What is Proof of Work (PoW)?

PoW

Proof of work (PoW) is a method of consensus building among an unspecified number of participants (consensus algorithm).

In P2P, each IP address, each process, etc. has a say, but in Bitcoin, the say is given based on the amount of computation in the CPU.

In Bitcoin (BTC), the approval of transactions and the creation of new blocks is done by mining.

Mining requires a huge amount of computation, and the miner who finds the right number (Nance) as a result of this computation is given the right to mine.

By performing this huge amount of calculations, the right to mine is earned, and the mechanism for approving transactions and generating new blocks is called Proof of Work (PoW).

Proof of work (PoW) is highly secure

Proof-of-work (PoW) is resistant to fraudulent transactions.

A blockchain is a unified ledger of all transaction information from the past to the present.

If you try to establish a fraudulent transaction in a block, you will need to perform a huge amount of calculations to approve all subsequent transactions.

However, since there are more good miners than there are attackers who want to execute fraudulent transactions, it becomes very difficult to execute such fraudulent transactions.

Therefore, proof-of-work (PoW) plays a very large role in security.

Summary

PoW is an abbreviation for Proof of Work.

With Bitcoin, there is no control or monitoring by a central organization. Each computer on the network works together to calculate and approve transactions, creating a correct transaction ledger. This system is called P2P (peer-to-peer).

The question is what criteria should be used to give the miners participating in this work a say. Bitcoin uses Proof of work to give them a say based on the amount of computation on the CPU.

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