Part 4/9:
Understanding Proof of History becomes essential to comprehend the speed and efficiency of Solana's network. Unlike traditional systems like Bitcoin, which rely on proof-of-work, PoH creates a verifiable timestamp that enhances transaction processing.
The essence of PoH is that it allows validators to know the order of transactions without waiting for lengthy confirmations seen in other networks. The sequential nature of the hashing process means that even if transactions arrive out of order, they can still be properly verified and added to the blockchain almost instantaneously.