Solana is stepping up to the “big league” thanks to the approval of the first Solana staking ETF, which may bring wider altcoin adoption among yield-seeking institutions, an analyst said.
Proof-of-Stake News
Proof-of-stake (PoS) is a consensus mechanism in blockchain networks, serving as an energy-efficient alternative to proof-of-work (PoW). In PoS, validators are chosen to create new blocks and validate transactions based on the number of coins they hold and are willing to “stake” as collateral.
Unlike PoW, which requires significant computational power, PoS relies on the concept of economic security, incentivizing participants to act honestly to protect their investments. Validators are rewarded with transaction fees and newly minted coins, promoting network security and efficiency.
In 2022, Ethereum transitioned to a proof-of-stake mechanism, prioritizing enhanced security, reduced energy consumption and improved scalability for implementing new solutions, contrasting with the earlier proof-of-work architecture.
- News4580
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- NewsKraken has launched a Bitcoin staking service in partnership with Babylon, allowing users to earn BABY tokens. 5920
- Market AnalysisEthereum staking yields are falling as yield-bearing stablecoins and DeFi protocols offer more competitive returns. Can ETH regain the upper hand in the yield wars? 4734
- ProfileCo-founder and new CEO Sandeep Nailwal opens up about dissolving Polygon’s board, closing zkEVM and why claiming sole leadership is the network’s best shot at relevance. 5341
- NewsOver 28% of the total Ether supply is now staked, signaling that many investors are gearing up to hold their assets for the long term. 6560
- NewsThe SEC said protocol staking isn’t a securities transaction, marking a key win for crypto regulation and paving the way for potential ETF staking approval. 6669
- NewsThe US regulator has issued guidance on several crypto-related activities, but has yet to clarify rules on staking. 11192
- NewsStarkWare’s Noam Nisan joins The Clear Crypto Podcast to demystify staking, explore its economic incentives and weigh the trade-offs between proof-of-work and proof-of-stake. 3374
- NewsSolana Labs spin-out Anza proposed a new Solana consensus protocol to replace TowerBFT and the proof-of-history system, aiming to bring Web2-level speed to the network. 7422
- NewsEthereum researcher Justin Drake told Cointelegraph that launching a 51% attack on Bitcoin would be “much cheaper” than on Ethereum, estimating the cost at around $10 billion. 6542