What Consensus Mechanism Relies Heavily on the Integrity Provided by the Merkle Root?
Proof-of-Work (PoW) is the consensus mechanism that relies heavily on the Merkle Root's integrity. In PoW, miners compete to find a valid block hash, which must include the Merkle Root derived from the block's transactions.
The Merkle Root ensures that the transactions are correctly accounted for before the costly mining process begins. If a miner tries to include an invalid Merkle Root, their resulting block hash will be rejected by the network, upholding the chain's security.
Glossar
Merkle Root
Derivation ⎊ A Merkle Root functions as a cryptographic commitment to a dataset, representing a single hash value derived from recursively hashing pairs of data blocks within a Merkle tree.
Data Integrity
Provenance ⎊ Data integrity within cryptocurrency, options trading, and financial derivatives fundamentally relies on establishing an immutable provenance for each transaction and data point.
Integrity
Data ⎊ Data integrity is the assurance that market information, particularly asset pricing feeds from oracles and trade execution records, remains accurate, consistent, and unaltered throughout its lifecycle.
Consensus Mechanism
Efficacy ⎊ : The mechanism's efficacy is measured by its ability to achieve agreement on transaction ordering and state transition while maintaining a high degree of decentralization and finality.