Post
Topic
Board Announcements (Altcoins)
Re: Slimcoin | First Proof of Burn currency | Decentralized Web
by
d5000
on 11/08/2018, 23:12:08 UTC
Hello, Slimcoin community!
Even though I did some research (i.e. tried the Bitcoin Wiki), I still can figure out what that Proof of Burn thing is. Can someone please explain me in the simplest manner possible? ELI5?

I tried it here (well, may be more ELI15 than ELI5, but Proof of Burn is complicated, as you'll have "un-node" your mind a bit):

http://slimco.in/proof-of-burn-eli5/

tl;dr: Imagine you're buying "virtual mining hardware". Each burnt coin could be considered a virtual mining rig. So the more coins you burn, the more chances to find blocks you have.

@muf18: All these disproportions are very likely related to the fact that very few people are staking permanently. So a big stakeholder can easily dominate staking. If the optimized code allows staking with less hardware usage, then it could partly solve that problem.

However, as I wrote, I'll look into the consensus algorithm if it could be improved. For example, one could lower the "chain trust" formula more drastically if e.g. there are more than 5 PoS blocks in a row; in this case, even a big staker would not find more than that. However, one must carefully do the simulations with many different inputs before changing something.

If a hard fork is needed, then I would support combining this fix with a transition to the Peercoin 0.6 codebase.