How do we Explain Delegated Proof of Stake?

4 mins read

How do we Explain Delegated Proof of Stake?


  • The Proof of Stake Mechanism has created a better alternative to the Proof of Work Mechanism
  • Delegated Proof of Stake creates an even better alternative to the previous two
  • DPOS creates increased accountability and responsibility between delegates and token holders


A Dig to the Source

A Delegated Proof of Stake is a model that is built on the Proof of Stake mechanism. For this reason, we will explain how the PoS mechanism works.

Proof of Stake is a consensus mechanism that emerged as an alternative to the Proof of Work mechanism. The direct advantages of PoS include its energy efficiency and improved environmental friendliness as compared to the PoW. Proof of Work consumes more power and requires miners to install physical infrastructures whose functions are not efficient for environmental sustainability.

In Proof of Stake, miners are replaced with validators and no physical infrastructure is needed for block generation. In its place, validators are required to stake a set minimum number of tokens to be allowed to verify transactions and generate new blocks. Validators usually increase their stake to stand a better chance of receiving more verification allocations.

PoS has proven to be a safer alternative too. It is a true definition of decentralization as it becomes difficult for any single individual to dominate or manipulate the network; Owning a majority stake is not feasible (at least 51% of total stake), therefore keeping the entire network safe.

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An Improved Alternative in DPOS

Delegated Proof of Stake builds on the Proof of Stake mechanism. Here, staking is still required by participants, however, participants do not necessarily need to be the ones to validate. They can delegate their tokens to someone who then becomes the validator (on their behalf). Usually, in this system, there is always a threshold that delegates must measure up to before they can become one.

This creates a two-way system - delegates rely on delegators for their continued support through pledged tokens, and in return, delegates reward them with a portion of every reward earned.

This also creates mutual respect which has a direct positive impact on the functionality and operation speed of the project. Delegates need to maintain a healthy relationship with delegators and at the same time, they must show efficiency in delivering on their duties on the network.

For instance, on the POP Network, token holders have the power to elect delegates who verify transactions on the network. In turn, delegates elect superdelegates who are responsible for verifying content that is uploaded on the platform. Each level of delegates is required to deliver sufficiently in their roles, effectively creating a user-centric efficiency on the POP Network.

Also read: Cracking the Node Mystery in Cryptocurrency

Accountability and Responsibility

DPoS creates a system of decentralized accountability on the blockchain with each level of delegation that exists. Token holders are aware of the dedication of delegates; this helps them evaluate the capabilities of a delegate carefully before reaching a definite conclusion. Delegates are also kept in check knowing fully well that delegators are keeping track of their executions and deliveries and a consensus vote is enough to replace them with another delegate.

Overall, DPoS is a proven mechanism that has the tendency of increasing transaction verification time and processing speed on a network.


DPoS is still in its infancy although its potentials are clear for all to see. Over time, the process will be further perfected for increased blockchain adoption.

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