Delegated Proof-of-Stake (DPoS)

What is Delegated Proof-of-Stake(DPoS)?

Participants still stake coins in a Delegated Proof-of-Stake (DPoS) system, just as PoS. However, stakeholders assign validation to delegates who are in charge of arriving at an agreement among themselves rather than taking on the responsibility themselves.

The notion among DPoS proponents is that the system incentivizes good behavior among delegates because the community has the opportunity to vote them out and replace them at any moment. DPoS delegates are elected based on their reputation and perceived trustworthiness.

DPoS blockchains often have a higher transaction rate per second than blockchains powered by PoW and PoS algorithms. However, DPoS is still in its infancy and is not usually regarded as safe enough to serve as the foundation of blockchains that conduct financial transactions.