The Bitcoin analyst, Jimmy Song, wrote a tweet claiming that proof-of-stake doesn’t solve the Byzantine General’s problem. The Byzantine General’s problem is generally when a situation arises where dispersed parties cannot reach a consensus without a centralized party to overlook it.
Song stated that PoS can’t provide a decentralized consensus. Ethereum founder, Vitalik Buterin, replied to the tweet, disagreeing with his argument.
While many commented on Vitalik’s tweet agreeing that proof-of-stake definitely works, the founder of Blockstream and hashcash, Adam Back, had a different opinion. He stated that the entire argument about whether PoS works or not is based on the purpose for which it is used.
Adam Back suggested that even if PoS can solve the Byzantine General issue, “it is still undesirable as it replicates the problems of fiat systems.” He stated that wealthy groups have policy influence and can take control of others to gain favors.
Even though this argument is quite debatable, the benefits of proof-of-stake can’t go unseen. Ethereum’s Merge, which is set to happen very soon, will witness Ethereum’s upgrade from proof-of-work to proof-of-stake. This upgrade will aid in reducing energy consumption by 99% and reduce the negative impacts of proof-of-work.
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Source: Cryptocurrency - investing.com
