The approach and solution to the blockchain trilemma.
Cryptocurrencies have been promised to be the future of money, providing a decentralized and secure means of transferring value. However, the Blockchain Trilemma, a widely held hypothesis in the crypto community, suggests that a cryptocurrency can only excel at two of the following three core benefits: security, decentralization, and scalability. Kaspa aims to challenge this trilemma with its innovative consensus and block propagation approach known as the BlockDAG.
Kaspa’s security is based on the Nakamoto Consensus (NC), which uses the longest-chain rule as its core protocol. Kaspa has extended the rule to create a blockDAG that references all mined blocks within the structure, which is secured via proof-of-work by a robust network of miners and nodes. This makes Kaspa the first proof-of-work cryptocurrency to solve the orphan block problem. In the blockDAG architecture, Kaspa uses a generalized version of the longest-chain rule that considers block weight, determined by the amount of proof-of-work and references to the block in the network. Kaspa’s method enhances security and scalability and solves the orphaned block problem while adhering to the longest-chain rule.
Kaspa’s decision-making process is community-driven, with no company or individual controlling the network and no private allocations or premine. The network is propagated by proof-of-work, which benefits solo miners and local nodes with low variance, a low ROI-based entry, and single-second block speeds(soon less with Rustlang rewrite). This encourages a distributed network of nodes and hashrate, instead of power consolidation within a few mining pools.
Kaspa’s BlockDAG allows for high block rates and virtually instant transaction finality up to the limits of internet latency(soon adaptable with DAGKnight). With single-second blocks, Kaspa is currently the fastest proof-of-work cryptocurrency. Furthermore, it is estimated to operate at 32 blocks per second with the upcoming Rustlang rewrite. This will make it the fastest decentralized network to date.
The End Result
Kaspa’s approach to the trilemma is not only promising, but it’s also been tested, proven, and operational since the mainnet launch. While other established blockchain projects have also made significant strides toward achieving all three core benefits, Kaspa’s unique architecture has genuinely solved the trilemma. In doing so, instead of branding the project complete, Kaspa is doubling its efforts to strengthen its approach. As the world moves towards decentralized finance and blockchain-based applications, solving the trilemma is crucial for the widespread adoption of cryptocurrencies. Kaspa is ready for adoption now and guaranteeing its utilization in the future.
Tip: Trilemma — an argument analogous to a dilemma but presenting three instead of two alternatives in the premises
Feel free to comment and/or ask any questions.
You can also find me on the Kaspa discord — Bubblegum Lightning