Proof of Authority

Proof of Authority (PoA), represents a pioneering approach to block production efficiency. PoA seamlessly amalgamates the robustness of Proof of Stake (PoS) with the cutting-edge concept of Non-Fungible Token (NFT) Address validation. By harnessing the power of NFT Addresses, this innovative algorithm ensures unparalleled provider validation, thereby fortifying the integrity and security of the GAN Chain network.

1. Authority Nodes:

• In a Proof of Authority network, consensus is reached through a set of predefined authority nodes or validators.

• These nodes are typically recognized and trusted members of the network, often representing institutions, organisations, or individuals with a vested interest in maintaining the integrity of the blockchain.

2. Identity Verification:

• Unlike Proof of Work (PoW), where nodes compete to solve complex mathematical puzzles or stake tokens, PoA relies on identity verification.

• Authority nodes are required to undergo a rigorous identity verification process, ensuring their legitimacy and credibility within the network.

3. Block Validation:

• Authority nodes take turns proposing and validating blocks of transactions.

• Blocks are added to the blockchain based on the consensus of a majority of authority nodes, rather than through a competitive mining process as in PoW.

4. Transaction Finality:

• Transactions confirmed by authority nodes are considered final and irreversible, providing a high level of certainty and security for network participants.

• This deterministic approach to transaction finality is advantageous for applications requiring rapid settlement and low latency.