Proof of Work
A consensus method in which participants compete to solve a computational puzzle to add the next block, making rewriting history expensive. Bitcoin uses it.
Also called PoW · mining
A consensus method in which participants compete to solve a computational puzzle to add the next block, making rewriting history expensive. Bitcoin uses it.
Why it matters
Security comes from the cost of the computation, which is why energy use is intrinsic to the design rather than incidental.
Related terms
- Proof of Stake
- Hash Rate
- Halving
Keep reading
Bridge
A system for moving value between blockchains, typically locking an asset on one chain…
Staking
Committing tokens to help secure a proof-of-stake network, earning newly issued tokens and fees…
Blockchain
A shared record of transactions maintained by many independent computers, where each block of…
Liquidity Pool
A pot of two or more tokens locked in a contract that traders swap…
Whale
A holder large enough that their transactions can move a market on their own.
Audit
A review of a smart contract's code by a specialist firm, looking for vulnerabilities…