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Optimistic Proof
8 months ago
11
Finance & Crypto
Education
thetallystick
proof
optimistic
optimistic proof
equity
finance
investing
learn
learning
Optimistic proofs involve transactions being initially trusted without on-chain verification for speed. They are processed off-chain, with only the transaction data posted to the blockchain. A fraud proof mechanism allows for disputes over transaction validity within a set time frame.
If no fraud is proven, transactions are automatically accepted as valid after this period. If a fraud proof is submitted, the blockchain re-executes the transaction to verify its correctness. If the proof is valid, the incorrect transaction is voided, and the state is corrected.
This method balances efficiency with security, leveraging the blockchain for finality only upon challenge.
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