Consensus Architecture

Definition ∞ Consensus architecture refers to the fundamental design and operational principles that enable distributed network participants to agree on a single, valid state of a ledger. This structure dictates how transactions are verified, ordered, and added to the blockchain. Examples include Proof of Work, Proof of Stake, and various Byzantine Fault Tolerant algorithms.
Context ∞ The choice of consensus architecture significantly impacts a blockchain’s scalability, security, and decentralization properties, topics often highlighted in digital asset news. Ongoing developments focus on enhancing transaction throughput and reducing energy consumption without compromising network integrity. Regulatory bodies are increasingly scrutinizing the environmental impact of certain consensus designs.