Crypto

Proof of work

in Proof of work (PoW), also called Proof of Work in Moliere’s language, describes a system that requires computing power from a requesting service to access and use in order to prevent malicious use or attacks. This method was first theorized with the aim of creating a system capable of preventing Spam and attacks from denied service in the system, which makes it extremely stable To a threat municipalities represented in Internet… In 2004, Hal Finney adapted it for use in a fully digital currency system.

How does Proof of Work work?

The main characteristic of this system is the asymmetry of computational costs: the requester must provide significant computational power, while the work performed is easily verified by the recipient or a third party. In the context cryptocurrency, then Proof of work is used to verify transactions and the production of new tokens, key tasks that require a high level of security and give the cryptocurrency its value, in whole or in part. Bitcoin was the first network to widely use Proof of work… Today, most calculations are done through hash functions like SHA-256, which generates character strings of 256 bits, and besides hashrate, the number of lines generated in a given time, which determines the computational power processors and video cards in mining framework

Critics and Limitations of Proof of Work

On a large scale Proof of work requires huge computing power, but guaranteeshonesty transactions without the need for a trusted third party, a bank, in the current economic system as the system becomes that third party. Due to the huge need for energy, then Proof of work increasingly criticized for its environmental impact and several cryptocurrency how Ethereum give it up in favor Proof of stakeand others like Chia prefer him Space-time proof which use storage space rather than processing power.

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