September 15, 2018 at 9:54 am #7003
I am very new to cryptocurrencies so i want to ask this newbie question:
Does it matter that JSECOIN is not using Proof of Work for mining coins when it comes to JSEcoin price?
ThanksSeptember 17, 2018 at 4:40 pm #7022
Good question, I think it’s hard to say for sure. There are certainly some investors that believe that Bitcoin’s model is perfect and any deviation away from that should be considered a bad thing. Personally I believe that proof of work is outdated and will eventually die out due to the competitive nature of the mining rewards providing an incentive for ever increasing power consumption. This is unsustainable in the long-term as we move closer to mainstream adoption in my opinion, although others may disagree and I have a cognitive bias because of being involved in this project.September 18, 2018 at 10:40 am #7040
So you believe that pow is not tied with the price. That’s good to hearSeptember 23, 2018 at 7:26 am #7070
POW is very important. I appreciate what is being done with JSECoin, but honestly, I would have made JSECoin an Ethereum dApp rather than its own blockchain. I don’t believe JSECoin is very secure, not trying to say this disrespectfully, I just logically can’t see how it is much good as a blockchain. It’s not decentralized right now, and the coins are not backed by POW. Currently, no other system works as well as POW, far from outdated, POS has not been proven to work mathematically, and Ethereum keeps putting POS off because they know it isn’t figured out yet.
POW does add value to a blockchain coin, that value is immutability. In no way is a blockchain immutable without POW, not currently. In fact, because the whole value of blockchain vs. a database is immutability, I would argue anything without POW is not a real blockchain at all. That isn’t to say that the non-POW projects are without value, ERC20 tokens have value even though they themselves are not POW mined digital assets, but currently, they are being backed by a POW blockchain (Ethereum).
My favorite proof is proof of storage. Its the only method of validating the network that actually puts something of value into the world, all the other stuff out there is really a waste of effort outside of the act of validation. That said, perhaps there is not enough skin in the game for the databases. Will it lead to double spending? We just don’t know yet.
I like that Monero and JSECoin make mining for coins something you can do on your turf. Every dApp and blockchain is trying to get you to go to their ecosystem, and it gets annoying. I want blockchain value to come to my projects and places and be embedded in my business, not my business being embedded in their ecosystem. That is the value I see in JSECoin and Monero. That said, I still think JSECoin is a design more suited as an ERC20 than its own blockchain and I think as an Ethereum dApp it would receive much greater adoption.October 8, 2018 at 2:19 pm #7208
The problem with a 100% Ethereum dapp is that we couldn’t move data about cost effectively. Every time you change data stored in the blockchain you have to sign a transaction and pay gas charges. We decided the best thing was to integrate an Ethereum token so that users had the option of using it and we have access to the whole ERC20/web3 movement of 3rd party services/apps. But the main project would still run on it’s own as a separate layer and the token would just act as distributed ledger. We also looked at EOS (no transaction charges) but this wasn’t a good fit at present. The proof of storage thing is interesting, we actually looked at leveraging localStorage within the browser but it’s restricted to 10mb~. We could access file system hd storage using the desktop/mobile apps. Certainly something that could provide real value in the long term if done well. I need to do more research on it as a consensus based algorithm though as were looking more at it from a business perspective of adding value.