Post
Topic
Board Announcements (Altcoins)
Re: [ANN] 🔥 Skrumble Network SKM 🔥 AIRDROP October (PoA + Masternode Staking)
by
negancoin
on 09/10/2018, 23:16:09 UTC
I see SKM has PoA - but what does PoA actually mean? Proof of what?

It stands for " proof of authority " which is a consensus mechanism for blockchain and an alternative for proof of work, proof of stake. There are many companies that used like Ripple.  If you are interested in understanding the concept deeply, just search for it on youtube, there are some cool video about the subject.


This type of consensus is becoming more common, I saw projects like Gochain using the mechanism but I think it's not that decentralized than POW or POS because only choosen companies can mine it.

Yep. This one of the disadvantages, it uses pre-selected validators which make it less decentralized, however it suits small and medium businesses, because creating a blockchain with POW or PoS is very expansive and requires lot of resource to keep the blockchain running.