ADN Consensus: What is Delegated Proof-of-Stake (DPoS)?
ADN consensus uses Delegated Proof-of-Stake (DPoS). With this protocol, we are able to uphold lofty ideals like democracy, scalability, and security.
At ADN, we envision ourselves to become the most secure and innovative ICO platform. Through our investor-protection mechanism, we aim to assist companies that look for transparent and trustworthy ICOs, as well as to become a platform where investors will go to for sound investment options.
To be able to do so, we will be needing the help of various technologies that have proven to be compatible with our standards and needs, which are communicated well in another blog. This time, we will talk about our preferred consensus protocol, which is the Delegated Proof-of-Stake (DPoS). We will discuss what DPoS means and why we have chosen this consensus mechanism.
DPoS Consensus Protocol
Delegated Proof-of-Stake (DPoS) is a consensus mechanism that functions similar to Proof-of-Stake. However, it gives the opportunity for individuals to choose an overarching entity to represent their portion of the stake in the system. DPoS maintains an indubitable agreement on the consensus within the network, which is designed as an implementation of technology-based democracy to validate transactions.
Each individual in a particular blockchain ecosystem represents a “node” and is eligible to become a delegate. A delegate is chosen by the ecosystem to validate transactions and discover new blocks, thereby gaining block rewards as programmed in the blockchain’s very codes. As to how these delegates will be chosen, each ecosystem has its own voting system. However, each delegate generally introduces an individual proposal when asking for votes. Most often, the rewards received by the delegates are correspondingly shared with their respective electors.
Each individual’s voting power is determined based on the amount of the base tokens he holds. These delegates are in charge of accepting or refusing numerous network transactions. Consequently, they are expected to be temporary gatekeepers, making sure that the network will run smoothly.
Did You Know?
According to Lisk Academy, some DPoS variants prove a delegate’s commitment by setting his own funds into a time-locked security account.
Furthermore, delegate honesty and commitment are considered extremely important. If a delegate has been deemed incompetent or shady by the network, he can be immediately voted out of the network and replaced by another one. In summary, a DPoS network is self-governed and monitored by all of its participants. The goal is to assure and prioritize the best interests of the network.
DPoS as An Advantageous ADN’s Choice
At ADN, we have chosen DPoS consensus because it has some advantages over other mainstream options like Proof-of-Work (POW) and Proof-of-Stake (PoS). Mainly, DPoS is more scalable, enabling more transactions to be processed per second (TPS), when compared to the previous protocols. We have made a comparison among the three consensus protocols in the ADN whitepaper.
DPoS differs substantially from PoW and PoS. More than the differences pointed out above, it is important to highlight that the DPoS system is maintained by the voters.
Our company values each individual who is a member of our community. Through the DPoS consensus mechanism, we work in a democratic way so as to build a secure and reliable ICO platform.
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