WHALE FACTOR
AnalysisFeaturedAIMarketCalendarCryptoToolsAPI
Newsletter

Latest Articles

Apple Takes OpenAI to Court Over Alleged Trade Secret Theft

Jul 10, 2026

Apple vs. OpenAI: A $6.5 Billion Hardware Feud Unfolds

Jul 10, 2026

Terraform's $4B Legal Battle: The High-Stakes Dance with Jump Trading

Jul 10, 2026

Chainlink's Latest CCIP Integration: A New Era for Crypto Communication

Jul 10, 2026

Dogecoin's Dance Around $0.13: A Short-Lived Surge or Steady Climb?

Jul 10, 2026

Tokenized US Treasuries Lead Market, But Access Remains a Barrier

Jul 10, 2026

Bitcoin's $100K Target: Why Standard Chartered Calls it a 'Screaming Buy'

Jul 10, 2026

Japan's Fiscal Split: A $1.8 Trillion Gamble That Crypto Can't Ignore

Jul 10, 2026

News & Analysis

  • Latest News
  • Featured
  • Analysis
  • Blog
  • AI x Crypto
  • Newsletter
  • Newsletters
  • RSS Feed

Learn & Compare

  • Crypto Glossary
  • Learn Guides
  • How to Buy
  • Compare Coins
  • Best Of
  • Developers

Prices & Tools

  • All Prices
  • Bitcoin Price
  • Ethereum Price
  • Market Overview
  • All Tools
  • Fear & Greed
  • Crypto Calendar

Company

  • About Us
  • Methodology
  • Editorial Standards
  • Search
  • Privacy Policy
  • Terms of Service
  • Sitemap
  • HTML Sitemap
Whale Factor|

2026 Whale Factor. All rights reserved.

  1. Home
  2. /Glossary
  3. /Consensus Mechanism
Back to Glossary
blockchain

Consensus Mechanism

The method a blockchain uses to agree on which transactions are valid and in what order.

Definition

The method a blockchain uses to agree on which transactions are valid and in what order. Bitcoin uses proof-of-work (mining), while Ethereum switched to proof-of-stake. Different mechanisms have different tradeoffs between security, speed, and energy use.

Share this term

Related Terms

Proof of Work (PoW)

A consensus mechanism where miners solve computational puzzles to create blocks and earn rewards.

Proof of Stake (PoS)

A consensus mechanism where validators stake tokens as collateral to secure the network.

Validator

A node operator who validates transactions and creates blocks on a proof-of-stake network.

ABI

Application Binary Interface.

Account Abstraction

A way to make crypto wallets behave more like normal apps by turning every account into a smart contract.

Account Model

The way Ethereum and many other chains track balances.

Related Tools

Profit Calculator/tools/profit-calculator

Learn More

DeFi Guide/learn/defiStaking Guide/learn/stakingYield Farming Guide/learn/yield-farming

Explore More

Latest NewsCrypto NewsMarketsAnalysisFull Glossary

Stay ahead of the market

Get daily crypto analysis delivered to your inbox. No spam, unsubscribe anytime.