How Does a Consensus Mechanism like Proof-of-Authority (PoA) Work in a Private Blockchain?
Proof-of-Authority (PoA) is a consensus mechanism where new blocks are validated by a set of pre-approved, trusted validators, or "authorities." Unlike Proof-of-Work (PoW), it does not require intense computational power, making it faster and more energy-efficient. It is highly suitable for private or permissioned blockchains where identity is known and trust is established among participants.
The security relies on the integrity of the designated validators.