Author: Stephen Reed 2014-04-25 10:35:00
Published on: 2014-04-25T10:35:00+00:00
The author discusses the compatibility of proof-of-stake blockchains with the sidechain/two-way peg system invented by Greg Maxwell. The author aims to explore the concept of sidechains and merge-mining support. He states that sidechains do not create coinbase transactions themselves, but when Bitcoin Core supports the two-way peg, the source code branch will be updated to incorporate any change that is released. The author plans to examine PPC, NXT and whitepapers for ideas that can be implemented in such a way that it can be called Bitcoin, with the absence of wasteful Proof-of-Work. The author believes that coin age is a good starting point and suggests that a reference peer-to-peer pool developed by him would be responsible for fairly distributing mining rewards as daily dividend payments to PoS full node pool members. The author plans to establish a Proof-of-Stake Bitcoin project thread in the Project Development sub-forum of Bitcointalk. The author seeks technical discussion there and encourages a list of principles to be created.The email from Jeffrey Paul raises the question of whether alternate decentralized consensus algorithms like proof of execution, proof of stake, and others are compatible with the sidechain universe as envisioned. The author suggests that ideally, when sidechains can work with PoW Bitcoin, then those same sidechains should work without any changes with PoS Bitcoin running in his testnet. If alternate consensus algorithms cannot retain compatibility with Bitcoin in a two-way peg model, "alternate universe" altcoin experiments with different proof models take on a different cost/benefit ratio if they can't ever interoperate as sidechains.
Updated on: 2023-06-08T21:19:30.954583+00:00