All About Ethereum - Uncles - YouTube

Channel: AltcoinXP

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Hello and welcome to AltcoinXP, my name is anthony and today I'm talking all about ethereum
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Uncles
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This is gonna be a complicated one, so bear with me.
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Uncles are Ethereum's equivalent to Bitcoin's Orphan blocks.
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In order to understand uncles, we must first understand orphans.
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Let's draw it out.
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In a blockchain based peer to peer network, we have all of these miners connected to each
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other, trying to solve a block.
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When one miner solves a block, he relays that information across the entire network.
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However, as we can see.
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Not all miners hear about this newly found block at the same time
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Therefore, this miner will continue mining the previous block
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This opens up the possibility of two or more miners being able to solve a block at the
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same block height.
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When this happens, the bitcoin network forks, then comes back together when the next block
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is solved.
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Because of Bitcoin's 10minute block time, a block has 10 minutes to relay across the
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network.
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So these orphans only happen 4-5 times per week
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We wanna keep orphans from happening because it delays confirmation time to at least 20minutes.
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As a 2nd block needs to be solved before verification of the previous blocks can happen.
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�. But Ethereum wanted block times faster than
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10 minutes.
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How did they accomplish this without increasing orphan rates?
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Well, they did this by giving the orphan block miners a rewards and renaming those blocks
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to uncles.
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This to increase network security.
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Because miner's wouldn't mine Ethereum if there was a large chance their block would
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be orphaned as they wouldn't get a reward for their work.
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�.
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The protocol behind this is called GHOST, or �greedy heaviest observed subtree�
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As far as I know, GHOST wasn't invented by anyone in ethereum.
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It was introduced in 2013 by a couple of Bitcoin researchers.
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Then the Ethereum devs modified this protocol to fit their needs.
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...
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So, why the name change from Orphans to uncles?
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Well, in bitcoin, orphaned blocks eventually get left behind...
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making them orphans.
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However in Etheruem, these blocks are not left behind but instead included in the next
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7 blocks.
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Because they are still part of the block family tree, they are considered uncles.
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They came from the same family but aren't directly part of the new family.
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...
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Now, I said that these uncles are included in the next 7 blocks and that rewards are
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given to miners who find uncles
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So what does the reward structure look like.
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Well, here's a little something I made to breaking it down.
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The miner who's block is included in the main chain gets a block reward of 5 ether.
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The miner who mined the uncle gets 4.375 ether.
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Each uncle the main block miner includes with his new block gets 0.15625 Ether
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So if a miner includes all 7 possible uncles, he gets an additional 1.09375 Ether
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Plus all transaction fees.
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�.
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This also makes forking a bit more difficult with Ethereum than Bitcoin.
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With Bitcoin, the network chooses to follow the longest chain of blocks.
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However, Ethereum follows the chain with the most Uncles.
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Actually, I'm not sure if it follows the chain with the most uncles or the block with the
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most uncles.
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That's something to think about.
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Either way, This is what's meant as following the heaviest chain...
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Or.
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The H in the GHOST Protocol.
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So that's basically it.
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That's all about Ethereum Uncles are and why they exist.
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They allow Ethereum to have block times well under 20 seconds.
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If you like this video, please like, subscribe, and share.
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If you want to support videos like these, please donate bitcoin, ethereum, or dash,
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to the addresses on screen.
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You can also support me by whitelisting my Youtube channel in your adblocking software.
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Lastly, follow me on twitter and the altcoinXP subreddit.
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Ending Screen black screen.
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As you can see in my p2p diagram
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If this node solves a block at the same time as this node, at some point both correct blocks
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will reach a node and that node needs to decide which one to keep and which to throw away.
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This happens sometimes with bitcoin's 10 minute blocks, but it happens way more with ethereum's
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15 second block time.
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When this happens, one of the block has to get orphaned, because we can't have two solutions
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accepted for the same block.
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If that happens, the network forks.
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a way to reward miners who do not have low ping connections
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decrease centralization by increasing profit chances of high ping nodes
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Uncles are blocks that didn't make it in time.
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Say two people found the correct solution to a block
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The person with the lower ping would win the block reward, because he would be know as
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the first person to have found the block, due to his lower ping
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Ethereum wanted faster block times, When doing so you increase the risk of orphaned blocks
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Because the faster blocks are found, the more chance someone else found it at the same time
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as you.
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This is what orphan blocks are
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In ethereum these orphan blocks are a little different, because miners are still paid for
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the orphaned blocks they find
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This is done to increase the security of the network
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Miners are more likely to stay mining if they are paid even though they aren't the official
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block finder
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With Bitcoin, the longest chain is considered the true and safe chain, however in ethereum
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the �heaviest chain� is considered the proper chain
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heaviest meaning the chain with not only the most block, but also the most orphans
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The uncle block reward is less than the main block reward and it deminishes as more blocks
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are found
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until 7 blocks have passed , where the reward resolves at 0
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Miner received 1/32 of ether for each uncle included in the block.
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I don't know why
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Valid Uncle blocks are rewarded to halt network lag (time to propagate a valid block to the
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whole network).
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Uncles included in a block receive 7/8 of the static block reward � or 4.375 Ether-
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with a maximum of 2 Uncles allowed per block.
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See the links in the descriptioin for further reading.
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https://www.cryptocompare.com/mining/guides/what-are-mining-rewards-in-ethereum/
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https://ethereum.stackexchange.com/questions/34/what-is-an-uncle-ommer-block
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https://github.com/ethereum/wiki/wiki/Design-Rationale#uncle-incentivization
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DRAW THISS
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https://blog.ethereum.org/2014/07/11/toward-a-12-second-block-time/