What happens in the bitcoin network when two miners solve a block at the same time?
Itâs possible that chain will split and then there will be two different chains. We will have two different versions of truth being circulated.
What is a stale block?
Stale Blocks are blocks that are no longer part of the current best blockchain, because they were overridden by a longer chain. They are valid and verrified but have been rejected by the chain and sent to Mempool.
How do stale blocks occur?
If two different miners located for instance in China and Canada successfully find a valid next block at the same time, we have a conflict on the network. Both proposed blocks are valid, but only one can be appended. The 3rd Miner successfully mines a next block. After attaching it to the one of two version of truth, the nodes in America drop the block from the second chain and continue to build on the longest, best current version of the blockchain. That block then becomes a stale block. Network accepts the longest blockchain (the most difficult/best current version of truth). So in the case of splitting a chain, that block will be overridden by a longer chain. It will be then sent to mempool and will wait for validation.
Why is it important to wait for more than one block to be confirmed when sending or receiving a transaction?
Because we want make sure that a block with this transaction wonât be overridden by a longer chain (wonât get dropped/rejected).