Proof of Authority (PoA) and Proof of Stake (PoS)
Proof of Authority (PoA)
- Validation Mechanism: Validators are pre-approved, trusted entities based on authority.
- Validator Selection: Limited; validators are selected by a central authority or consensus.
- Network Type: Primarily used in private or consortium networks.
- Energy Efficiency: Highly efficient as it doesn’t require mining.
- Security Model: Relies on validator reputation and trust.
- Fault Tolerance: Byzantine Fault Tolerant (BFT), though less decentralized.
- Scalability: High scalability, as a limited number of validators handle consensus.
- Decentralization: Lower due to a smaller, centrally approved set of validators.
- Governance: Usually centralized, as the validator set is controlled by a central authority.
- Transaction Finality: Immediate or near-instant finality.
- Risk of Centralization: High, as the validator set is often small.
Proof of Stake (PoS)
- Validation Mechanism: Validators lock up tokens as collateral (stakes).
- Validator Selection: Open to any user who meets staking requirements.
