Unlike traditional methods that adjust difficulty based on hashrate, this approach sets the difficulty according to the percentage of blocks not included in the main chain, aiming for a target percentage of orphaned blocks. The rationale behind this is to regulate the advantage that a colluding attacker might have over honest miners by maintaining a predetermined small percentage of wasted blocks. This would ideally allow for an increased block rate without surpassing the accepted threshold of orphaned blocks.

However, this innovative mechanism is not without its challenges. It shares a critical flaw highlighted in discussions on platforms like Delving into Bitcoin, where it's argued that such a system could inadvertently encourage alterations in the network's topology. Specifically, there's a risk that it might incentivize miners to physically co-locate their operations. This is because, by closely situating their mining equipment, miners could potentially reduce the number of orphaned blocks they produce, thereby gaining an unfair competitive edge under the rules of this proposed consensus mechanism. This aspect underscores a significant challenge: finding a balance between fostering innovation in consensus mechanisms and preventing potential centralization or collusion among miners.