Hybrid PoW+PoS blockchain
The aim of consensus rules is to let many different users agree on the state of the blockchain, without depending on central authorities. There are two famous strategies to reach consensus within a decentralized network:
- Proof of Work (PoW): get rewarded for the ‘work’ you invest. This consensus strategy requires computational power to solve cryptographic puzzles.
- Proof of Stake (PoS): get rewarded for the ‘stake’ you invest. This consensus strategy requires you to lock your coins for a period of time, to prove you are a stakeholder.
Decred created an innovative hybrid PoW+PoS blockchain. PoW miners ‘mine’ to create blocks. Shortly after that, the stakeholders ‘vote’ to validate the block. The consensus process is thus balanced between miners and stakeholders. It’s the best of both worlds.
What about block rewards?
For the current reward check docs.decred.org/advanced/inflation
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