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Proof of importance (PoI) was first introduced by a blockchain platform called NEM to support its XEM cryptocurrency. In some ways, PoI is similar to PoS because participants (nodes) are marked as “eligible” if they have a certain amount of crypto “vested.” Then the network gives a “score” to the eligible nodes, and they can create a block that is roughly the same proportion to that “score.” But the difference is that the nodes won’t get a higher score only by holding onto more cryptocurrencies. Other variables are considered in the score, too, in order to resolve the primary problem with PoS, which is hoarding. The NEM community, in particular, uses a method called “harvesting” to solve the PoS “hoarding” problem.

Here’s how Investopedia defines harvesting: “Instead of each miner contributing its mining power in a cumulative manner to a computing node, a harvesting participant simply links his account to an existing supernode and uses that account’s computing power to complete blocks on his behalf.” (See the section, “Harvesting,” later in this chapter.)