algorithm, the only difference being that it takes into consideration how many transactions you make.
If you think it can easily be cheated, well i guess all you need to do is move your funds across different accounts constantly.
Thanks for confirming it is just proof-of-stake with some weighting by the transaction graph. That is my read also:
http://nem.io/NEM_techRef.pdf#section.7As for whether it's security could be gamed (leading to The DAO like failure), well I would argue that the risk is nonzero (given that anyone can make a lot of transactions) until it has been properly peer reviewed. You can't trust one guy to do this sort of analysis.
Well it will be interesting analysis when the code is made open source.
I think its more complex than just moving from one account to another, i think it also takes into consideration the size of the transaction etc.
If its well coded it should be able to work out if you are moving your funds around from account to account.
I think you would have to make many transactions to multiple addresses, and make use a different address each time to circumvent the system, either way, i dont think it would be easy, and then all the fees on top of that may not even make such an attempt worthwhile to pursue.
we will wait and see anyway.
Interestingly I myself have thought about this if it was simple as shifting funds to and from other addresses, and i dont think it would be very easy to cheat to any significant level.
And i dont think if could work even if it could be severly cheated, if a few were doing this, i think it would still balance out, as everyone is still paying the same fees, and they cant go to all the accounts that were cheating.