What is the consensus mechanism of Electroneum (ETN) currency?

Electroneum (ETN) utilizes a Proof-of-Work consensus mechanism with the CryptoNight algorithm, ensuring network security and accessible mining for fast transaction processing with block times of 60 seconds.

Jan 02, 2025 at 07:06 pm

Key Points:

• Consensus mechanism: Proof-of-Work (PoW)
• Mining algorithm: CryptoNight algorithm
• Block time: 60 seconds

Consensus Mechanism of Electroneum (ETN)

Electroneum (ETN) employs a Proof-of-Work (PoW) consensus mechanism to ensure network security and transaction validation. PoW requires miners to solve complex mathematical problems to create new blocks in the blockchain. The first miner to solve the puzzle receives a block reward, which incentivizes participation and competition among miners.

Mining Algorithm: CryptoNight

Electroneum utilizes the CryptoNight mining algorithm, designed for CPU-based mining, making it accessible to a broader range of miners. CryptoNight is a memory-intensive algorithm that balances the mining rewards between low-powered and high-powered devices. This democratizes the mining process and prevents the centralization of mining power.

Block Time: 60 Seconds

The block time in Electroneum's blockchain is approximately 60 seconds, enabling fast and efficient transaction processing. Shorter block times increase transaction throughput, reducing latency and enhancing the overall user experience.

FAQs:

Q: Why does Electroneum use PoW for its consensus mechanism?
A: PoW provides a high level of security and immutability to the Electroneum blockchain, preventing unauthorized transactions or modifications.

Q: What is the difference between PoW and other consensus mechanisms?
A: Unlike other consensus mechanisms like Proof-of-Stake (PoS), PoW requires miners to expend computational power to solve complex puzzles, making it more energy-intensive.

Q: How does the CryptoNight algorithm impact mining?
A: CryptoNight's memory-intensive nature favors miners with low-powered devices, promoting decentralization and reducing the dominance of large mining pools.