Наукові статті

Tokenomics and Perspectives of Proof of Stake

Чижевська, М.Б.

Ever since the first block of the Bitcoin network was created, the relevance of research into the assessment of the prospects of the blockchain project is constantly increasing. Ultimately, the economics of a token will have a big impact on how it will be used, how easy it will be to build a network, and whether there will be much interest in the options of its use. The work substantiates that tokenomics allows us to determine which digital assets can be traded or exchanged for other tokens or fiats in the blockchain network. It is noted that the key difference between traditional economics and tokenomics is that the latter is written in code. The authors systematized the elements of tokenomics: supply and demand, the utility of the token, its distribution, the burn of the token, mechanism of token stimulation. The mechanism and working principles of Proof-of-Stake and its differences from Proof of Work, which consists, first of all, of reducing computing costs, are revealed. It is stated in the work that in the coming years, the development of the potential of this algorithm and the growth of the level of popularity of cryptocurrency mining based on it is expected.

English

2024-04-04

blockchain

CEUR Workshop Proceedings

Tokenomics and Perspectives of Proof of Stake / M. Chyzhevska, N. Romanovska, V. Venger, V. Sokolov // CEUR Workshop Proceedings. – 2024. – Vol. 3665 : Proceedings of the Digital Economy Concepts and Technologie (DECaT’2024), April 4, 2024, Kyiv. – P. 61–69. – URL : https://ceur-ws.org/Vol-3665/