What are the disadvantages of switching from PoW to PoS ?
I'm asking this, so that we can have an objective discussion.
disadvantages of using POS:
1. POW security is better among Proof of Stake because POW has security with a decentralized system that is arranged in one block (Hash),
2. With the POS system, the price of coins will be easily attacked, for example, someone who has a lot of coins will become the ruler in this proof of stake system.
3. in addition, the supply of coins in proof of stake is not limited, this will greatly affect the fall in the price of coins while POW limits the amount of coin inventory so that the price can increase with the scarcity of the coin.
please correct if wrong.
Thanks for this. I just want to list out a few points in addition:
-"Pure" Proof of stake consensus algorithms give stakeholders the ability to monopolize the network, an attacker can capture the system and sell the resources they used to attack the system (which are coins). The price of coin can drop drastically.
-Since it has to depend on the online validator nodes, the system may not function as intended if there is a decrease in these nodes.
-If a validator loses their deposit, which is equivalent to losing all their hardware. People may find it discouraged to participate.
-It can take an enormous amount of disruption in order to end an attack event.
I believe that Vitalik and the team have already measured some of these problems in proper PoS mechanism. That's why they're going for a hybrid model PoW/PoS and implementing Casper. Correct me if I'm wrong.