MODULE’s PoSTT vs. Proof of Stake

This article explains how the algorithm of MODULE is different from PoS, and what this difference means to potential users

Each innovation is supposed to solve the existing problems and bring some good. Proof of Stake is not an exception: it was created as an alternative to the Proof of Work (PoW) algorithm to solve inherent issues in the latter.

Proof of Work is not dead. Still, it is a common knowledge that many projects in the cryptocurrency industry are becoming more enthusiastic about Proof of Stake. Why?

Proof of Stake: Solution

The Proof of Stake addresses the issue of computing power required by the Proof of Work. In the Proof of Stake, mining power is attributed to the proportion of coins held by a miner. In other words, a person can mine or validate block transactions according to how many coins he or she holds.


Unlike the Proof of Work, which requires physical hardware, PoS is almost hardware-free. No complex equations need to be guessed, so there is less need for electricity. As we have just pointed out, a user only needs some amount of a project’s coin to be a node in the network.

Proof of Stake has a lot of advantages over the Proof of Work. For example, anyone can become a node, no matter whether they would like to purchase $10 worth of a coin or $1,000. This attracts more users to the ecosystem, with less barrier of entry.

Moreover, there is no reason to sabotage such a ecosystem. If an account with enough coins to be considered a stakeholder (=a validator) is found to be malicious, it loses its stake and gets kicked off the network. If there is a scandal related to cheating, holdings can simply lose value. As you see, cheating becomes really expensive with PoS.

But is PoS a truly sustainable solution?

Downsides of the Algorithm

Let us take Ethereum, which will soon switch from PoW to PoS, as an example here. Proof of Stake works by randomly selecting a validator. However, as we have mentioned earlier in this article, a validator is an account with enough coins to be considered a stakeholder.

The more Ether a validator has, and the longer it has been on the candidate’s account, the more chance that they will be picked. This means that

The rich get richer…

Those, who have had their Ether the longest, have the best chances of becoming validators. This means that their chance to earn more Ether goes up.

This is different from Bitcoin’s “rich get richer” system, though. In Bitcoin, the rich have to keep investing in hardware and knowledge to remain competitive. As for PoS, you have to purchase coins.

This is probably the reason why PoS still lacks real mainstream attention


The Proof of Space, Time and Transaction does not require computing power or coins for becoming a node. That means that basically any portable device is a potential node. How does that work?

MODULE’s consensus algorithm enables you to earn rewards by renting out your storage space (=becoming a provider). Settings for becoming a providerwill be not harder than the settings of any other application you are using now on a daily basis.

No expertise for getting rewards as a provider is required

Utilizing smartphones and other devices with storage is highly expected to be a sustainable solution, as the storage capacity of devices progresses and expands. Smartphones in particular become more powerful and energy efficient.

Advanced users will be able issue their own tokens and develop DApps (decentralized applications) on the MODULE platform. Of course, these features are similar to other well-know platforms, such as Ethereum. However, users can use the accumulated storage from MODULE for their own applications and, thus, lower overall costs!

We have vast storage resources on the planet that are being wasted. MODULE is eager to let users share the unused resources with those who need them, including developers, companies, and data centers. The data will be split and distributed over multiple devices in multiple copies.

The PoSTT algorithm is not only environmentally friendly, it also lets people from all over the world, including underdeveloped countries, act as providers and fairly receive small portions of rewards.


Unlike PoW, which requires physical hardware and substantial expenditure of electricity, Proof of Stake only requires users to hold coins in their wallets. It really provides a cheaper and better solution for consensus than PoW.

Still, in a nutshell, PoS means that the richer you are, the more likely you are to win block management. That is, transaction fees and rewards.

We, at MODULE, have focused on mobile devices as a way to solve problems such as the power consumption concerns caused by cryptocurrencies and their centralization. The MODULE project is creating the future of “mining” with such energy efficient and easy to use devices as smartphones and tablets.


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Yours sincerely,

The MODULE team

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