Hybrid PoS + PoW consensus based on stochastic network contraction
The fundamental reason leading to the excessive transaction latency in today’s blockchains is the transmission overhead in a P2P network cannot scale with the number of nodes. The problem is inherent to the P2P based PoW consensus since every transaction is to be broadcast to the whole network. In fact, the latency has to worsen as long as the number of nodes increases. The recently proposed lightning network is devised to solve the above problem. What it does, however, is no more than creating a private channel for the payer, receiver and transferring nodes so that transaction can be completed once a consensus is reached. Such a process lacks a guarantee for the safety, especially when the channel is under malicious attacks, because it takes place off the blockchain.


if you want to know about that, you can download technical white paper above.