Decred to Shift Block Reward Distribution to a Majority Proof-of-Stake (PoS) Model
December 10, 2021
Stakeholders Approved the Consensus Change to Combat Malicious Miners
[Chicago, IL, December 10, 2021] Decred (DCR), a digital currency that emphasizes security and scalability, today announced the passage of a vote to shift its block reward distribution to a majority Proof-of-Stake (PoS) model. The move is the latest example of Decred’s built-in governance system, which allows it to make changes to consensus rules while avoiding community-splitting hard forks. The vote was carried out on Decred’s off-chain proposal system, Politeia, and passed today with 92 percent of ‘yes’ votes. The consensus change will modify the Proof-of-Work/Proof-of-Stake/Treasury block reward split from 60/30/10 to 10/80/10 if it passes a second vote which will take place on-chain.
The proposal to change the block reward distribution was presented to stakeholders by Decred’s Co-Founder Jake Yocom-Piatt, referencing on-chain data uncovered by an anonymous community member using the pseudonym ‘tacorevenge’, which showed ongoing price suppression in Decred markets. The research indicates that mining is controlled by a small number of large entities who actively suppress the price of DCR.
“After roughly 9,000 BTC of bidding since DCRDEX launch, approximately 500 million USD using the BTC spot rate, miners continue to relentlessly and strategically dump their coins in an effort to attack the project, for maximum negative effect,” Jake Yocom-Piatt, Co-Founder and Project Lead of Decred explained in the proposal. “The rigging I describe has simply been tolerated by other projects because they are either unwilling or unable to change the rules of the game. Luckily, we are talking about Decred, so the rules can be changed according to the will of the stakeholders.”
The proposal has become the most commented on in the project’s history, sparking a vigorous debate in the community. It also set a record for the highest voter participation at 78 percent. “Changing the subsidy split is a major change, but I would not propose such a change if I did not see it as absolutely vital for the project,” added Yocom-Piatt. The consensus change will take two to six weeks of development.
For more information visit decred.org.
About Decred (www.decred.org)
Decred is Money Evolved. By combining battle tested Proof-of-Work with an innovative take on Proof-of-Stake that places coin holders in charge of shaping the future, Decred is able to adapt to challenges and innovate at a rapid pace. You acquire influence in Decred by putting “skin in the game”. Decred’s security, privacy, scalability, and decentralized treasury empower stakeholders and provides them with the tools needed to enhance their financial sovereignty.