SYSTEM AND METHOD OF VALIDATION OF BLOCK CHAIN BY SECONDARY CHAIN HAVING INCENTIVIZATION AND INSURANCE COVERAGE POWERED BY PROOF OF WORK

摘要

The invention discloses a system and method of validation of main block chain by secondary chain, a supervisory chain connected to a set of nodes where transactions are recorded and validated, is a cloud-based hardware machine powered by Proof of Work. It comprises a memory device; a processing device operatively coupled to the memory device; storage and other connecting serial and parallel logical buses for transmission of data between various hardware components and configured to execute computer-readable program code. The Supervisory-Chain picks up committed blocks and re-validates all the transactions and their hashes to ensure that the validators have done the right job on the main block chain. There is provision for incentivization in the form of rewards to those continues to do the supervision work and flag transactions that are suspicious and penalty for non-fair users, by way of reduced Fair-Quotient-Score. There is built in insurance pool for rewarding incentive.