If there’s any inaccurate info, feel free to point it out…
http://cointrader.org/peercoin-proof-of-stake-and-bitcoin/
Thx.
Seems like you’ve done your homework. Perhaps you should have added some more information about the Blockchain and its size and expected size in the upcoming months/years.
All in all, very informative - I wish there were more people like yourself and that Taylor guy, who understand Peercoin’s depth.
You obviously did a lot of research and I think the end result is really really nice. This is a great article. Not a propaganda piece; you point out both the good and the bad.
One thing as far as transaction fees: they also exist in Peercoin to avoid blockchain bloat. This is an issue that’s going to become a bigger and bigger problem for Bitcoin. Right now, Bitcoin’s blockchain is 15.3gb and it’s becoming increasingly difficult for people to run full nodes. The transaction fee in Peercoin encourages people to do transactions off of the blockchain and avoid bloat. This has kept PPC’s blockchain fairly small – 133mb at the moment. Proof of Stake minting also encourages everyone to run a node because you get something back for it.
Good article, well written!
Tweeted it through @PeercoinPPC, hope you get some additional traffic to it!
Well written, good job, deserves some more attention.
Maybe we can add a header in the thread with all kinds of links which Fuzzy maintains. And add a header for external articles with the publishing date. I would like to find such a resource when I’m investigating something. Good idea?
Great job!
[quote=“melarina, post:3, topic:1819”]You obviously did a lot of research and I think the end result is really really nice. This is a great article. Not a propaganda piece; you point out both the good and the bad.
One thing as far as transaction fees: they also exist in Peercoin to avoid blockchain bloat. This is an issue that’s going to become a bigger and bigger problem for Bitcoin. Right now, Bitcoin’s blockchain is 15.3gb and it’s becoming increasingly difficult for people to run full nodes. The transaction fee in Peercoin encourages people to do transactions off of the blockchain and avoid bloat. This has kept PPC’s blockchain fairly small – 133mb at the moment. Proof of Stake minting also encourages everyone to run a node because you get something back for it.[/quote]
Thanks, man!
I tried to be completely unbiased… which is a good thing for Peercoin bc I believe it to have the best reward/risk ratio of all the cryptos right now. No need to hype it.
Also, it may have been you… but someone pointed out the block chain issue in the very first comment…so that is represented on the page.
Awesome… thx!
[quote=“Cybnate, post:6, topic:1819”]Well written, good job, deserves some more attention.
Maybe we can add a header in the thread with all kinds of links which Fuzzy maintains. And add a header for external articles with the publishing date. I would like to find such a resource when I’m investigating something. Good idea?[/quote]
Well I obviously am all for that - if you know anything about building a successful site in the eyes of Google, then you know its all about getting those quality links…
Either way… I appreciate the feedback and the tweet.
Currently writing a “top ten bitcoin alternatives” article and you can be sure PPC will get some love in that, as well.
Yes very nice article, i’ll see if I can add links to the few main posts on the forum here to your article as its very nicely written… couple of spelling mistakes i spotted …
"Even then, the argument could be made that a larger reward was deserved sue to a larger risk "
instead of “sue” i think u mean “due”
brilliant article though thank you keep up the excellent work 
Fuzzybear
This is a must read article for PPC. So much touched upon, feels like a great article for someone who wants to learn about it. Only thing I didn’t see mentioned was the destruction of the .01 PPC in transactions.
Any chance we can get it translated into other languages?
Thx… I’ll go back and fix the spelling errors… as for the destruction of the fees… hmm, i suppose i missed that in my research… if someone wants to link me a solid explanation… I’ll try to grasp the concept and add it to the article.
I do not have a link, someone else will have to come up with it, but as I understand it in BTC a portion of the transaction fee is paid to miners, in PPC it is destroyed. I believe it is only the .01 PPC that is destroyed, so even if your transaction amounts to a .05 PPC fee, I think only the first .01 PPC is destroyed while the rest is also paid to miners. However the fact that .01 PPC is destroyed in every transaction is kind of a big thing, curbs inflation.
Quick correction, fee is only 0.01 PPC, and on top of my head it is per Kb, 1 standard transaction is normally less than 1kB. Someone need to provide a bit more info here, but I hav to go to work now. Maybe tonight (12h laters)
I do not have a link, someone else will have to come up with it, but as I understand it in BTC a portion of the transaction fee is paid to miners, in PPC it is destroyed. I believe it is only the .01 PPC that is destroyed, so even if your transaction amounts to a .05 PPC fee, I think only the first .01 PPC is destroyed while the rest is also paid to miners. However the fact that .01 PPC is destroyed in every transaction is kind of a big thing, curbs inflation.[/quote]
Found it, from the white paper:
Babaioff et al. (2011) studied the effect of transaction fee and argued that transaction fee is an incentive to not cooperate between miners. Under our system this attack is exacerbated so we no longer give transaction fees to block owner. We decided to destroy transaction fees instead. This removes the incentive to not acknowledge other minter’s blocks. It also serves as a deflationary force to counter the inflationary force from the proof-of-stake minting.
So from that it would seem all parts of the transaction fee are destroyed.
What are you correcting? He says in the article it is per KB. I’ve had a transaction cost something like .03 or .05, I can’t remember.
Great article… A very informative read.
Thank you.
What are you correcting? He says in the article it is per KB. I’ve had a transaction cost something like .03 or .05, I can’t remember.[/quote]
My apologies Yurizhai, I read the fee in your post somehow wrong being in a hurry this morning. Should not post stuff without having a good read first :
Great article,
I envy your writing skills
But there is one point, I would like to criticise:
As far as I know, the main reason for the fixed transaction is that we want to limit the growth of our blockchain. We don’t want to spam our blockchain with micro-payments.
But the fee was not intended as a " mechanism, that could potentially calm much of the volatility seen in Bitcoin".
I am convinced that if the price of one Peercoin rises, the transaction fee will be adjusted by Sunny King in consultation with the Peercoin community. I think that we will never see a transaction fee higher than 1$, no matter how far the peercoin price rises.
The best and most comprehensive article I have read on Peercoin. I will have it saved to introduce people to Peercoin. Also tweeted the link and hope to see the article spread. Keep up the good work