Dimitri-H / Bit-Block.org (@GraciousInterests)

How do blockchain consensus mechanisms impact network security and efficiency? --------- Consensus mechanisms are what dictates the rules in a network. It is literal Democracy whereby the majority of users decides what goes or doesn’t. The kind of mechanism matters in relation to security and votes. - Ethereum’s Proof-Of-Stake is an example of a consensus mechanism which can give skewed results as the “vote” depends on the those who can hold a stake (32 ETH is needed to become a validator and have a vote). This means Proof-Of-Stake is less democratic as it excludes based on ownership by setting a costly boundary (at current price is 32 ETH about 64000 $USD) - Bitcoin’s Proof-Of-Work is an example of a consensus mechanism which is fair. Anyone can start running a node which entitles them to a vote on the network. The hurdle is extremely low and anyone can participate. “Work” done is keeping up a copy of the Bitcoin blockchain online and relaying transactions on the network. Being a literal node which supports and grows the network through participation. The boundary in order to get a vote must be as low as possible so anyone can decide on the future of the network. The more people participating, the more secure the network as it becomes more heavily distributed and decentralized. Establishing “a stake” tends to centralize network decisions into the hands of a few power players and not into that of all participants.