More about using the Proof-of-Stake concept in SPARTA: operation principle and advantages
Associating all cryptocurrencies with Bitcoin, most people think that mining is the only way to mine coins. However, it is not so. There is another way of mining coins – forging – which is more trouble-free and cost-effective.
What is the difference between mining and forging?
– Supporting the operation of a network based on Proof-of-Work (PoW) is commonly called mining. Miners use computing power to mine coins. The more powerful computer is; the more chances a user has to mine a coin. Consequently, mining requires expensive computing equipment as well as huge monthly electricity costs. In other words, to start mining coins with the PoW method you have to invest a large lump sum. Then you will have to invest more and more money as over time the network complexity will be growing which means the equipment will require a regular upgrade.
– Forging is based on the Proof-of-stake (PoS) algorithm. Forging is not based on computing power, but on the user account balance. The more tokens are in an account, the greater the chances of creating a block and receiving a reward. As a result, this method is available to everyone. Computational requirements are small, and computational capacity and electricity are not wasted. To start forging, you only need a wallet with a minimum number of tokens. Clearly, buying a required number of coins entails some extra expenses but compared to mining costs, they are not significant. If needed, you can always sell the purchased coins. Moreover, PoS-miner don’t have to upgrade their equipment and pay huge electricity bills.
As you can see, forging has significant advantages over mining. Many popular cryptocurrencies including Ethereum are thinking about switching to Proof-of-Stake. Like SPARTA, most of young promising cryptocurrencies prefer to use Proof-of-Stake.
More about earning by forging – https://sparta.top/how-to-earn.html
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