Exploring Solana’s Consensus- What Makes Proof of Stake and Proof of History So Fast?

Tushar Bhatia
3 min readNov 1, 2024

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If you’re curious about what makes Solana stand out in the blockchain world, you’re not alone. Honestly, when I first dug into it, I was surprised at just how different it is from other blockchains. Solana doesn’t just rely on Proof of Stake (PoS) like most blockchains — it adds this unique system called Proof of History (PoH) into the mix. And these two together? They’re what give Solana its speed and affordability. Let’s unpack this together.

Starting with Solana’s Foundation: Proof of Stake (PoS)

So, a quick refresher on PoS. In Solana’s network, validators secure everything by staking SOL tokens — essentially locking them in as a “deposit” to show they’re committed. The more SOL they stake, the better their chances of getting chosen to validate transactions and earn rewards. It’s a bit like earning trust points, keeping everyone honest and motivated to keep the network safe.

But here’s where it gets interesting: Solana didn’t stop there. Instead, they added this layer called Proof of History, and that’s where the magic really starts.

Proof of History (PoH)

Now, PoH might sound fancy, but it’s actually super straightforward once you get it. Think of it like a built-in timer. Every transaction gets its own timestamp right when it comes in, so everything’s already in order by the time validators see it. This makes Solana crazy efficient — validators don’t have to stop and ask each other about the order because it’s all pre-organized. It saves so much time!

Let me give you a few examples to make PoH really click:

A Digital Stopwatch for Transactions: Picture PoH as Solana’s own stopwatch, ticking away as each transaction arrives. Every one of them gets a timestamp, like marking splits on a stopwatch. Because of that, validators don’t have to figure out what came first — it’s already clear. When I first got this, it made total sense why Solana’s so fast.

The Warehouse Barcode Scanner: PoH is like a barcode scanner in a busy warehouse. Every transaction has a unique “arrival time,” so validators can just scan it and know exactly where it fits. Without PoH, they’d have to constantly double-check with each other. Instead, PoH does the work, speeding things up and cutting out any back-and-forth.

Why the PoH + PoS Combo Sets Solana Apart?

1. Transaction Speed

Most blockchains feel like single-lane roads, with each transaction waiting its turn. But PoH lets Solana act more like an expressway, with everything queued up in order. Validators don’t have to slow down; they just confirm each transaction as they come. This setup is why Solana can process over 65,000 transactions per second — pretty incredible if you think about it.

2. Efficiency in Reaching Consensus

PoH acts like a universal clock that all validators follow. It’s almost like they’re working from the same synced calendar, eliminating any need for constant checking. This keeps things efficient and helps avoid the usual slowdowns. It’s faster and more efficient than a lot of other systems, and it’s a big reason why Solana can handle so much traffic.

3. Low Costs and High Throughput

Since PoH lines everything up in advance, validators can process many transactions at once. Imagine it like a bulk-processing line where everything is ready and waiting. This keeps transaction costs low even when there’s a lot going on, making Solana a very cost-effective option.

Why/How Solana’s PoS + PoH Design is Changing the Game?

Solana’s combination of PoS and PoH has created a unique edge in the blockchain world. This setup is ideal for applications that rely on fast, low-cost transactions—like DeFi, gaming, and NFTs. By streamlining transaction processing with PoH’s pre-ordered timestamps, Solana makes it easy for developers to build responsive, affordable applications.

For users, this means a smoother experience without delays or high fees, regardless of network traffic. Solana’s ability to sidestep the usual bottlenecks has made it a popular choice for high-performance blockchain projects. With PoS and PoH working together, Solana is shaping up to be a powerful tool for the next generation of decentralized apps.

This version highlights the impact of Solana’s design on performance and accessibility without directly repeating the developer and user appeal.

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Tushar Bhatia
Tushar Bhatia

Written by Tushar Bhatia

Not Your Regular NERD Blockchain Security Expert | DeFi Innovator | Advanced Solidity Developer | Foundry Lover | Solana Enthusiast

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