The Ethereum network just backstabbed the community by partnering with WEF.
(dossier.substack.com)
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I saw a post celebrating this on the front page of r-all, so you know it's bad. Also most of the comments were bubbletards thinking this would make ETH go up in price.
It actually went down instead.
If the protocol was centralized enough that someone could unilaterally change the proof, then it was never a cryptocurrency in the first place.
Figured that would happen.
While I think a proof of stake network would be great for a decentralized payment processor, this bullshit is nothing but trouble.
I remember hearing the explanation of proof of work v proof of stake a few years back but I've forgotten since.
What does it boil down too again?
Proof of work requires a cryptominer to repeatedly calculate the hash of a block+a random number until said hash has so many leading zeros determined by a difficulty target that is computed from the blockchain itself. Since a hash is typically viewed as a one-way function the only way to get a satisfactory hash is brute force. This requires a lot of computational "work". The one-way function property of the hash function means that anyone who wants to abuse the system has to outpace all the other miners combined, doubling the global hashrate overnight.
Proof of stake requires a cryptominer to have control over a certain percentage of the total tokens. It essentially requires that each block is then signed by a stakeholder. This relies on the assumption that anyone who could erode trust in such a system would also be harmed by such an action. Of course this relies on all stakeholders being what game theory refers to as "rational actors".
The criticism that cryptominers waste energy is valid, but PoS is not the way to fix that.
It's not valid. Energy is produced by us in order to be consumed. If it were truly a waste and served no useful purpose, then you wouldn't be able to make a profit doing it.
A bitcoin is literally nothing. It is an imaginary coin. Our fiat paper is bad but crypto is worse. When your internet or electricity is turned off it is useless.
Crypto is bullshit.
Basically the problem is the same as the solution: it requires less computing power to run a validator. Therefore someone with tons of coin but controlling a relatively small amount of the attached computing power can exert undue influence.
They set the bar high, too. It requires $750 of computer to run a validator, but you have to stake $50k worth of coin. If it were just the computer, you'd have a million nerds running nodes from their basements. I guess they have to make the stake high enough that there is a real penalty for bad actors, but the value is discouraging what they claim to want. The solution to that was stake pools... which are themselves centralized (in fact, there's basically one that everyone is using).
Which does make the whole thing stink, IMO. I don't have a dog in this fight -- I own very little crypto and no ETH, but I spent most of the day reading about this.
Bitcoin's proof of work system does not provide for robust decentralisation, because it has no mechanism with which to enforce said requirement. Absent such a mechanism, regular market forces cause Bitcoin to become centralised wherever has the greatest competitive advantage, which is why 2/3rds to 3/4ths of all Bitcoin mining capacity was allowed to fall under the physical control of a single totalitarian regime until said regime kicked them out.
crypto is down
rocks are down
USD is down
stocks are down
property is overvalued, coupled with inflation and higher mortgage
what to do what to do.
Gold is up, no?
berry up ?
buy gold
HODL!!!!!
DIAMOND HANDS LADS! 💎🙌😤😤😤
You're telling me a currency in which hundreds of thousands of people across the world have high power PCs running 24/7 to mine this coin, and requires the electrical grid in order to even function, is more climate friendly than straight up coins or paper? Clown world indeed.
B-but to make paper you need to burn down all the trees!
Does anyone even use paper anymore? Haven't most countries moved to highly complex plastic bills these days?
So oil then? Sounds very environmental.
If you make your own coins, the government will come kick your ass.
You have it mixed up, the system you refer to is proof of work. They have switched away from that to proof of stake, which is explained elsewhere in the thread.
It's a lot more efficient than coins or paper.
Just exchanged all my Ethereum for Bitcoin. I'll probably move the funds that were Ethereum into something else later, but yeah I'm not supporting this lol.
Edit: Bought Monero. Thanks frens!
Get Monero bro
Ethereum was completely centralized trash from day one. Turning into PoS for the "climate" and getting in bed with the WEF sounds just about right for those faggots.
Goddam it.
wef delenda est
Crypto grifters?
Say it ain't so.
The value of a network is the value of the people building on that network.
As such ETC is worthless, because it's a wasteland.
Is that one resistant to its proof changing?