What Is Proof Of Work Mining In Cryptocurrencies?

What Is Proof Of Work Mining In Cryptocurrencies?

Proof of Work is a system in cryptocurrency mining that is very hard to compute but is easy to verify. This does not give a lot of scope for exploitation in the cryptocurrency mining system. Bitcoin, which is the most popular of the cryptocurrencies traded today uses the Proof of Work method.

What is the working procedure of the Proof of Work method?

The hash function of the Proof of Work system is when the algorithm is used in order to find out a solution to the puzzle. The process is simple to get an output once the input is fed into it. It is however not possible to do the reverse of it. This can be done only by inputting data randomly and getting the result by chance.

The people who mine the coins, learn more about it, and then add the transaction blocks to the public ledger try to crack the Proof of Work system. They need to use high end and powerful computers for the same to the solve the mathematical algorithm.

Why is the mining method known to be difficult?

The method is very difficult and has been designed so as to prevent any nastiness in the system. It could happen that amine adds some fake blocks to the Bitcoin. TheProof of Work method helps to protect the entire system from such fake spammers and it also does not let a single person have the complete control over which block gets added to the next ledge. Each coin that gets created is done after a lot of hard work and it is thus not easy to mine a coin.

Alternative to proof of work

The major drawback of this method is that there is a lot of computing power needed in order to crack the algorithm. This does not help in any way apart from protecting the system from fraud miners and you keep the system running without any cheating. This makes the method a waste of time and energy.

This made many wonders if the method is the ideal solution for a cryptocurrency. This led to another alternative known as the Proof of Stake.

Conclusion

Proof of Work helps to validate the work that happens in the system and also proves that it is correct. This method is followed by many cryptocurrencies because the community believes that the method is authentic and keeps the system clean.

The system has its pros because one just does not give the solution but the complete proof of how he arrived at the solution.

 

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