Blockchain Validators and Proof-of-Stake Benefits

<p>Wealth concentration</p> Signup and view all the answers

<p>Randomly (higher probability with more stake)</p> Signup and view all the answers

<p>Reduced centralization risks</p> Signup and view all the answers

<p>By sending a special transaction that locks up their coins</p> Signup and view all the answers

<p>Reduced electricity consumption</p> Signup and view all the answers

<p>By making 51% attacks economically expensive through penalties</p> Signup and view all the answers

<p>$10 million of coins offers 10 times higher returns than $1 million of coins</p> Signup and view all the answers

<p>To create a decentralized world computer for running smart contracts</p> Signup and view all the answers

<p>Ethereum does distributed data storage and computations, unlike Bitcoin</p> Signup and view all the answers

<p>Create new transactions, explore Ethereum's blockchain, run smart contracts, and mine for new blocks</p> Signup and view all the answers

<p>Centralized Data Storage</p> Signup and view all the answers

<p>A decentralized world computer for executing smart contracts</p> Signup and view all the answers

<p>Running smart contracts exactly as programmed</p> Signup and view all the answers

<p>Ethereum Virtual Machine (EVM)</p> Signup and view all the answers

<p>Executing smart contracts</p> Signup and view all the answers

<p>A consensus algorithm used by Ethereum</p> Signup and view all the answers

<p>Developers who create smart contracts</p> Signup and view all the answers

<p>Proof-of-Stake</p> Signup and view all the answers

<p>32 ETH</p> Signup and view all the answers

<p>Wealth concentration</p> Signup and view all the answers

<p>Reduced centralization risks and ability to use economic penalties to deter attacks.</p> Signup and view all the answers

<p>Rich get richer</p> Signup and view all the answers

<p>Proof-of-stake does not require large quantities of electricity to secure the blockchain.</p> Signup and view all the answers

<p>Proof-of-Stake</p> Signup and view all the answers

<p>It may be possible to have negative net issuance over time.</p> Signup and view all the answers

<p>Mainnet uses Proof-of-Work, Beacon Chain uses Proof-of-Stake</p> Signup and view all the answers

<p>$10 million of coins will yield exactly 10 times higher returns than $1 million of coins.</p> Signup and view all the answers

<p>51% attacks are made vastly more expensive to carry out.</p> Signup and view all the answers

<p>Reduced centralization risks as economies of scale have less impact.</p> Signup and view all the answers

<p>To run smart contracts that execute exactly as programmed without any downtime, censorship, fraud, or third-party interference.</p> Signup and view all the answers

<p>The ability to run smart contracts without the possibility of downtime, censorship, fraud, or third-party interference.</p> Signup and view all the answers

<p>Providing an environment to execute code written in smart contracts.</p> Signup and view all the answers

<p>To enforce negotiation between two parties exchanging smart contracts.</p> Signup and view all the answers

<p>To discourage 51% attacks compared to Proof of Work.</p> Signup and view all the answers

<p>Proof of Stake.</p> Signup and view all the answers

<p>Ethereum's block time is shorter.</p> Signup and view all the answers

<p>Ethash.</p> Signup and view all the answers

<p>Move to a more energy-efficient Proof-of-Stake protocol.</p> Signup and view all the answers

<p>ETH.</p> Signup and view all the answers

<p>Around 12-14 seconds in Ethereum, much shorter than Bitcoin's ~10 minutes.</p> Signup and view all the answers

<p>Proof-of-Stake.</p> Signup and view all the answers

<p>To create an unstoppable, censorship-resistant, self-sustaining, decentralized world computer that can run smart contracts.</p> Signup and view all the answers

<p>Ethereum aims to enable faster results and settlements, facilitate global and remote participation, and ensure the integrity of recorded votes through immutable records.</p> Signup and view all the answers

<p>While Bitcoin focuses on distributed data storage, Ethereum goes beyond that by also enabling distributed data storage plus computations.</p> Signup and view all the answers

<p>One significant advantage is the energy efficiency compared to proof-of-work algorithms.</p> Signup and view all the answers

<p>Users can become validators by staking their own coins as collateral in the network.</p> Signup and view all the answers

<p>Users must stake Ether, the cryptocurrency native to the Ethereum network.</p> Signup and view all the answers