Proof of Stake vs Proof of Work | PoS vs PoW Explained

Proof of Stake vs Proof of Work | PoS vs PoW Explained

Welcome to this cryptocurrency educational video posted by Simply Explained on YouTube. In this video you will learn about Proof of Stake vs Proof of Work.


Instead of computational power being used as is the case in POW by miners. In a POS system, the creator of the new blocks is determined at random, within the parameters of variables such as how much of that cryptocurrency a user is holding, and in some cases for how long they have held that cryptocurrency. POS uses far less energy then POW making it more cost effective and relieves pressure from the network to release new tokens as a reward.


POW or Proof of work is a way that blockchains remain protected from various types of attacks. POW usually requires computing power by the service requester to solve an intensive puzzle of sorts. POW makes it much less feasible and ideally not worth it to attack or spam a blockchain and to use it as it is intended.

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