Bitcoin proponent claims PoS rewards aren't 'yields,' Vitalik snaps back

cointelegraph.com:

Independent developer and Bitcoin proponent Udi Wertheimer created quite a buzz on crypto Twitter earlier on Sept. 12, after he claimed that a proof-of-stake (PoS) based yield reward system for staking is more of a penalty for non-stakers.

Wertheimer who is a well-known Ethereum critic believes that the PoS staking reward system isn't exactly a yield reward. In PoS staking, a user cannot do anything with their staked ETH, while those who don’t stake their tokens and participate in other network activities aren’t rewarded.

With Ethereum Merge just a couple of days away, the sly on the PoS system didn’t really go down well with the Ethereum community including co-founder Vitalik Buterin.

Buterin responded to Wertheimer’s criticism by claiming that Bitcoin mining is not much different from PoS staking as proof-of-work (PoW) mining “penalizes anyone who has a smaller percentage of hashpower than their percentage of the coin supply.”

And PoW penalizes anyone who has a smaller percentage of hashpower than their percentage of the coin supply ☺️(Actually, it penalizes much more than that because profit < revenue, but you get the point)

Wertheimer was quick to remind Buterin that miners and holders are two different sets that don't necessarily overlap in the PoW ecosystem, while the same can’t be said for the PoS system. He explained further that with liquid staking, one could expect holders and stakers to overlap due to the flaw in the rewarding system.  

Related: Ethereum Merge: How will the PoS transition impact the ETH ecosystem?

Another user claimed that the yield comes from the gas fee paid by the user for transaction processing, however, Wertheimer was quick to point out that on an average fee per block only makes 1% of the