What is the crypto consensus mechanism?
Any approach used to create agreement, trust, and security across a decentralised computer network is referred to as a consensus mechanism.
Proof-of-work (PoW) and proof-of-stake (PoS) are two of the most common consensus techniques in the context of blockchains and cryptocurrencies.
Consensus techniques help to secure information by encrypting it and employing automatic group verification.
Consensus Mechanism Types
There are various types of consensus mechanism algorithms, each of which operates on a different set of principles.
The proof of work (PoW) algorithm is a popular consensus mechanism utilised by the most popular cryptocurrency networks, such as Bitcoin and Litecoin. It is necessary for a participant node to demonstrate that the work they have completed and submitted qualifies them for the right to add new transactions to the blockchain. The bitcoin mining technique, on the other hand, necessitates substantial energy usage and lengthy processing times.
Another prominent consensus technique is proof of stake (PoS), which originated as a low-cost, low-energy-consuming alternative to the PoW process. It entails assigning a participant node responsibility for maintaining the public ledger in proportion to the number of virtual currency tokens possessed. However, this has the disadvantage of encouraging hoarding rather than consumption.
What is the ETMP Consensus Mechanism?
The consensus process is based on enhanced Byzantine fault tolerant consensus (Istanbul).
Delegated Proof of Stake increases operational and computational resource efficiency. Only 21 nodes are chosen in each round to process and validate transactions. This, however, may result in less decentralisation and harmful coalition attacks on the system. To decrease the possibility of malicious node coalition and front running assaults, ETM/P employs a new permutation algorithm based on chaos factor and VRP (verifiable random permutation). These threats have long been a source of concern for DeFi installations.
Sustainability is key to the ETM/P economic model. Following the Luna/UST bank run, it is more crucial than ever for economic models to be stable, healthy, and sustainable while remaining appealing to users. The ETM/P economic model achieves these goals by enforcing a modest inflationary monetary policy through the use of algorithmic game theory and a feedback control mechanism.
They are now at the "Proterozoic" stage, when they are constructing a comprehensive ecosystem of decentralised platforms.
They will now transition to the Phanerozoic, where they will establish the ETM/P DAO (Decentralised Autonomous Organisation).
Visit www.etm.network for more information on ETMP.
