Proof of Elapsed Time – PoET – a concept birthed by Intel Corp. in 2016, this blockchain function is regularly overlooked. Here’s what it is…
• PoET is a blockchain consensus mechanism.
• Its main function is to dramatically decrease energy through high resource utilization.
• An algorithm decides the mining rights and block winners on a blockchain.
• A randomly generated ‘elapsed time’ is automated by the blockchain to do this^.
Through the PoET lottery system, chances for nodes (miners) to win each block are spread out and equally fair. Where this differentiates from regular proof-based algorithms is that it generates a wait time. This means the node must sleep for a duration before mining the block, and the first node to wake up – the one with the shortest wait time – wins the block.
A usual proof-based algorithm would usually host some form of competition or some sort of participation that attracts users and requires a lot of energy. This is why PoET may be a very necessary component for blockchains in the coming future as energy usage and resources become more of an issue.
Contrary to Proof-of-Work’s high power usage, a PoET could become crucial for large-scale blockchains that need to reduce energy expenses.