I suppose the NXT network will reject those 'parallel' blocks they create as invalid, but you should probably refer to the NXT developers to get a detailed explanation on their forum.
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The attacker needs 51% of coins the existed at some point in the past. He can attack the network with 0% of the coins that are currently considered as valid. That's why it's called "nothing at stake": he can attack the network using coins that were already spent!
Can you provide technical explanation of this attack?
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Because there are no decentralized PoS coins that are alive.
The developers of PoS coins either sign blocks as valid (e.g., Peercoin) or create new "updates" with checkpoints (e.g., Nxt). In other words, they solve the history-rewrite problem by acting as a central authority.
I believe in NXT checkpoints exist only to force users to upgrade when there are new core features added to the software (mandatory upgrades), as they require most of the forgers to upgrade to keep network consistent and with no forks. But that is only because NXT is being developed actively. Once most core features are implemented, no checkpoints would be required, that's my understanding of it. There is no "nothing-at-stake" problem. No entity can ever buy 51% of the coins in existance, hence PoS system is protected immensely better than PoW system. The cost of attack on a PoS system, once it's out of its infancy and has a large number of nodes, is infinite. The more coins you buy to carry out this attack, the higher the price gets, before long everyone and their mother will be buying that coin driving the price thru the roof, and you'll exhaust your fiat resources long before you can gain anything like 51% of the coins.
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let me rephrase #4 , ok so one can forge with any amount, but in order to earn nxt through forging will i need atleast 100,000 nxt ?
When you lease your forging balance to a pool, you have a fee of 1 NXT, the withdrawal of your forged NXTs also costs 1 NXT = 2 NXTs (tx fees are subject tochange down the road). You can lease your balance for a maximum of 32 000+ blocks. With leased forging as somebody calculated, the threshold value is 6000 NXTs, that means you'll gain more in forged NXTs than your tx fees. Thus, 6000 NXTs is the bare minimum you should have to lease to a pool and expect some gains, the more you can lease - the better. If you have any significant amount, like 100 000, you can try solo forging too, however the chances with 100k NXTs is you can forge 1 block in 12 days or about that.
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If the cost to secure the network tends to zero, then the cost to attack the network tends to zero is well.
The is the essence of the "nothing-at-stake" problem with PoS that, despite claims to the contrary, remains unsolved (and IMO very likely unsolvable).
In PoS every currency unit is a small mining rig, and they are all created at Genesis block and it costs nothing. You don't have to make new regular capital investments into hardware, at least not significant ones, as for PoS any old computer will do that can run a wallet and the currency units inside the wallet do the mining. So the cost of securing the network is minimal, not zero, but perhaps 1-2% of the cost of the PoW network. Cost of the attack of the PoS network is larger than cost of the attack on PoW network, as it's easier to buy hardware than to buy 51% currency units in existance in a PoS system, as that would drive the price billions and billions high.
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I dont mean to be againt nxt, but just dont quite get it how that POS system will under terms of monetary system.
The devs plan to have NXTs provide backing for other currencies issued against NXTs, this feature is called Monetary System. This takes care of the big stakeholders not spending NXTs, because, say, you only have 100 000 NXTs, you can 'lock' them to create your own currency and use it as long as those 100 000 NXTs are 'locked' and back your new currency. You can put that new currency you issued backed by your 100 000 NXTs into the economy. After that that currency may or may not appreciate against NXTs, depending on how well you manage it. Big holders not doing anything with their NXTs can sit on them all they want. You can make the NXT world go around even with a relatively small amount of NXTs by making your stash work, by providing loans if you want in that currency you issued, by paying your employees, you can essentially be a small bank and issue your own banknotes just like every small bank in US in the 19th century issued their own, there were hundreds of banks with their own banknotes at that time. At least that's what the devs have in their mind, let's wait for them to deliver, they say the MS is already being tested.
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Hi, I had my NXT wallet finally up and running. Paid some NXT in it via Bter and played around with aliases and so. Now my wallet opens with a new ID and my balance is gone. (zero and welcome to your brand new account) Strange thing is that my "secret phrase" is still the same. using Lastpass. Any ideas?? If I search on my own ID, the balance is still there.
You must be using a different pass phrase, make sure there is no trailing whitespace anywhere, that would completely change your pass phrase and hence your account.
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Dogecoin fixed it already, didn't they? Well, it's not exactly 2% starting in 2015, but rather 5%, but eventually it will be as the coin supply grows, and the reward remains the same. Unless they decide to change some parameters so here you go, your PoW popular coin that doesn't have that flaw. Don't like the dog's face? What does this have to do with the currency's merits?
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Darkcoin is a fork of NXT
you've been misinformed.
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Will XMR keep crashing or is this a good time to entry? I cant believe I bought at the top Until it hits a big exchange, don't expect much upside. However, due to both technical and political reasons big exchanges won't hurry to add it, I believe.
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One thing I've noticed since the launch of the NXT Asset Exchange - it's a breather on your nerves to trade on it.
Take any centralized crypto exchange. If you want to buy something, you can't help thinking - would it possibly go down tomorrow, would I get my deposit back, hence you rush your trades, buy at spot to quickly withdraw, instead of creating an under market buy order and waiting for it to fill. That is a loss of profits and what's more important damage to your health.
With the decentralized exchange you create an order at exactly where you want to buy an asset, and your worries of the exchange going under and running away with your funds are gone. That saves a lot of nerves, each active trader should really love it, helps avoid a lot of anxiety gastric acid.
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I'm glad some hash decided to leave Ghash and move somewhere else we don't want to see a single network controlling more than 50%
click on 24 hr - it shows 43% at this moment
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From my user experience in all aspects: btc-e #1 bter #2 Others (3-4 exchanges I tried) don't compare to those two above. But as always and with anything, past success is not a guarantee of the future
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As one of the Bitcoin mining pools Ghash is nearing 45% of the hashing power of the Bitcoin network ( https://blockchain.info/en/pools?timespan=24hrs) and people start raising concerns over the spectre of the 51%-attack here and here, NXT stands as a winner with its practical immunity to 51% attacks.
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As soon as you get rid of Bitcoin with its heavy legacy, your concerns will be gone and you can sleep well at night knowing that no evil entity can compromise the mining pools, disrupt network operation and/or force miners to anything. NXT is the future, it has fixed Bitcoin's faults, which will always come to haunt users of Bitcoin. Bitcoin is just an overpriced monster at this point, smart crypto money is moving into NXT. Ok, enough of this shameless promotion of NXT, you are all smart individuals, you can make your own informed decisions.
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NSC token helps offset the cost of forging, hopefully large stakeholders keep buying up NSC tokens for a while.
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What's wrong with DGEX? I exchanged bitcoins to NXT and tried to withdraw them but my order is on PENDING for a couple of days now. And they are not responding. Do you also have this problem?
They process withdrawals manually, can take a while.
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probably will. how many do I need to get forging properly?
You can lease any amount to a forging pool, even your 970 nxt, and it will forge, but profits from that won't even cover the transfer fees, so buy moar and lease to a forging pool.
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so, what would you recommend?
buy moar
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Real estate is way overpriced these days. Doesn't mean Monero is not underpriced. Just saying
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