mining is the generation of new blocks in the blockchain network , where the consensus is achieved thanks to the protocol PoW (Proof of Work). In exchange for their efforts spent in trying to solve complex mathematical calculations, network users receive a reward in the form of coins..
In the networks of cryptocurrencies running on masternodes, an alternative mechanism is used to achieve consensus in the PoS network (Proof of Stake), which is much more environmentally friendly and efficient than using the PoW (Proof of Work) protocol. There are cryptocurrency networks that use hybrid PoS and PoW protocols..
Proof of Work vs Proof of StakeAdvantages of MasternodesMasternodes make the network of blockchain much more efficient, giving its users a number of advantages: Transaction anonymity through the PriavateSend mechanism;InstantX instant messaging capability;The speed of generating new blocks is much faster than in the Bitcoin network;High level of security due to the use of the X11 hashing algorithm;The award is divided between the miners and holders of Msternodes.In order to become the owner of Masternodes, you must: Synchronize with the network of blockade;Your wallet should have certain technical parameters: it must be switched on 24/7, the power of the computer, etc . In the Dash network, the reward between the miners and holders of the masternodes is distributed by 45% and 10% goes to the functioning of the network..
