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

Proof of Work (PoW)

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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.

Brainwaves as proof-of-work for cryptocurrencies: Microsoft's shocking idea

1 Apr 2020 2 minute read 0 comments ManCrypto

Brainwaves as proof-of-work for cryptocurrencies: Microsoft's shocking idea   The Colossus of Redmond puts forward a patent application focused on a very particular concept: collecting body parameters to demonstrate that it has performed a task Micro...

A response to the article: "Staking - centralization risk"

9 Mar 2020 4 minute read 1 comment Allen Walters

This is a response to the article "Staking - centralization risk". The Steem situation is a shitstorm. I'm not going to debate that much, besides the fact that I want to point out that: The fact that Justin could buy up Steemit and gain a large posi...

Inflation rates: how it's less of a big deal in PoS

6 Mar 2020 3 minute read 0 comments Allen Walters

When people research new projects to potentially invest in, one of the questions that is often asked is: "What's the inflation rate?" What is inflation?Inflation or Inflation rate, is the increase in money supply. So the increasing amount of Dollars,...

Proof of Work vs Proof of Stake vs Proof of Importance - Blockchain

2 Mar 2020 3 minute read 0 comments Gopherine

Cryptocurrencies are based on the decentralized database based upon consensus mechanism or in other words distributed ledger. Any data stored in this network are immutable(cannot be changed or deleted) as it is stored in different locations, without...

Lyf coin staking smart contract: customizable and transparency in staking!

27 Feb 2020 3 minute read 0 comments EbriDan

INTRODUCING LYFCOIN STAKING PLATFORM How would you like to have complete control of your staked coins? An ability to customize your staked tokens with a beginning list of about 100 different erc20 tokens on the Ethereum blockchain?  The staking smart...

Opportunity is born in panic

10 Feb 2020 1 minute read 0 comments Diskcoin

The cryptocurrency market has recently experienced an unremarkable general rebound pattern, and it is indeed a bit unexpected under the situation of Bitcoin shock. Looking back at the background of all this, it was when the market fell sharply in mid...

10 questions to let you know about DISC

3 Feb 2020 3 minute read 1 comment Diskcoin

What is DISC? DISC is a new cryptocurrency based on CPOC (Conditioned Proof of capacity).   What is the POC consensus mechanism? POC, Proof Of Capacity. Capacity generally refers to hard disk capacity. POC was first born in 2014. The earliest cryptoc...

How to stake your TrezarCoin (and withdraw from coinkit/graviex)

3 Feb 2020 2 minute read 0 comments lucasc

TrezarCoin is a hybrid proof-of-work / proof-of-stake cryptocurrency. Like Bitcoin, you can mine TZC (TrezarCoin), earning coin with your computation power. You can also stake it in your wallet, which is a much lighter task than mining and yields you...

Minima - changing the game?

27 Jan 2020 2 minute read 2 comments Adam Funnell

Very occasionally, I come across something that gives me goosebumps. Something that could really change the game. It is not often, and more often than not when a new protocol comes along, we seem to be going over old ground and very little changes. P...

Byzantine Fault Tolerance

26 Jan 2020 1 minute read 0 comments piotrillo

The problem of the Byzantine generals, also called problem of interactive consistency. This refers to a problem of consistency. It is about the task of making common and precise decisions in a network. The problem can best be described with a metapho...