Proof of Work is a blockchain consensus mechanism where miners use computing power to secure the network and compete to add new blocks.
How It Works
Miners repeatedly perform calculations until one finds a valid solution to the network’s puzzle. The winning miner adds the next block and earns rewards.
Bitcoin uses proof of work. Its difficulty adjustment keeps block production close to the target pace even as mining power changes.
Why It Matters In Crypto
Proof of Work matters because it ties network security to real-world energy and hardware costs. Attacking a large proof-of-work network would require enormous resources.
A practical example: Bitcoin miners spend electricity and computing power to secure transactions, making it extremely difficult to rewrite past blocks.