In this article we will tell about POS and POW and will explain how they are related with each other and also how we can make money with these two procedure.
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POS VS POW
In this article we will cover following points
1)what is POS and POW
2)How POS work in coin market ?
3) How POW work in coin network ?
4) Which coin gives opportunity of POS and POW?
5) Can we make high profit with POS and POW?
6) Advantage of POS and POW
7)How to invest in POS to get stack reward?
8) How to earn with POW?
9) Disadvantage of POS and POW to use .
What is POS and POW?
Full form of POS is Proof of Stacking & full form of POW is Proof of stacking.
These terms are very well known things in crypto coin technology. These two things are type of support program that we can give to the coin blockchain network to work more properly.
By giving support to the coin’s blockchain algorithm software , we can make earning in decent amount.
LEARN HOW TO EARN WITH STACKING CLICK HERE
How POS works in the Coin Market ?
This is a type of support from our side to make a coin to achieve more potential in the crypto market by its price.
In POS, we need to buy coin and then lock in the core wallet ( official wallet of that coin ) of the coin.
If we will do for a coin this work, POS, then we will get profit % reward in our wallet yearly.
This whole process is known as Proof Of Stacking.
- TO KNOW ABOUT PROOF OF STACKING CLICK HERE
The profit percentage as a reward amount can vary from 1% to 15% or even more. The profit percentage reward amount is predefined number by the coin’s team owner.
POS is same as our fix deposit ( FD ) of our money in bank account for 6 to 9% reward per year . The profit percentage can be change as per bank rule any time. similarly in POS, reward percentage can be change by team of coin.
In this way a coin can grow in the crypto market with more stability with less crash chance.
How POW works in coin network?
Here POW is almost same as POS but procedure is different. In POW, we don’t need to buy coin . We just need to support the coin network blockchain with our CPU & GPU power by running their script in our PC.
This is a type of mining but it different from mining. Because in mining we need a very high powered CPU or GPU PC system or we need to buy a specially designed hardware to mine the coin which is very expensive.
Usually the team of the coin provides us script software to run in our PC, these software can be of multiple types & format, so that every type of user can use their mining software.
Which coin gives opportunity of POS and POW?
Almost all the coins gives us opportunity to make profit by POS and POW. There are few coins which allows us only for one and there are also few coins which allows the both options .
But in the present time new coins are not giving us option of POS and POW because they are not coin . Most of the coins in the preset time are based on ERC-20 based contract system which don’t require such things.
We can see list of the coins which are giving facility of POS, simply by visit here
Can we make high profit with POS and Pow?
No, because already many people are in this field who are mining coins with high powered hardware so it will not be easy for a low powered laptop or PC to make earning with POW technique.
But still you can make a good percentage of profit per year by holding a coin through stacking, POS.
You can see list of coins and profit percent reward here.
Advantage of POS and POW
There are many advantage of POW and POS technology for a coin team but another side as a user of the coin, we can make a decent amount of profit by using our mind with wise technique.
We can run POW script in our PC /laptop in background during our office work, So in this way we can make a good profit without spending a penny of money.
If you have a coin which is in your wallet and giving no reward profit then you can choose POS option to lock your coins in the wallet.
How to invest in POS to get stack reward?
You can get steps and procedure to stack the coins at official websites/blog of every coin project ( which allows POS & POW ) .
But it will be better for you to understand the basic steps to invest your coins for stacking reward. You can simply follow a tutorial video here to stack tezos coin .
How to earn with POW?
Every coin has its own code and script for POW, so you need to visit at blogs of every coins which provide faculty of mining through POW .
A simple steps to understand how we can do CPU mining of any coin can understand with the step by step tutorial which is available at this link . For doge coin to start your CPU mining.And also you can follow a video tutorial given below .
To download code scripts to mine coins you can visit here
Disadvantage POS and POW for Users
POS
- Stacking rewards usually remain at 10% average which is very less profit about.
- If the price of the coin will crash then the return stack reward of the coin will be useless for us.
- There are few coins which don’t give reward, a good example is REDDCOIN .
POW
- Less profitable
- We need to share power of PC that may ruin life of our PC /laptop system
Conclusion :
We can make profit if we have extra money at hold in crypto asset and also we can use our PC or laptop power which always runs in your office time for no use.
But if reward percentage are not good then it is better to go with lending platforms, where we can make decent amount of profit. To know more about lending & borrow with your crypto assets, you can visit at our other article regarding lending platforms .
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