Supply chain tracking network VeChain has just upgraded its consensus mechanism to what it claims to be the “world’s greenest” method of verifying blocks in the chain.
On November 16, VeChain took a milestone in its six-year history by upgrading its VeChainThor backbone to the first phase of the Proof of Authority (PoA) 2.0 SURFACE consensus algorithm.
VeChain is a supply chain tracking system that was launched in 2015 and combines physical tracking with blockchain record keeping.
PoA and Proof of Stake (PoS) differ from Proof of Work (PoW) in that they do not require mining to reach consensus on the network. PoA achieves consensus by verifying the identity of users, while PoS does this by staking parts in the network.
The VeChain network operates with only 101 nodes. Fewer nodes reduce decentralization but increase network speed and reliability. This tends to be favored for commercial and industrial applications. For comparison, Bitcoin currently has 13,244 nodes, while Ethereum has 2,701.
An additional advantage is that the PoA consumes less energy and emits a very low amount of carbon. VeChain suggested the new upgrade is “the world’s greenest consensus to drive mass adoption.”
The upgrade consists of three main components according to the official announcement. The first is a Verifiable Randomness Function (VRF) that securely and randomly assigns nodes to produce blocks or process transactions, thus immunizing them against corruption.
The second is a committee-approved block production process that dramatically reduces the likelihood of network branching. Forking can cause delays and slow down network throughput.
The third component is a passive process of confirming the purpose of the block. This ensures that new blocks are finalized even if not all nodes in the network are synchronized.
The PoA 2.0 SURFACE upgrade also aims to improve scalability, security, and throughput on the VeChainThor core network.
The VeChain team explained in the announcement that the adaptive chain extension (SURFACE) approach of the PoA 2.0 secure use case is needed “to meet the demands of future blockchain applications and growing global demand.” .
Related: VeChain Thor’s Mainnet Reaches 10 Million Block Milestone With No Downtime
Various exchanges, including Binance and Crypto.com, have supported the hard fork of VeChain (VET), which has fallen by around 10% in the past 24 hours.
Finally, we did it! # 10653500https: //t.co/mXgVKjqGta
We must also say thank you to our dear ones #VeFam.
Let’s enjoy this moment together! https://t.co/A6zMcsREbJ
– VeChain Foundation (@vechainofficial) November 16, 2021
The VeChain project also announced on November 16 the election of the second Steering Committee (SC). The SC is designed to “facilitate efficient decision-making and ensure fairness and efficiency in the execution of all fundamental issues”.