[quote=“Chronos, post:4, topic:2755”]It could work, but consider this risk:
[ol][li]Many Peershares sidechains are launched[/li]
[li]Of these, one of them is sidechain-minted by only 6% of the minting Peercoins[/li]
[li]To attack this sidechain, one needs only 6.1% of the minting Peercoins, in order to overtake the competing 6%. None of the tokens within the sidechain are needed, unlike in Peercoin.[/li][/ol]
You might argue that all minting Peercoins would sidechain-mint all sidechains at once, but as the number of sidechains grows, this may not be true, as the reward for minting may be dwarfed by the cost to mint on the chain. (Data storage and CPU power are both needed, though minimally, per chain.) I think security of sidechains would end up being weaker than security of Peercoin itself.
I could be wrong.[/quote]
Sidechains is all very interesting and I think no one knows very much yet.
Security of the sidechain will be crucial, I would think, as security is of fundamental importance in all cryptos.
PoW where how much you can hash determines all is a model wherein hashing capacity is precious and rare so PoW sidechains will likely all be dependent on shared hashing resources, ala merge mining. A problem area for PoW sidechains could be that the miner or mining pool will only support some sidechains and not others, so like Chronos indicates above the security is greatly diminished on sidechains which haven’t curried the favor of the mining pool managers.
On the other hand, a PoS sidechain has the resources that it brought with it from the parent or mainchain and those resources are everything to the sidechain. With PoS sidechains the security could be high I would think because a PoS sidechain would not be dependent on merge minting from the mainchain as PoW would likely be. PoS sidechain security is dependent on a majority of the allocated resources of the sidechain itself, so why couldn’t it be rock solid? PoS sidechains could have self-contained security. Yes?
Additionally, the PoS sidechain creating its own internally allocated security and being freed from dependence on merged mining of the main chain can run at any desired block creation rate and even run turing complete algos ala Ethereum, smart contracts and all kinds of wild and wonderful still to be created things. The self-secured PoS sidechain can do almost anything and if it is good, healthy and useful it lives, and grows in value.