INTRODUCTION
Good and cheerful tidings to every member of this wonderful community,it is always a pleasure to write in this community.
Today I will be focusing on "staking and validation mechanism",in course of this post,it will
simultaneously explain what staking is and what is all about,also explain what is involved in validation and it's mechanisms. it quite notable to know that staking and validation are very important and pivotal components of different blockchain network, because this two,in effect enhances the security and transaction process,they do this by making sure that there is secure and decentralized verification of transactions
WHAT IS STAKING
Staking is an operation in cryptocurrency,where by investors holds an unquestionable amount of cryptocurrency in a wallet or in a Blockchain network to take part in validation process.it can also be attributed to a process by which crypto users get or in effect earn cryptocurrency for holding their asset.
Staking on its own is a key part of cryptocurrency.In order to stake an investor deposit e an unquestionable amount to their wallet and wait for it to be validated.staking on it own makes use of proof of stake consensus algorithm.
IS STAKING BENEFICIAL?
one thing that staking crypto brings forth is is reward which is gotten at ease ,as earlier stated it is a process that give room for investors to earn by just holding crypto on their various wallet without selling any of their asset.
TYPES OF STAKING MECHANISMS
1) Leased proof of stake:
Leased proof of stake (LPOS),is a component of proof of stake or can be referred to a type of proof of stake consensus algorithm that allows users to rent their coins or asset to any network mode,in order for it to be validated,by the validator which are the network nodes.in this type of pod coin can be let by user,in other to form.new blocks.
2) Proof of stake:
Proof of stake or popularly known as "pos" for short is a consensus protocol in blockchain,in effect this consensus protocol uses Spontaneously selected validators to confirm.transaction carried out.
to simplify,validators are selected to create a fresh block,which depend on the out of cryptocurrency they stake or holds.
3) Delegated proof of stake:
Delegated proof of stake (DPOS)is a consensus System where by users are to vote for validators ,who are responsible for creating new blocks.
WHAT IS VALIDATION
Validation is the process of checking or affirming the accuracy or integrity of a transaction.
TYPES OF VALIDATION MECHANISM
1) Byzantine Fault Tolerance:
Byzantine Fault Tolerance (BFT)is a system which uses conservative algorithm to agree on the state of the blockchain.
2) proof of work:
Proof of work (POW) is a blockchain consensus system, where by validators are expected to compete to solve significant computational power.
3) proof of activity:
This is a consensus algorithm,which combine both proof of stake and proof of work reduce risk,whereby increasing the security of users in general.
BENEFITS OF STAKING AND VALIDATION
1) staking and validation helps to avail a system where by decide making process is decentralized,which in effect reduces the risk of centralized control.
2) this system requires low energy consumption, meaning that both staking and validation requires very less energy to operate.
3) in terms of staking and validation,the security and integrity of users are very key and essential,this systems ensures that the security of it users transactions.
4) staking and validation makes room for incentives.
CONCLUSION
When it balls down to Blockchain network,staking and validation mechanisms are one very vital pillars,in the sense that this mechanism offers a lot of benefits such as enabling decentralized,secure, incentive and it also consumes less energy when compared to the others.as the surge of blockchain continues to increase it is very important that each and everyone who is a investor or an intending investor come to an understanding of the intricacies of staking and validation mechanism.
Thanks for reading