Proof-of-Work

A proof-of-workProof-of-Stake An alternative to the proof-of-work system, in which existing stake in a cryptocurrency is used to calculate the amount of that currency one allowed to mine. A proof of stake system requires the prover to show ownership of a certain amount of money rather than requiring a user to perform computational work,... is a system that ties mining capability to computational power. Blocks must be hashed, which is in itself an easy computational process. When a block is successfully hashed, the hashing must have taken some time and computational effort. Thus, a hashed block is considered proof of work.