Proof of Work (PoW) - News, Opinion & Analysis

Proof of Work (PoW)

138 Articles 49 Followers

Proof of work (PoW) is the original type of consensus algorithm in a blockchain network. It was first developed in 1993 as a way to prevent denial of service attacks and others on a network. However, it wasn’t until 2009 that Satoshi Nakamoto implemented PoW on Bitcoin as an innovative way to achieve consensus in a distributed network. Since then, PoW has become a widely used consensus algorithm for many cryptocurrencies.

PoW is used to validate transactions which produces new blocks and links them together to form a blockchain. In PoW, miners compete against each other to solve complex computational puzzles. When a miner successfully solves the difficult puzzle it is verified by other miners and a new block is added to the blockchain. The transactions in the new block are thus added to the network and miners get rewarded for adding new blocks to the blockchain and securing the network.

The process of proof of work secures a blockchain network and helps to protect the network against numerous different attacks. The more miners a PoW blockchain has, the more computational hash power it has, which makes the blockchain more secure. A successful attack on a PoW blockchain would require a lot of computational power and time. Therefore, attacks on highly secure PoW blockchains can be very expensive and deemed pointless. To this day, PoW is considered to be the most secure consensus algorithm because it is the most tried and tested. 

However, PoW is not without downsides. It is very energy intensive and therefore not the most efficient consensus algorithm. Also, some experts say that PoW blockchains are more difficult to scale and that newer methods such as PoS or DPoS are required to implement various scaling solutions.

In this tag you can discover proof of work (PoW) news, cryptos, opinions and analysis created by knowledgeable individuals on the matter.

Using BoomPow (PoW) Client in Raspberry Pi4 - $BANANO

9 Mar 2021 2 minute read 2 comments Holdman

What is PoW Banano? Banano transactions require a "proof of work" in order to be broadcasted and confirmed on the network. Basically you need to compute a series of random hashes until you find one that is "valid" (satisifies the difficulty equation)...

Data Science of Binance Smart Chain (BSC) vs Ethereum (ETH)

27 Feb 2021 4 minute read 0 comments quantdoge

Blockchain Architectures of BSC and ETH Ethereum is currently having the second-largest market capitalization after Bitcoin (BTC). As opposed to Bitcoin blockchain which serves solely as a store of value and peer-to-peer decentralized payment system,...

From Bioeconomics to Degrowth (Mauro Bonaiuti)

19 Feb 2021 11 minute read 0 comments rhyzom

Link to full paper here: Mauro Bonaiuti The first conclusion is that the basic objective of the economic process, i.e. the unlimited growth of production and consumption, in being founded on the use of non-renewable sources of matter/energy, contra...

Bitcoin Mining businesses are affected due to global shortage of Bitcoin Mining Rigs

8 Feb 2021 1 minute read 3 comments Greenchic

   Shortage of Bitcoin Mining Rigs for Bitcoin Miners to mint new Bitcoins Bitcoin demand has obviously been high of late, which reflected in BTC’s rising price, this has led to a demand for more Bitcoin mining machines, which are used by Bitcoin min...

Josiah Spackman on DigiByte and Proof-of-Work Mining's Challenges

2 Feb 2021 1 minute read 2 comments TheDesertLynx

Josiah Spackman, a.k.a. DGB_Chilling, comes on the podcast to discuss the particulars of proof-of-work mining, the various types of mining algorithms, with the drawbacks and benefits of each approach, in the context of recent 51% attacks. We go into...

Decred Blockchain Analysis - Part 2 PoW wow

27 Jan 2021 16 minute read 0 comments Richard Red

Getting tangled up in the Decred chain Since my first report about the Decred blockchain data, I have descended into its depths in an effort to understand what we can learn about the network. This work has progressed in three directions that have som...

The lost Bitcoin Vision of Satoshi Nakamoto! What you need to know

20 Dec 2020 6 minute read 9 comments LiquidAttic

Most people i know are in Bitcoin for fiat money. Also look at company’s buying Bitcoin to make huge profits. This brings up a lot of questions in my mind like, has Bitcoin failed? Where is the Vision of Satoshi Nakamoto? Doesn’t this make Bitcoin wo...

What are consensus Algorithms in the blockchain world?

16 Dec 2020 7 minute read 5 comments LiquidAttic

This post took a little more time and more research than I am used to. I myself wanted to know how different blockchain consensus algorithms work and how they were chosen. Today I want to talk about different blockchain consensus algorithms. There ar...

It's time to put PoW (Proof-of-Work) to bed!

11 Dec 2020 3 minute read 0 comments saswat99

Simply put, Proof of Work is the first, and arguably the most robust and secure, consensus mechanism that first grabbed the world's attention in the last decade with the sky-rocketing popularity of the mega-star of the crypto world 'Bitcoin'. With a...

Anyone Can Participate in Proof of Work

1 Dec 2020 2 minute read 0 comments CPix

Thought Of The Week Bitcoin continues to be the most secure and decentralized computing network in the world mainly because it uses a Proof of Work consensus mechanism. All miners exhaust great deals of energy in the form of electricity, both renewab...