Definition ∞ Block producer collusion refers to an illicit agreement among block producers to manipulate blockchain operations. This coordinated action subverts the intended decentralized governance and consensus mechanisms of a network. Participants might conspire to censor transactions, reorder blocks for personal gain, or halt network operations. Such activity undermines the trust and security assurances a blockchain provides to its users.
Context ∞ The potential for block producer collusion remains a significant concern in proof-of-stake and delegated proof-of-stake systems, where a limited number of validators hold substantial power. Discussions often revolve around mechanisms to detect and penalize colluding entities, thereby preserving network integrity. A critical debate involves optimizing decentralization parameters to reduce the economic viability of such coordinated attacks. Future advancements aim to enhance on-chain transparency and introduce more sophisticated randomness in block selection processes.