What is a Hybrid Coin?

denizcanguler (58)in #cryptocurrency • 6 years ago

Hybrid coins are cryptocurrencies that use a hybrid algorithm. Basically, hybrid algorithm is a combination of two or more algorithms on the purpose of solving a problem with more efficiency/performans.

What does Hybrid PoS / PoW mean?

“A Hybrid PoS/PoW cryptocurrency is one that allows consensus to occur through both proof of stake and proof of work mining.

This hybrid method allows mining and staking to create a balance between those outside the community (the miners) and those inside the community (the stakeholders).Some feel that this creates stronger governance and desirability for the coin.”

The adoption of Hybrid PoW+PoS guarantees the price of the coin, due to the cost of mining. On the other hand, PoS mechanism can reduce the posibility of 51% atack.

Examples:

1- Decred (DCR):

“Decred is an autonomous digital currency. It is an innovative hybrid proof-of-work (PoW) proof-of-stake (PoS) consensus voting system.”

2- LuxCoin (LUX)

“It is a platform and blockchain solutions that aims to build and design enterprise ready security and privacy products.” It is an hybrid PoW, PoS algorithm.”

3- VirtacoinPlus (XVP):

“VirtacoinPlus (XVP) is a hybrid PoW/PoS cryptocurrency with 7% Stake Interest.”

4- Peercoin (PPC):

“Peercoin seeks to be the most secure cryptocoin at the lowest cost, rewarding all users for strengthening the network by giving them a 1% annual PPC return when minting. It has an hybrid (PoW-PoS) algorithm.”