Celo PoS Ecosystem

Celo uses a simple and reliable Byzantine Fault Tolerant (BFT) system to help validators keep the network running smoothly. This system lets Celo create blocks in just five seconds, much faster than traditional Proof of Work (PoW) systems, which can take a long time.

One of the best things about Celo is that blocks are finalized immediately. This means you don’t need to wait for extra confirmations to know your transaction is set in stone. The system updates as soon as two-thirds of the network’s nodes agree.

How Proof of Stake (PoS) Works

Celo’s Proof of Stake (PoS) system decides which nodes become validators and ensures everyone has the right incentives to keep the network secure. By using PoS, Celo reduces its environmental impact while remaining safe and reliable.

Celo is designed to be inclusive, letting anyone join and help the network. If you hold the native Celo token, you’re encouraged to participate in the PoS system. Validators are in charge of checking transactions, updating the blockchain, and creating new blocks. Instead of directly voting for validators, token holders vote for Validator Groups.

Validator Groups and Voting

Validator Groups act as a bridge between voters and validators. Each group can have up to five validator candidates. Elections happen every day (called an epoch), and the system picks up to 100 validators. To keep their role, validators need to be re-elected at the end of each epoch.

Validators are chosen based on how many votes their Validator Group gets.

Celo’s setup encourages decentralization. Each Validator Group can only manage a small number of validators, making it harder for any one group to control the network by creating too many Validator Groups. These rules help ensure a diverse and fair network of validators.

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