Undoubtedly, Blockchain technology has disrupted several decentralized platforms by streamlining transactions and data storage. For this to happen, the consensus mechanisms play a crucial role by providing reliability and security. The consensus mechanism is improved to best cater to the growing demands of the industry. To date Proof – of – Work (PoW) mechanism has been widely used in blockchain technology. However, it has several limitations such as slow processing time, scalability issues, and high energy consumption. Thus, to address these limitations, several consensuses were introduced namely, Proof – of – Stake (PoS), Delegated- Proof–of–Stake (DPoS), and Leased Proof – of – Stake (LPoS).
What is Proof –of –Stake –and Activity (PoSA) Consensus Mechanism?
Recently, Fastex chain, the Web 3.0 Company has introduced the next level of consensus mechanism called the Proof-of-stake-and-activity (PoSA) consensus mechanism. This consensus mechanism is built upon the Proof of Stake (PoS) mechanism and is designed to create an additional layer of security on the blockchain network to ensure long-term sustainability. Thus, the PoSA consensus mechanism aims to introduce a revolutionary change in the blockchain network by emphasizing all network participants.
How does Proof-of-Stake – and Activity (PoSA) Work ?
Besides staking each node validator who contributes to the network, the PoSA consensus mechanism aims to stake their activity too. Through this new approach to block creation and validation, Fastex plans to reshape the future of the blockchain economy.
PoSA mechanism uses a smart contract which is deployed by its validators to evaluate the action of the users before they are permitted to become block producers or validators. As a result, this phenomenon restructures the distribution of block rewards in the network.
Furthermore, it emphasizes network participants to ensure that value is created and delivered to the users in the form of consistent block rewards. As the rule goes by, the larger the user base will be greater will be the level of activity, and thereupon the larger the share of rewards.
As the new approach towards consensus mechanism, PoSA aims to create an environment where Web 3.0 gets the boost whereas Web 2.0 can easily be onboarded to Web 3.0. As a result, it plans to reshape the future of blockchain technology.
With the blockchain ecosystem evolving every now and then, it is high time that related protocols and consensus simultaneously bridge the widening demand gap. Over the year several tech stacks have been introduced and reintroduced. However, this entire ecosystem needs a huge acceleration globally.