Post
Topic
Board Bitcoin Discussion
Re: What is the fundamental difference between Proof of Work (PoW) and (PoS) ?
by
kelechi
on 31/03/2024, 13:19:24 UTC
Proof of Work (PoW): It's like a race where miners compete to solve puzzles. The first one to solve it gets to add a block of transactions to the blockchain and gets rewarded. But it's like an energy-intensive race because solving these puzzles requires a lot of computing power.

Proof of Stake (PoS): Instead of a race, it's more like a lottery where the chances of winning depend on how much cryptocurrency you're willing to put at stake, or lock up as collateral. The more you have, the better your chances of being chosen to add a block to the blockchain. It's less about brute computational power and more about proving you have a stake in the network. Plus, it's less energy-intensive compared to PoW.