Proof of Work

Proof of Work (PoW) is a consensus mechanism used in blockchain networks to validate transactions and secure the network. It requires participants, known as miners, to solve complex mathematical puzzles through computational power. The first miner to solve the puzzle gets the right to add a new block of transactions to the blockchain and is rewarded with cryptocurrency, often referred to as a mining reward. This method is designed to prevent spam and attacks on the network by making it resource-intensive to produce new blocks. PoW ensures that participants have a stake in the network’s integrity, as performing the required work consumes significant time and computational resources. This mechanism is foundational to cryptocurrencies like Bitcoin, promoting decentralization and security by making it difficult for any single entity to control the network.