What is dBFT consensus algorithm and how does it work ?

The dBFT (Delegated Byzantine Fault Tolerance) consensus algorithm is a consensus mechanism used by the NEO blockchain.

It is an improved version of the traditional Byzantine Fault Tolerance (BFT) algorithm, which is used to ensure that all nodes in a distributed network reach consensus on the same data. The dBFT algorithm works by having a group of delegates, or “bookkeepers”, who are responsible for verifying and validating transactions on the network. These bookkeepers are elected by NEO holders through a voting process.

The bookkeepers then use their computers to run specialized software that verifies and validates transactions on the network. Once a transaction has been verified and validated, it is added to a block of data which is then broadcasted to all nodes in the network. Each node then checks if the block contains valid transactions and if it does, they will add it to their local copy of the blockchain.

Once two-thirds of all nodes have added the block to their local copy of the blockchain, consensus has been reached and the transaction is considered confirmed. The dBFT algorithm provides several advantages over other consensus algorithms such as improved scalability, faster transaction times, and improved security against malicious actors. Additionally, because bookkeepers are elected by NEO holders through a voting process, it ensures that only trusted individuals are responsible for verifying and validating transactions on the network.