Ethereum: The Consensus Layer (CL)

Abstract

This chapter provides a general overview of the Ethereum Consensus Layer (CL). It first describes the blockchain data structure and then introduces Ethereum&s;s consensus blockchain, called the Beacon Chain. We then turn to an explanation of Ethereum&s;s consensus mechanism, called Proof of Stake (PoS) or staking. It shows how staking involves validators who are incentivised to update the Beacon Chain honestly and disincentivised to engage in malicious behaviour. We conclude with advanced consensus topics such as Maximum Extractable Value (MEV) and blockchain forks.