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![]() Understanding Solana: Architecture, Account Model, and Transactions — Part 1
core architectureIn this section, we'll provide a quick overview of Solana's core architecture and understand how it works. Proof of History (PoH)PoH is a key innovation of Solana, proposed by Anatoly Yakovenko, founder of Solana Labs. It is built on a simple but powerful idea: in a distributed system, knowing the precise sequence of events is as important as the events themselves. To achieve this, Solana uses a Verifiable Delay Function (VDF), a cryptographic function that takes a measurable amount of time to compute and whose output can be efficiently verified. Each validator continuously hashes previous outputs as well as new data, resulting in a series of hashes that act as cryptographic timestamps of events. It provides a provable and immutable record of time, showing exactly when each event occurred relative to other events. This design allows for fast finality, meaning that once a block is added to the blockchain, it is considered final and cannot be undone. Verifiable Delay Function (VDF)Traditional blockchains like Bitcoin and Ethereum rely on block intervals or external timestamps to order transactions, which limits scalability. Solana solves this problem by embedding time directly into the ledger using Verifiable Delay Functions (VDF). VDF is a cryptographic function that takes a fixed amount of time to compute and can be verified quickly. The validator continuously runs this function, hashing the previous output to generate a chain of hashes, each hash representing a precise moment in time. This sequence creates a cryptographic clock that allows anyone to prove when an event occurred relative to other events without having to rely on external sources. When transactions are submitted, they reference a specific point in this PoH sequence. Validators can immediately verify when they occur, enabling parallel verification and faster consensus. In the case of Solana, PoH works in conjunction with Tower BFT, a proof-of-stake based consensus mechanism that completes blocks in milliseconds. The role of VDF in PoH addresses several key aspects of blockchain technology:
Tower BFTTower BFT is Solana’s consensus algorithm, built on Proof of Stake and tightly integrated with Proof of History. It is a customized version of Practical Byzantine Fault Tolerance (PBFT), optimized to take advantage of PoH's cryptographic clock. (We won’t cover the full process here, the full process can be read here) In traditional PBFT systems, validators must constantly communicate to agree on the order of transactions, a process that limits scalability. Tower BFT reduces this communication overhead by using PoH as a trusted source of time. Since each validator can verify when an event occurs, they don't need to exchange as many messages to reach consensus. Each validator votes on the state of the ledger and locks their votes into a certain number of "slots." Changing that vote later will require violating its own lock, so honest behavior is strongly encouraged. As validators continue to build on confirmed blocks, their lock duration increases exponentially, making finalization fast and irreversible. Essentially, PoH provides a timeline and Tower BFT builds consensus on top of it, allowing Solana to complete blocks in milliseconds while maintaining security and decentralization. how it works together
Parallel transaction processingIn most blockchains (like Ethereum), transactions are processed sequentially, one after the other, because each transaction potentially modifies shared state (such as balances or contract data). This ensures consistency but limits throughput because the network can only handle as many transactions per second as a single thread can handle. Solana takes a different approach with parallel transaction execution, powered by its runtime called Sealevel. Allowing Solana to achieve massive throughput, tens of thousands of transactions per second, without sacrificing determinism or consistency. (For more information on SeaLevel, see here) NextIn the next part, we'll take a deeper look at Solana's account model, how all state, programs, and data are organized in accounts, and how it differs from Ethereum's contract model.
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