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Ethereum Smart Contract Development

You're reading from   Ethereum Smart Contract Development Build blockchain-based decentralized applications using solidity

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Product type Paperback
Published in Feb 2018
Publisher Packt
ISBN-13 9781788473040
Length 288 pages
Edition 1st Edition
Languages
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Author (1):
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Mayukh Mukhopadhyay Mayukh Mukhopadhyay
Author Profile Icon Mayukh Mukhopadhyay
Mayukh Mukhopadhyay
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Table of Contents (13) Chapters Close

Preface 1. Blockchain Basics FREE CHAPTER 2. Grokking Ethereum 3. Hello World of Smart Contracts 4. A Noob's Guide to DApps and DAO 5. Deep-Diving into Smart Contracts 6. Solidity in Depth 7. Primer on Web3.js 8. Developing a Cryptocurrency from Scratch 9. Enterprise Use Cases 10. BaaS and the Dark Web Market 11. Advanced Topics and the Road Ahead 12. Other Books You May Enjoy

Consensus in distributed systems

Consensus is a problem that arises in distributed systems that are replicating a common state, such as data in a database. It is the task of getting all processes in a group to agree on some specific value based on the votes of each process. The consensus algorithm cannot just invent a value. All processes must agree upon the same value and it must be a value that was submitted by at least one of the processes.

In the previous example of HappySpouse.com, to prevent the consistency problem, we can have a run-around clerk, who will update the other notebook when one of the notebooks is updated. The greatest benefit of this is that he can work in the background, and an update doesn't have to wait for the other person to update. Formally speaking, in such distributed systems, one node updates itself locally, and a background process synchronizes all the other nodes accordingly. The only problem is that we will lose consistency for some time.

For example, a customer's call reaches Kaushik's wife first, and before the clerk has a chance to update his notebook, the customer calls back and it reaches him. Then, the customer won't get a consistent reply. So, we have to safely assume a customer won't forget things so quickly that he calls back in a few minutes in order for this eventually consistent solution to work.

Also, if we look back into the winning strategy of the Byzantine Generals' Problem, we see that a consensus among various captains needs to be achieved in order to distinguish a true message from a lie.

Later in this chapter, we will get back to this with the proof-of-work algorithm employed by bitcoin on a blockchain. As for now, it is good enough to be aware of two facts on consensus:

  • Raft and Paxos algorithms were some early attempts to solve the consensus problem. Both Paxos and Raft managed to solve the consensus problem using majority votes in a cluster. They differed mostly by their focus. Raft aimed to provide a complete practical algorithm, whereas Paxos provided the building blocks of a consensus algorithm.
  • There are two main ways of finding consensus in a distributed ledger system: the practical byzantine fault tolerance algorithm (PBFT) and algorithms for blockchains. Blockchain algorithms can be further classified into the proof-of-stake algorithm (PoS) and the proof-of-work algorithm (PoW). The PoS also has a special form called the delegated proof-of-stake algorithm (DPoS).
You have been reading a chapter from
Ethereum Smart Contract Development
Published in: Feb 2018
Publisher: Packt
ISBN-13: 9781788473040
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