blocktest-llc
blocktest-llc

1 min read - Posted 11 Mar 19

WHAT IS A CONSENSUS ALGORITHM?

article image

This article was originally published on

BlockTEST.com

on August 28th, 2018.

Blockchain relies on consensus algorithms to reach an agreement among nodes (a computer connected to the network). In simple terms a blockchain is a decentralized database that is managed by distributed computers on a peer-to-peer (P2P) network. Each computer keeps a copy of the ledger to prevent a single point of failure (SPOF). Updates and authentications are reflected in all copies concurrently. For example, Bitcoin runs a proof of work (PoW) consensus algorithm to guarantee security in a trustless network, by using mechanisms that ensure that the effort of mining is represented within the block submitted by the miner. Software on the networked computers of miners accesses the computers’ processing power to solve transaction-related algorithms. The block is an encrypted hash (a function that converts one value to another) “proof of work” that is created in a computer-power-intensive process. Other commonly used consensus algorithms include the proof-of-stake consensus algorithm (PoS) and the delegated proof-of-stake consensus algorithm (DPoS).

Created with Sketch.Content is"CC-BY-SA 4.0" licensed
Article On-chain
Article Author
blocktest-llc

BlockTEST, LLC.

10

0

0

0 Comments
Related Articles
Learn Blockchain | Create Your First Blockchain | Blocks & Consensus

The best way to for a developer to fully understand blockchain technology is to get underneath the hood and build one themselves! Learn by doing The aim of this

Josh Cassidy

13 Dec 19

Ethereum 101 - Part 3 - Consensus Protocols

Quick Overview The engine that drives consensus among the nodes on the Ethereum network. Ethereum is currently operating on a Proof-of-Work consensus protocol, but in the future will be shifting to a Proof-of-Stake protocol. Current Protocol: Proof of Work (Ethash) The current Ethereum blockchain uses a consensus algorithm built specifically for the Ethereum blockchain called Ethash. The Ethash PoW algorithm introduces the property of “Memory Hardness” to the Ethereum blockchain. Memory hardness

Wil Barnes

13 Feb 19