Hello steem friends
Its week 3 already and its getting more interesting. I am super happy to be a part of week 3 steemit engagement challenge, i have really leant so much reading the publication of other steemians, so i appreciate the steemit team for this initiative.
This week theme is Blockchain through the concepts i hope you will enjoy reading my entry.
In the world of crypto the term blockchain is very important. A blockchain is network application that stores information and transactions in blocks, passing them from one point to another.
A blockchain ensures that the information stored in it are secured. It is also important to note that the information an transactions stored on a blockchain can not be changed or edited.
My favourite concept i have choosen is Proof of burn(POB)
Proof of burn is my favourite concept related to blockchain because the idea behind the concept keeps me really thinking about the level of commitment one can go to in other to get establish anyother coin or even mine.
Proof of burn is mechanism used to achieve consensus on a blockchain when coin is burnt. Coin burn is term used to describe a process where coin is taking out of circulation.
In the concept of proof of burn, the users get their validation on the network when they volunteer for their coin to be burnt. The more their coin is burnt the more mining power they have.
The concept proof of burn was invented by a man called lain stewart.
This is how proof of burn work. When the users volunteer their coin, the coin are sent to a particular account that is visible to all yet not accessible because the private key is not known. When these coin are sent there, the coin can no longer be withdrawn, or spent. When the coins are successfully sent to that address or account it is been said that the coin has been burnt.
The address or account this coin are sent to serves as a storage for keeping coin that will no longer be in use and therefore it called eater address because it is believed the address eats the coin.
An example of coin burn carried out is that of Terra network. In 2021 they burnt about 88.7 million of their luna token.
- Counterparty(xcp)
- Trigger(TRIG)
- Slimcoin(SLM)
Proof of burn saves energy because it does not require large computation machines.
It increases the security of the network because the users have to show the level of their commitment by burning coin, to avoid fraud.
It increase the value of coin left or the new coin.
Proof of burn creates room for the left over coin or new coin to circulate.
Proof of burn ensures that coins are evenly distributed.
Its is still new so not many network has adopted it yet
It is risky because the probability of the increase in value of coin left or new coin is not certain.
Resources are wasted when coins are burnt.
Proof of burn is important in the blockchain because it helps to reach consensus of networks in the blockchain therefore validating a new block.
Proof of burn is also important on a blockchain because helps maintains the value of the coin on the blockchain and prevents double spending of coin.
Proof of Burn is important on the blockchain because it is also a means to help get rid of the coins that were not sold during ICO sales of some companies.
From my perspective, the existence of blockchain would still be possible without the concept of Proof of burn(POB).
Proof of burn is just one of the many concepts related to blockchain. Although so much can be achieved on the blockchain with the concept of proof of burn which i have rightly listed above in my work. One of the many things proof of burn will achieve on the blockchain is the increased value of the coin.
Proof of burn is an alternative for proof of work. Proof of work consumes more power to solve a given problem on the blockchain that was why proof of burn came in other to help reduce the amount of power or energy used for solving these problems.
There is also a similar term for proof of burn although they do not mean excatly the same thing. It is proof of stake. The difference is for proof of stake, the coin are kept in a wallet for a short time to cause scarcity and then brought back again in circulation. While for proof of burn, the coins are sent to the wallet to remain there for as long as forever. So the terms are not the same.
From my pespective, i think proof of burn has been established as a good alternative for proof of work which is one of the popular consensus mechanism, so with that been said it means proof of burn is the best alternative for proof of work because it helps with energy reduction.
For now i do not think the concept the concept can be improved because it is already an improved version.
There is no doubt that there are other mechanism through which consensus is achieved on a blockchain. But it has been proven that proof of burn is not just one of those mechanism but also one of the best. Even though its new, it has impacted the life of crypto space. From its advantages we can see it.
Thank you so much for reading.
Thank you for publishing an article in the Crypto Academy community today. We have accessed your article and we present the result of the assessment below
Comments/Recommendation
Thank you for participating in this contest.
Total|7.5/10
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Thank you for your review.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
What an enlightening post you have got here @ruthjoe. Going through you post reminds me of everything about the concept you discussed.
To add to your content. Proof of Burn is done in interval years, it can be annually, bi-annually or quarterly depending on the blockchain. For instance, Bitcoin Proof of Burn and that of BNB is done every 4 years. The last time they were done done was 2020. Thus resulted into the price of these coin skyrocketing.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Wow thank you for more learning dear friend. It shows you are very conversant with the subject matter.
I wait for your entry too
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
You have taken your time to explain your favorite concept.... You did a great job. Proof of burn (PoB) is one of the consensus mechanism that's good that blockchain should adopt....
Thank you for sharing your favorite concept with us.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
You are welcome and am glad you came over to support me. I would also wait for your entry
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Hi @ruthjoe,
Proof of burn(POB) is an important blockchain consensus algorithm which results in a user gaining the ability to validate transactions courtesy of the fact that the user volunteered part of his coin to be burnt (kept in unaccessible address).
This burning creates scarcity,saves energy and so increases the price of the burnt coin.I believe the grand father coin(Bitcoin) is burnt every four years.
I love the POB algorithm because it eco-friendly and will stand the taste of time!!.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Well said dear friend..you have a vast knowledge of the subject.
I wait to see your own entry soon
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
@ruthjoe Yeah I will make my entry tomorrow since I have made an entry already for today.
Regards!!
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
That mean steem is BURN steem is the first block chain . Thank you for this information i just learnt something new about burn in cryptocurrency
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Sorry but i dont understand what you mean by steem been a burn steem.
Thank you foe stopping by
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
You said burn is a block chain abi? that means steem is a burn.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
No i didn't say that. Coin burn is not a blockchain. A blochchain is a system where infoemation and data are stored securely. While coin burn is a method of stopping a coin from being in circulation.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
sorry for using that work,crypto is my aim.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Pob, this is a nice concept you've chosen, pob is an alternative to pow which has a high consumption of energy to mine a new coin, the pob principle is created to reduce energy and it operate on the principle whereby miners burn virtual crytp token. By this, it causes scarcity which leads to the rise in price of the token.
You've done a wonderful job by detailing the concept pob comprehensively
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Thank you friend..the first time i heard the term pob i thought the coin are actually burnt. But how can it happen when the coin only exist digitally.
Am still learning compared to what you can do in your own entry thats why i cant wait to read yours.
Thank you so much.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
You always make me smile my friend, you keep high hope on my entry which make me laugh, when there are professional article out there.
You are one of those I like reading their article, example of, is this post where you talked about pob. It is such a nice concept to the block chain and you've talked extensively on it as such I have learned a lot from your post
Steem on my friend
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Thank you so much for your kind words.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Well you have actually school me via your post. My knowledge was limited to just "coin burn" but reading this helped me understand that there is a Concept called proof of burn which is a consensus mechanism. You have presented a very quality entry in this contest. I wish you the very best dear friend.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Thank you my dear friend.
Am glad i was able to enlighten you
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Each time I read your post @ruthjeo, i have that feeling of listening to a professor, the way explained POB has helped me to understand why coin price ones in a while go very high
Thank you for this information
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Wow i feel so honoured ma. Thank you for your kind words. Am glad you were able to learn from my entry post.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Yes I did
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Well done! You got pass this challenge with flying colours. I think I will have to ask you to do mine 😊
You’ve explained the difference between proof of burn and proof of stake well.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit
Aww! Thank you so much
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit