A Close Look At Blockchain Cryptographic Consensus And Why NASGO Decentralized Democracy Stands Tall
When the cryptocurrency created by Satoshi Nakamoto was started (Bitcoin), it was developed on a blockchain consensus protocol called Proof Of Work (POW). Just to be clear, that POW system was not invented by Satoshi, but by Markus Jakobsson and Ari Juels in 1999. Many other cryptocurrencies adopted the Proof Of Work consensus, but even those who worked in and on the Bitcoin model agreed that in time, better blockchain consensus systems would be developed.
How The Proof Of Work Consensus Works
Without getting too deep into the technical nature of the blockchain consensus system, I will just say that as a transaction is administered, it must be entered into the blockchain.
In the Proof Of Work system, miners must use computational methods to develop a “hash.” Understand this, “hashing” is the process of providing each entry its own string of characters that are unique to that one entry.
The hash is essentially a difficult puzzle that must be solved and the miner who uses his/her computer system to solve it is awarded coins, as well as miner fees. And while the system works, it has some problems.
The first being the speed of blocks being completed. Miners “grab” the transaction from a pool and send their computer system to work. The average speed is 10 minutes but some transactions can take up to ½ hour.
The second, and biggest problem is the extreme use of energy. The computational power to “solve the puzzle” can use a lot of electricity and runs bills high.
Naturally, there are entrepreneurs working on solving this issue and one of those just joined the NASGO blockchain knowing its consensus is better. So they are utilizing the NASGO decentralized democracy blockchain to help solve other blockchains using the POW consensus.
NASGO warmly welcomes ElectroMiner self-sustaining mining platform to the network.
What The Heck is Proof of Stake?
To overcome the issues with energy consumption, the Proof Of Stake (POS) consensus was developed. Instead of mining to verify and add transactions to the blockchain, the miner is chosen by owning a large part of cryptocurrency the blockchain uses.
This is considered a much “fairer” system given the fact that anyone who owns the currency can be a miner and make more as they help complete blocks within the blockchain. They need not purchase expensive computer mining systems, they only need to invest in the cryptocurrency.
But are those who believed that this consensus system is really not as fair as pictured. The reason being are those who buy heavily into the internal crypto will have more advantages of attaining block building capabilities.
Essentially, if we were to look at it from a political perspective, the POS system is similar to a Communist system where those who have the money to “buy in” will make the most money by getting preferential treatment.
The rich get richer!
The Consensus System NASGO Uses – DPOS
It is one of the newest consensus systems in place and NASGO decentralized democracy adopted this system.
DPOS stands for Delegated Proof Of Stake. Using the basic Proof Of Stake system, instead of the entities who own the most currency having the majority of “mining power,” anyone who owns even 1 coin has the ability to be a “delegate.” It is a democratic structure where delegates are voted in or out of the Delegate Panel. That “Panel” then selects delegates to confirm blocks whereas they then earn mining/block construction fees.
DPOS is found to be more decentralized than other consensus systems because the threshold to enter is very low. And while anyone can enter other consensus systems, there is a cost barrier so the ones who truly benefit are large pools of miners who are monopolizing.
That Is Why NASGO Decentralized Democracy Is Grabbing So Much Attention
The “buy in” is minuscule in comparison to other systems. So if you have had a desire to jump into mining cryptocurrency, you really do not have to run out spending your savings on equipment that could be obsolete 1 year from now.
You can simply buy into the DPOS system at NASGO and seek your place as a delegate.
Just shoot over to NASGO here and register. You can purchase the NASGO internal coin after you register and the system has a safe and secure wallet to store your NSG coins in.
Blocks will need to be verified in the chain… Many are coming on board…
- OBX Coin
- and more
When transactions happen, there must be delegate verification in the DPOS democratic fashion.
You see, blockchain technology is exploding and NASGO is leading the way… The NASGO Decentralized Democracy Freeway!