How Does Finality in Consensus Mechanisms Impact the Speed of Network Effect Adoption?

Finality refers to the guarantee that once a transaction is recorded on the blockchain, it cannot be reversed. Immediate or rapid finality (as in some PoS systems) is highly desirable for financial applications and derivatives trading, as it eliminates counterparty risk quickly.

Faster finality accelerates the network effect by enabling high-frequency, high-value transactions, which increases utility and attracts institutional users faster.