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[–] 2 points 7 months ago (1 child)

What matters is whether or not there's any significant profit - the reward being bigger than the cost. PoW minimizes this with difficulty adjustment flushing most profits down the toilet. PoS must always have a return competitive with other investments.

Profits should be low, or else it promotes inequality.

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  • [–] 1 point 7 months ago (1 child)

    PoS must always have a return competitive with other investments.

    No. It needs to offer a reward enough to pay the minimum number of validators needed to establish a secure network.

    2x the number of stakers means 1/2 the return for each validator, but the network doesn't care about that.

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  • [–] 1 point 7 months ago (1 child)

    With too low a return they just invest elsewhere.

    You get one asset with worse interest that can be spent (like dollars), and one asset with better interest that can't be spent (like bonds). The poor hold the former, the rich hold mostly the latter.

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  • [–] 1 point 7 months ago (1 child)

    Low returns and people leaving is not a problem.

    There will still be enough validators to secure the network. The remaining will get a higher return.

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