This article was first published on Wanchain - Medium
In the previous two articles, we introduced two core algorithms of Galaxy Consensus, the random number generation algorithm and the leader selection algorithm. These two algorithms ensure that the consensus process can proceed safely and steadily after. The question still remains, how can we promote the participation of all token holders? This article will detail how Wanchain’s delegation mechanism answers that question.
1. Galaxy Consensus Delegation Mechanism Design Background
There are already many PoS consensus mechanisms in the blockchain industry. They have been proposed by rigorous and meticulous academics and industry experts with rich experience, but they are generally lacking in practicality.
The following points are of particular concern:
High participation threshold
While PoS consensus protocols do not require the high computing power and investment in expensive mining hardware associated with PoW protocols, there are sill requirements for certain level of computing power and network bandwidth in order to for participants to successfully take part in consensus. This means that PoS participants still need to invest a certain amount in getting their nodes set up in running. Cost will vary depending on whether the node operators use AWS or get set up on bare metal, but the fact remains that there are some costs of getting set up and running. This, combined with the PoS principal that participants are rewarded in proportion to the amount of stake they hold, establishes a certain threshold for participation. Participants will only be able to profitably join in consensus when the protocol rewards are higher than their operation costs. This establishes a certain minimum threshold which will shut out a certain number of participants. This is a not a part of ...
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