QIE's Advanced PoS with QBFT vs. Ethereum's PoS with Beacon Chain: A Comparative Analysis

In the evolving landscape of blockchain technology, consensus mechanisms play a crucial role in determining the efficiency, security, and scalability of a network.

Ethereum’s transition to Proof of Stake (PoS) with its Beacon Chain is a significant step forward in the realm of blockchain technology. However, QIE’s PoS with Quorum-based Byzantine Fault Tolerance (QBFT) presents a more advanced and efficient approach. Let’s explore how these systems work and why QIE’s method holds a superior edge.

Ethereum’s PoS with Beacon Chain functions like a large delegation committee. A vast committee of validators is chosen through a lottery system, based on their ETH holdings and willingness to lock up their tokens as a deposit. From this extensive committee, smaller subcommittees are randomly formed to propose and verify new blocks. Acting like a central town hall, the Beacon Chain coordinates these committees, ensuring adherence to rules and achieving consensus.

While this system ensures decentralization and security, it can be slow and resource-intensive. The complexity of coordinating and constantly communicating among numerous validators makes the process inefficient.

In contrast, QIE’s PoS with QBFT operates like a streamlined, efficient council. QIE selects a smaller, trusted group of validators who have a significant stake in the network. These members are chosen based on their holdings and reputation. This council operates on a quorum basis, requiring a specific minimum number of validators to agree on a decision. This is akin to a majority vote in a council. The system is designed to tolerate a certain number of dishonest or malfunctioning members, ensuring that as long as the majority are honest, the process remains secure and efficient. QBFT is the recommended enterprise-grade consensus protocol.

Here’s how QIE’s approach is superior:

– Efficiency: QIE’s PoS with QBFT requires fewer resources and less communication, making it faster and more scalable than Ethereum’s PoS with Beacon Chain.

– Security: By relying on a quorum and BFT, QIE maintains high security, ensuring that the system can function correctly even if some validators act maliciously.

– Fair Distribution: QIE’s periodic distribution adjustment ensures that tokens are fairly distributed over time, preventing power concentration and encouraging broader participation.

Now, let’s delve into the tokenomics of Ethereum and QIE.

Ethereum’s token distribution is essentially unlimited. New ETH is continuously created to reward validators, similar to how a central bank prints more money. This inflationary model can dilute the value of existing holdings over time, making ETH less attractive as a long-term store of value.

In contrast, QIE has a fixed maximum supply of 150 million coins, similar to Bitcoin’s cap of 21 million. Additionally, QIE employs a halving mechanism every two years, reducing the rate at which new coins are distributed. Currently there is a block reward of 0.5 QIE which can be claimed every 259,200 blocks (roughly 2 weeks) through the smart contract deployed at

https://validator.qiblockchain.online/. This creates a deflationary environment, increasing the value of QIE over time as its supply becomes more limited.

Validator staking smart contract deployed and audited by 3 external companies:

https://mainnet.qiblockchain.online/address/0xF406fFB12455Dd91D6430a15cA23a49b37397635/contracts#address-tabs

Read more here: https://medium.com/@QIEecosystem

www.qie.digital

www.qiewallet.me

Download your QIE Wallet today

Grants program to develop on QIE: https://www.qie.digital/developer