Proof of Work (PoW)
By | Updated on Mar 03, 2020
An algorithm that rewards the first person that solves a computational problem (i.e. mining) to achieve distributed consensus. Miners compete to solve difficult cryptographic puzzles in order to add the next block on the blockchain. It prevents spam and cyber attacks such as DDoS as it requires work (i.e. processing time) from the service requester.
Related Terms
Mnemonic Phrase
A mnemonic phrase (also known as mnemonic seed, or seed phrase) is a list of words used in sequence to access or restore your cryptocurrency assets.
Margin Trading
It is a way of investing by borrowing money from a broker (or in crypto, an exchange or platform) to trade
Crypto Bubble
It is a speculation in the cryptocurrencies and the price of cryptocurrencies would go extremely high before the bubble bursts.
Block Height
A number that is used to indicated the position of a particular block within a blockchain
Interested to stay up-to-date with cryptocurrencies?
Get the latest crypto news, updates, and reports by subscribing to our free newsletter.
Or check it out in the app stores
Arbitrum
Avalanche
Fantom
Flare
Gnosis
Linea
Optimism
Polygon
Polygon zkEVM
Scroll
Stellar
Story
Syscoin
Telos
X Layer
Xai
