In case you missed it.
Hello Everyone,
Seems like we have a bit of confusion about Proof of Stake and why some POS blocks are " Generated but not accepted " .Allow me to break it down.
What is Proof of Stake?Proof of stake is the process your wallet uses to validate transactions in a distributed consensus through creating new blocks on the blockchain. This is an alternative method to the more widely known process used by bitcoin; Proof of Work (POW).
Now XIOS is still in Proof of Work stage, with the current payout of 33.3 XIOS per block mined, but since block 1441 Proof of Stake has also kicked in!
Meaning now, if you keep all your XIOS in your Desktop wallet ( Unlocked for Staking ) you'll earn ON AVERAGE 6% a year, + Compounded interest.
All you need to stake XIOS Coin is a Core version wallet with coins in it. The Core version wallet requires a copy of the entire blockchain on your computer.
When you first send XIOS to your wallet, they will be in what’s called an immature state and will not be able to stake right away. Maturity will be reached in 1 hour or so (30 blocks to be precise) and your XIOS will start to stake automatically.
As EVERYONE should already have their wallet encrypted for protection against theft, you will need to ensure the staking portion of your wallet is unlocked. This is accomplished by clicking ‘Settings -> Unlock Wallet for Staking’.
TIP: To maximize profits, it is best to leave your wallet running 24/7 due to compound interest earnings as well as earnings from transaction fees on the network. When there are more transactions occurring on the network, the transaction fees should start becoming larger than the staking rewards.Now that you are all setup and staking like a pro, you will soon receive your first staking reward.
While the staked block is confirming there will be a portion of your coins that will be unavailable to spend until the block is fully confirmed. This portion will vary in amounts based on the staking weight of that particular staked block. You can change the amount the XIOS wallet holds for staking and non staking uses in your Preferences. If you only want 100 out of you 200 XIOS to stake and the other 100 ALWAYS available to move and do whatever with..Just set in the preferences.
Now lets talk about those funny looking transactions that are greyed out in your history.
Those are called Orphan Blocks!
An orphan block is a block that was generated by your wallet, but rejected from the blockchain; any coins created within it are lost. Orphan blocks will happen from time to time on just about all blockchain’s including Bitcoin. An orphan block is encountered when two wallets stake the ‘next block’ for the blockchain at nearly the same time. Since there can only be only be one ‘next block’, one of those closely minted blocks gets deemed an orphan and forgotten.
The first thing your wallet does after staking a block, is send out a message to all the connected nodes(wallets) to let them know that ‘I staked the next block’. If those wallets have already received that same ‘I staked the next block’ message from a different wallet, they will reply with something to the manner of ‘too late, keep trying’. Your wallet will then mark the block it created as an orphan block.
You will be able to identify an orphan block in two ways when looking at the transaction tab of your wallet; it will be shown in a light grey font and will also have a question mark icon beside it
Side note : Unconfirmed transactions amounts (regular and staked) have values enclosed with square brackets just as orphan blocks do, but the font will be black, not grey.
Facts: The block explorer reports a high number of orphan blocks daily, as the proof of stake currency is just ramping up... This may seem high when compared to some other coins, but is a by-product of having only a 1 min block time and 4 block re targets for difficulty.
Essentially, the chances of two wallets staking a block at almost the same time (event resulting in orphan block) will increase as the block time gets shorter.I hope we ALL have a clear understanding of things now...
Now allow me to get into COIN CONTROL.
Yea, you have it in your wallets, you just need to enable it.
To get a deeper understanding of how staking works, we need to enable coin control in order to see how your coins are situated in the wallet. Coin control is disabled by default, so let’s go ahead and enable it.
Click ‘Settings -> Options’ from the menu bar. On the Options window, click the Wallet tab and ensure the ‘Enable coin control features’ button is checked.
Close the Options window by clicking ‘OK’ in the bottom right hand corner. You should now have some extra options in the SEND tab of your wallet. Click the INPUTS
The ‘Coin Selection’ window will now be displayed. This is where you can see how all your coins are really grouped/sorted in your wallet. From here you can see all coins that belong to each address in your wallet and that each address can have multiple groups of coins.
NOTE: Tree mode separates groups of coins by address whereas list mode shows them altogether.
NOTE: The Confirmations column shows the exact age of each group of coins.
Staking ExplainedStaking is quite similar to a lottery; a new block on the blockchain is the equivalent of a lottery draw, and each group of coins staking represent a lottery ticket for the draw. The more tickets you have, the better chance you have of winning, this lottery takes place every 60 seconds totaling to about 1,440 winners each day!
There are some very important differences between staking and the lottery however. In a lottery draw, each ticket has an equal chance of winning; whereas in staking, the odds are not quite as straight forward. Each group of coins in your wallet have an associated value known as ‘weight’, the higher this value is, the better odds your group of coins have at staking a block. Coins with a weight of 1000 will have twice the chance to stake a block when compared to coins with a weight of 500. Although it is not necessary to know exactly how this weight is calculated, understanding the general concept is.
The following statements should suffice:
- Weight will be higher for a larger group of coins.
- Weight will increase as the coins become older. “coin age”
If you have a large group of coins that are very old, you have a very good chance of staking a block soon.
NOTE: There is an RPC command (getstakinginfo) that will show you the following: the weight of all your coins combined and the weight of the entire XIOS Coin staking network.
NOTE: A coin’s age is determined by the last time it was transferred on the network, the coin age is reset every time a coin is transferred. When you stake a block, the group of coins that staked it will have their age reset to zero.
Staking RewardsStaking rewards pay out at a rate of 6% per year, this incentive is critical to the success of XIOS Coin as it ensures staking is profitable. The more actively staking nodes on the network, the more secure and strong our blockchain is. Without a significant amount of coins staking, the network could be susceptible to attacks; double spends etc…
To ensure you get the most out of staking, you simply need to keep your wallet open 24/7. The XIOS Coin wallet does all the hard work in behind the scenes automatically, all you have to do is set it and forget it.
If you are unable to keep your computer running all day, don’t worry too much as you can still get rewarded very well. Even while offline, your coins are aging and thus accumulating potential interest. As long as you don’t transfer coins before they stake a block, you will be rewarded.
I hope you have found this guide helpful in understanding how proof of stake works. Some may find this information useless and boring, but others might be fascinated like myself.
IF THIS HELPED YOU AND YOU'RE FEELING GENEROUS, HERES MY XIOS TIP ADDRESS : 2HkkGpghbKMbEqhZbL8jbt6xCvZh2USxXgI will continue to post informative posts about this kinda stuff, so stick around!
Cheers,
MasterTrader777
Follow me on TWITTER ! www.TWITTER.com/TOSHIDESK
