Consensus Overhead

Definition ∞ Consensus overhead denotes the computational and communication resources expended by a distributed network to reach agreement on the validity and order of transactions. This includes the energy, time, and bandwidth consumed during the process of verifying blocks and maintaining network security. Different consensus algorithms carry varying degrees of overhead, impacting a blockchain’s efficiency and environmental footprint. Minimizing this overhead is a key objective in blockchain design.
Context ∞ Consensus overhead is a central topic in discussions about blockchain scalability and sustainability, particularly with proof-of-work systems. News articles often highlight the energy consumption of certain cryptocurrencies, directly relating to their consensus overhead. As the digital asset space matures, reducing this overhead through protocol upgrades or alternative consensus mechanisms remains a primary focus for developers and environmental advocates alike.