/biz/ - Business & Finance

>>6796816
Right now bitcoin and most other cryptos are mined using "proof of work". In essence, the blockchain trusts that the block a miner generates is accurate because they put a lot of computational work into verifying it.

While this works, the system isn't without flaws. For one, it creates an enormous energy cost due to the thousands upon thousands of computers that are essentially wasting power to mine.

There are alternatives to this system being looked into, including proof of stake and proof of space, among others. They also come with their own advantages and disadvantages.