Faster Finality

How transactions achieve finality in Quai Network.

What is Finality?

When you send a transaction, how long do you have to wait before you’re confident it can’t be reversed? This waiting time is called finality.Two Types of Finality:

  1. Statistical Finality: Mathematical certainty your transaction is permanent (barring a 51% attack)

  2. Economic Finality: The cost to reverse your transaction exceeds any attacker’s benefit

Why Faster Finality Matters:

  • Better user experience: No waiting 10+ minutes for Bitcoin confirmations

  • Enables commerce: Merchants can accept payments instantly

  • Reduces uncertainty: Clear when transactions are truly final

The Challenge: Quai’s Multi-Chain Architecture

Quai Network uses a hierarchy of blockchains:

  • Prime chains: Main coordination chains (slower, more secure)

  • Region chains: Regional coordination chains

  • Zone chains: Individual transaction chains (faster, where users interact)

The Problem: In traditional systems, transactions on fast chains (zones) aren’t final until confirmed by slow chains (prime). This creates uncertainty.

The Withholding Attack Problem

What’s a Withholding Attack? Imagine a miner finds a valid block but doesn’t immediately broadcast it. Instead, they hold it back while other miners waste energy mining the previous block.In Single Chains (like Bitcoin):

  • Attacker holds back a block for ~10 minutes

  • Minimal impact since no transactions process between blocks

  • Eventually another miner finds a block, making the withheld block worthless

In Multi-Chain Systems (Traditional Approach):

  • Zone chains process transactions continuously

  • But those transactions aren’t final until prime chain confirms

  • Attacker could hold back a prime block, keeping zone transactions uncertain

  • Much more disruptive than single-chain attacks

PoEM’s Solution: Bottom-Up Finality

Traditional Hierarchy (Top-Down):

  • Prime chains lead, zone chains follow

  • Zone transactions wait for prime confirmation

  • Vulnerable to prime chain withholding attacks

PoEM Hierarchy (Bottom-Up):

  • Zone chains can achieve finality independently

  • Prime chains follow zone chain entropy accumulation

  • Withholding attacks become ineffective

How This Works:

  • Zone chains remove entropy faster than prime chains (due to higher frequency)

  • Even the “luckiest” possible prime block can’t outweigh zone chain accumulation for long

  • Transactions achieve finality in seconds, not minutes

Finality Comparison

System
Statistical Finality Time
Method

Bitcoin

10+ minutes (1 block)

Wait for longest chain

Ethereum

12+ minutes (2 epochs)

Wait for 2/3 validator approval

Quai PoEM

~5 seconds (1 zone block)

Entropy accumulation measurement

Why PoEM is Faster:

  • Objective measurement: Entropy is mathematically scarce, not subjective

  • Independent chains: Zone finality doesn’t depend on prime blocks

  • Precise calculation: Measures exact work, not arbitrary thresholds

Learn more about the mathematical details of this calculation.

Economic Finality: Real-World Security

What is Economic Finality? The point where reversing your transaction would cost an attacker more than they could possibly gain.Real-World Examples:

  • Coffee purchase ($5): Economically final almost instantly

  • Car purchase ($50,000): May need 30+ minutes for full economic security

  • House purchase ($500,000): Could require hours of confirmations

Factors Affecting Economic Finality:

  • Transaction value: Higher value = longer wait time needed

  • Network hashrate: More miners = better security = faster finality

  • Pending transactions: Network congestion affects attack costs

  • Market conditions: Token price volatility impacts attack economics

Built-in Economic Finality Tool

Quai Network includes a smart finality calculator that:Analyzes Network Conditions:

  • Current hashrate and mining distribution

  • Pending transaction volumes and fees

  • Historical attack costs and patterns

Provides Custom Recommendations:

  • Instant decisions for small transactions

  • Precise wait times for large transfers

  • Real-time updates as conditions change

Use Cases:

  • Merchants: Know exactly when payments are safe

  • Exchanges: Minimize deposit wait times while maintaining security

  • Users: Understand the security level of their transactions

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