Mining is the cool word in crypto space but most complex part of crypto world.It starts with the genesis block and all the rest of the coins.There are many types of algorithm to do create the coins but today my focus would be on POW & POS.
POW:
A system where the coins are rewarded to someone who shows proof of work being done.
In case of bitcoin this requires ASIC miners and for ether it requires GPU miners.
POS:
A system where the coins are rewarded to someone who shows proof of stake(how much you have) .So a person having 10% worth of total coins will also get the 10% coins being generated.The future of the crypto lies in POS system as this does not requires proof of work which is energy consuming but as of today the POS is not mature enough or ready to be deployed without issues.Thus needs more work.There are lots of coins using this system to reward new coins.we will analyze and find out the best ones.
For today lets find out details of one much coins:
1.Lisk:
Current Price: $6.04 USD
Circulating Supply: 112,834,005 LSK
Market Cap: $681,731,775 USD
RANK: 15
No of total coins: Unlimited
With every new block created, 5 new LSK will be added to the supply. Every 3,000,000 blocks (~1 year) this reward is reduced by 1 LSK, ending at 1 LSK per block where it stays like that forever. The forging rewards are equally distributed among all 101 delegates.
Launch date: live on May 24th 2016.
Who controls the Lisk network?
The Lisk network is both decentralized and trustless. That means no single individual is in direct control. The network is secured by 101 democratically elected delegates whose primary responsibility is to confirm and broadcast the validity of transactions by including them in generated blocks
To mine it you need to be a in top 101 delegates.Which seems quite a challenging task as there are more the 500 delegates and you need votes from other delegates to become one.
The cost to become delegate – 25 Lisk
Voting cost – 1 Lisk
But as always there is possibility of pooling in coins and mining. In the coming days i will play with the pools and try to be a delegate and see how this works.
