Consensus

Constellation Network uses a multi-layer consensus model to securely validate transactions and data across a scalable, modular network. This approach separates local consensus—where transactions are validated at the application or token level—from global consensus, which finalizes those updates and anchors them to the network's canonical state.

Consensus happens in two major phases:

1. Layer 1 (L1) Consensus – Validates transactions at the edge (e.g., DAG transfers, metagraph activity)

2. Layer 0 (L0) Consensus – Finalizes and records state across the entire network (via metagraph L0 or the Hypergraph)

This layered design enables horizontal scalability, data composability, and robust finality, while still maintaining a unified and trusted ledger.

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Layer 1 (L1) Consensus

L1 consensus is the first stage of validation for transactions and data submitted to the network. It takes place independently across three environments:

• DAG L1 – Validates transactions involving the native DAG token.

• Metagraph Currency L1 – Validates L0 token transactions received by individual metagraphs.

• Metagraph Data L1 – Validates application-specific data update transactions.

Each L1 environment is composed of a cluster of validator nodes. These nodes reach consensus on the validity of transactions using a DAG-based graph structure, where each node confirms and references others’ blocks. Consensus at this layer ensures that:

• Transactions are properly formed

• Signatures are valid

• Basic checks (e.g. balance, parent references) pass

Once a sufficient number of nodes agree on a set of validated data, that data is aggregated into a block or snapshot candidate and passed on to the next phase of consensus.

Consensus on L1 layers is parallelized and horizontally scalable, with rounds of consensus taking place across small groups of nodes (e.g., 3 nodes), providing rapid processing and validation of incoming transactions.

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Layer 0 (L0) Consensus

L0 consensus is where final agreement and ledger inclusion happen. It exists at two levels:

• Metagraph L0 – Each metagraph has its own Layer 0 that collects validated L1 transactions into a metagraph snapshot, performs final local checks, and submits it to the global network.

• Global L0 (Hypergraph) – This is the shared consensus layer that assembles snapshots from all metagraphs and the DAG L1 into a single global snapshot, which becomes part of the immutable ledger.

Each snapshot submitted to L0 is verified and either accepted or rejected. This final round of validation includes:

• Integrity of the snapshot structure and signatures

• Conformance with snapshot fee requirements

• Final checks on balances and transaction consistency

• Prevention of double spends and other malicious actions

Once approved, snapshots are added to the global snapshot and anchored to the network history.

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Validator Participation and Security

Consensus at the global Layer 0 (Hypergraph) is maintained by a set of validator nodes, each of which must stake DAG collateral to participate. This forms the basis of Constellation’s modified proof-of-stake model, where validators are incentivized to behave honestly and maintain network integrity.

Validators participate in consensus by:

• Reviewing proposed snapshots

• Validating their contents

• Signing them for inclusion in the global snapshot

To protect against dishonest behavior:

• Nodes that sign invalid or conflicting data can be slashed, forfeiting their stake

• Validators that fail to meet performance or security standards can be removed from the active set

This staking and slashing model ensures that global consensus remains trust-minimized, economically secure, and decentralized.

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PRO Score: Layered Trust and Reputation

In addition to stake-based participation, Constellation uses a reputation system called the PRO Score (Proof of Reputable Observation). This system introduces a trust layer on top of the consensus process by tracking and evaluating node behavior over time.

PRO Scores influence how nodes perceive and prioritize the signatures of their peers, especially in situations like:

• Minor forks or network splits

• Competing snapshots or state updates

• Peer selection and gossip propagation

Nodes with higher PRO Scores are considered more reputable and are more likely to be trusted during snapshot formation and conflict resolution. In future releases, PRO Scores will also influence rewards, validator rotation, and staking incentives.

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Summary

Consensus in Constellation is layered, with different validation responsibilities assigned to different parts of the network.

Layer	Role in Consensus
DAG L1	Validates native DAG token transactions
Metagraph L1	Validates custom token and data transactions within metagraphs
Metagraph L0	Packages L1-validated data into snapshots for global submission
Global L0	Validates and finalizes all snapshots across the network (Hypergraph)

This layered approach allows for secure and scalable consensus while supporting a wide range of token models, data systems, and applications.