The first Proof of Stake project in the blockchain industry.
The Blockchain and Cryptocurrency industry started with “Satoshi Nakamoto”’s Bitcoin Whitepaper and it took everybody by surprise with its ground-breaking concept. In its early days, Bitcoin was so easy to mine that you could do it with just the CPU of your computer.
As time went by, more and more people were attracted to the idea of sending value instantly from one place to another, no matter the distance. It was a new and revolutionary way to transact with one another and it required no third party involvement. In a short time, more and more people joined the network and the network’s difficulty started to rise, this implied the need of stronger computing power to generate a higher hashrate, in order to be able to mine a block.
The race was started for the acquisition of hardware that could help you get the advantage in front of other miners and automatically this also raised the power consumption rate. The time was proving that we will soon need a change to challenge the ever-increasing need of power which was only leading to increasing costs. There was a need for a new consensus protocol.
In recent years we have seen a huge rise in the number of cryptocurrency enthusiasts. Not many of the new people know that the Proof of Stake Consensus Protocol was implemented into the blockchain industry by Peercoin. Developed by “Sunny King”, Peercoin was the third cryptocurrency to be created after Bitcoin. Launched in 2012, this project was going to change the cryptocurrency mining concept and add a revolutionary new idea into the blockchain. The concept of Proof of Stake Consensus Protocol which practically took the real-world application of a bank deposit and implemented it into the blockchain.
For the first time in history it was possible to simply hold the coins into a wallet and generate passive income by helping the network to mine new blocks. The Proof of Work Consensus Protocol was kept to ensure the stability and scalability of their network and work in balance with the newly created Proof of Stake. Not only that Peercoin created a new consensus, but they were also the first to show the possibilities of a Hybrid Blockchain which was sustained by both PoW and PoS at the same time.
This revolutionary implementation paved the way for a lot of new implementations into the blockchain architecture, like MasterNodes and new hybrids that helped on so many grounds. The proof of stake not only proved itself as an easier way to help a network to mine new blocks, but also took the power consumption levels back to the early days of Bitcoin, where keeping your PC open and running a simple script was all you needed to generate new blocks. The eco-friendly impact was quickly adopted by many other projects which developed their own blockchains and proved to bring significant changes to the world.
Peercoin project continues to advance even today, with lots of features released and even more under development. There are many tools and guides available on their website that could help you better understand their vision.
Check out their evolution and join them if you want to show your respect to a true Pioneer and ground-breaking project in the Cryptocurrency space!
Here are some official Peercoin links:
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*Disclaimer: My articles are not financial advice, one should also do his own research before investing in any project.
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