How does ethereum consensus mechanism contribute to the security of digital currencies?

1 answers

• EzequielJul 28, 2024 · a year ago
  The consensus mechanism employed by Ethereum, called Proof of Stake (PoS), is a key factor in the security of digital currencies. PoS relies on validators who hold a certain amount of cryptocurrency and are chosen to create new blocks and validate transactions based on their stake. This mechanism reduces the risk of centralization and 51% attacks, as it would require an attacker to control a majority of the cryptocurrency supply. Additionally, PoS eliminates the need for energy-intensive mining, making it more environmentally friendly. Ethereum's consensus mechanism contributes to the security of digital currencies by promoting decentralization, reducing the risk of attacks, and minimizing the environmental impact of mining.
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