BFT Finality Gadget

Definition ∞ A BFT Finality Gadget is a specialized component within a blockchain protocol that applies Byzantine Fault Tolerant consensus principles to achieve transaction finality. This mechanism ensures that once a transaction is recorded, it cannot be reversed or altered, even if a portion of network participants act maliciously. It operates alongside the primary consensus algorithm to provide an additional layer of security and irreversibility.
Context ∞ The implementation of a BFT Finality Gadget is a critical development for enhancing the security and trustworthiness of proof-of-stake blockchains, a topic frequently covered in crypto news. This mechanism addresses concerns regarding transaction reversibility, which is vital for enterprise adoption and regulatory clarity of digital assets. Its presence signifies a robust defense against certain types of network attacks, reinforcing the integrity of ledger entries.