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Proof of Work (PoW)

A blockchain consensus system where miners solve puzzles to validate transactions and secure the network.

Proof of Work (PoW) is the original blockchain consensus model —
used by Bitcoin and a few others —
to verify transactions and keep the network secure.

Miners compete using computers to solve complex puzzles.
The first one to solve it adds a new block to the chain
and earns a block reward (newly minted coins).

Why it matters

  • It makes attacks extremely expensive and difficult
  • Keeps the blockchain decentralized and secure
  • Proves that miners invested real energy and resources

Although PoW uses more electricity,
it’s proven to be one of the most battle-tested systems in crypto.


💡 Lanzo Tip

If you mine crypto, watch your electricity costs and rewards.
Use official mining software and never share your private keys ⚡️