ProofOfWork

The consensus a cryptocurrency uses determines how transactions are formed on the blockchain. If a cryptocurrency uses a Proof-of-Stake (PoS) consensus, transactions are confirmed by trusted validators on the network. However, for Proof-of-Work (PoW) blockchains, the crypto miner has to generate a target hash that is less than or equal to that of the block. Miners use devices that generate computations quickly to achieve this. Bitcoin (BTC), the blockchain industry pioneer, utilizes the PoW consensus. However, Ethereum…

The Bank of England (BoE) is considering experimenting with its central bank digital currency (CBDC), with a priority on keeping the national digital currency safe for holders. The central bank is now looking for industry players to submit design ideas of a ‘proof-of-work' digital wallet, that would safeguard CBDC holdings. The wallet is required to show that the CBDC could be loaded and unloaded on it, while also being able to facilitate daily payments via QR code or account IDs. It is also expected to offer support via…

If you are a crypto enthusiast, you must have heard of proof-of-work and proof-of-stake which are the two consensus mechanisms used to validate crypto transactions and indeed make new cryptocurrencies. All decentralized blockchain networks require validators to prove their existence on the network, and these two methods are the ways that a validator can prove their presence.The first consensus mechanism to ever be used by a blockchain was proof-of-work, and it was on the Bitcoin blockchain. However, two years later,…

Vitalik Buterin, the co-founder of Ethereum, has promised “The Merge” for edging on a decade. Even though it might happen soon, a good portion of the ETH community aren’t happy with the idea of a proof-of-stake system.Photo: Michael Ciaglo (Getty Images)There’s a diamond shaped hole in the earth that’s getting unknowingly deep, and we’re all staring into its depths with minds grown ragged with questions. “The Merge,” which promises a move from the old proof-of-work consensus model to the proof-of-stake, is coming on in a…

Ethereum plans to switch from a proof-of-work verification model to a proof-of-stake one on September 14, 2022. In short, this means a much lower energy cost for the open source blockchain.According to a report from Wired, Ethereum is confident that the switch, called the Merge, will increase the value of ether--the cryptocurrency that uses Ethereum as a base. Otherwise, the Merge matters because proof-of-work is notoriously energy-intensive. The process requires specialized computers to verify…