The so-called "consensus mechanism" is to complete the verification and confirmation of the transaction in a short period of time through the voting of special nodes; for a transaction, if several nodes with irrelevant interests can reach a consensus, we can think of the whole network. A consensus can also be reached on this.
Today's blockchain consensus mechanisms can be divided into four categories: Workload Proof Mechanism (POW), Equity Proof Mechanism (POS), Share Authorization Proof Mechanism (DPOS), and Pool Validation Pool. In this small series, we mainly introduce our commonly used PoW and PoS mechanisms.
Workload Proof Mechanism (PoW)
The Proof of Work, the proof of the workload, is the requirement that must be met to generate a new transaction (ie, a new block) to be added to the blockchain. The well-known Bitcoin network applies a workload proof mechanism to produce new currencies. The node competes for the accounting rights by computing the numerical solution of the random hash hash, and the ability to obtain the correct numerical solution to generate the block is a concrete manifestation of the node computing power.
Three key elements of PoW：Workload proof function, block, difficulty value.
Advantages and disadvantages of PoW
The algorithm is simple and easy to implement; there is no need to exchange additional information between nodes to reach a consensus; destroying the system requires a huge investment, allowing 50% of the nodes in the whole network to make mistakes.
waste of energy, weak supervision, low performance efficiency; prone to forks, waiting for multiple confirmations.
Proof of Rights (POS)
The proof of entitlement mechanism requires the prover to provide ownership of a certain amount of cryptocurrency. The equity certification mechanism works by creating a new block, the miner needs to create a “coin-weight” transaction, and the trade will send some coins to the miner itself in a predetermined ratio. The equity proof mechanism speeds up the difficulty of finding random numbers according to the proportion and time of each node having the token, and proportionally reducing the difficulty of mining the nodes according to the algorithm. This consensus mechanism can shorten the time required to reach consensus.
Simply put, it is a system that gives you interest based on the amount and timing of money you hold. Each node participates in the competition, and everyone votes according to the information provided by each person. The result of the vote is a recognized block node.