What is Casper protocol and how does it work ?
Casper is a proof-of-stake (PoS) protocol developed by Ethereum co-founder Vitalik Buterin.
It is designed to improve the scalability, security, and efficiency of the Ethereum blockchain. The Casper protocol works by rewarding validators for staking their Ether (ETH) tokens in order to secure the network. Validators are incentivized to act honestly and remain online in order to receive rewards for their work.
The Casper protocol works by randomly selecting validators from a pool of stakers who have deposited ETH into a smart contract. These validators are then responsible for verifying transactions on the network and ensuring that all blocks are valid. If a validator fails to do this, they will be penalized and their stake will be slashed.
This system ensures that only honest actors remain in the pool of validators, as any malicious actors will be quickly removed from the network. In addition to providing security, Casper also helps improve scalability on the Ethereum network by reducing the amount of energy required to process transactions. This is because PoS requires less energy than proof-of-work (PoW), which is used by Bitcoin and other cryptocurrencies.
As such, Casper can help reduce transaction fees and make it easier for users to send and receive payments on the Ethereum network.
