Crypto Mining

ivax

New member
Jun 18, 2022
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First of all, I would like to make it clear that today there are two ways of mining cryptos, one is the proof of work, it is the first that appeared and uses the computational power of the network nodes to obtain the rewards.

And the proof of stake, which is the one that uses the monetary capacity of the users to mine coins, that is to say in this method you do not need a large number of machines but what is necessary is many coins, what it does in this method it is the staking of a certain amount of currency for the assembly of a node and that node is the one will verify the transactions of the cryptocurrency and for each verification we will have a reward.

Within the proof of stake you can mine the coins in two ways; using the masternodes or doing stacking. The main idea is the same, staking coins to mine cryptocurrencies, the difference is that in the masternodes the one that benefits the most is the one that has more masternodes in operation instead with stacking the one who has the most chances of winning is the one who bets the most coins.


In the block chain, the work done is rewarded, so for each verified transaction a reward is granted that is defined in the block chain, depending on the guarantee and its configuration.


In a verification, both nodes and people who use staking to verify transactions can get a reward, normally the reward is defined by masternode and staking, a valid reward setting could be 80% for nodes and 20% for staking, if we define 20 coins, then 14 will go to the nodes and 6 for staking, that is, for each verification in the block chain we will not carry 14 if we use a node and 6 if we do staking, we must also understand that everything depends on the number of nodes that are operational and the number of people who are staking, if there are many nodes we will collect rewards less frequently and it may be a better option to stake.


With staking we have to keep in mind that it not only depends on the number of people who do it but also on the currency we use to do it, if there are only 10 people staking it can be a good option but we always have to take into account that the amount of coins you use depends, if I go with 1000 and there is another user who has 10,000 coins in staking, this person will get most of the rewards, these are things that must be taken into account to obtain a higher return.
 
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