Know the Basic Principles of Bitcoin Mining: What is Proof of Work

Proof Of Work

What is Proof of Work – As previously stated, the bitcoin mining process is not something simple and easy to do. In addition to requiring a lot of equipment and costs, in fact mining also requires strict protocols, including Proof of Work (PoW).

For people who have been in the bitcoin mining world for a long time, the term proof of work is no stranger to their ears. However, for people who are still new to the world of bitcoin mining, they must be wondering, what is proof of work?

This article will explain to you a little about the brief concept of proof of work. Here’s the explanation for you.

What is Proof of Work?

In the world of bitcoin mining, proof of work can be regarded as a security protocol that functions to secure the blockchain system from attacks by cybercriminals. One of the most common attacks is distributed denial-of-service (DDoS).

The DDoS attack itself aims to drain the power of the computer system resources used for mining by sending several fake requests to the miner.

The concept of PoW itself has actually existed since before bitcoin was introduced to the public in 2008 ago. You could say, the concept of proof of work has existed since 1993 whose idea was sparked by Cynthia Dwork and Moni Naor.

However, the term PoW was actually introduced in 1999 by Markus Jakobsson and Ari Juels in a document they published. The consensus of trustless and distributed may make proof of work the basic concept used by Satoshi Nakamoto in creating bitcoin in 2008.

What is Trustless and Distributed Consensus on Proof of Work?

In PoW, we know the terms trustless and distributed consensus. This consensus is a basic concept in the world of digital currency that does not require a third party to verify every transaction.

In the conventional financial world that we have known for a long time, transaction actors must entrust their transaction processes to third parties. These third parties can be credit card companies, banks, and other financial institutions.

Meanwhile, in the world of digital currency, you don’t need to entrust the transaction process you do to a third party. This is because each transaction actor has a copy of his transaction in their ledger or ledger.

That way, everyone can ensure for themselves that their transaction can be successful without having to entrust it to a third party.

How Proof of Work Works?

In simple terms, PoW in the world of bitcoin mining is evidenced in the form of a long series of numbers with hash names. This hash is proof that a miner has carried out a mining process for bitcoin.

As stated in another article, bitcoin is a digital currency that operates in a large system called blockchain. It is in this blockchain system that all bitcoin transactions are recorded.

Each user or miner is required to solve puzzles in sequential blocks containing transactions between bitcoin users. The process will generate a hash that serves to check the match between the original data and the resulting data.

Thus, transactions that occur on the bitcoin blockchain can be more secure. That’s because a miner will not be able to generate a hash that is different from the one determined by the system in the bitcoin blockchain.

What is the Proof of Work Position in Mining?

Cryptocurrency mining process is a complex algorithmic process to generate new digital currency through the process of solving mathematical puzzles by miners.

Transactions made between bitcoin users will later enter the blockchain system. The various types of incoming transactions will later be combined into one block by the system.

After these transactions are entered into the same block, miners who have the ability to reach the block will carry out a verification process that all transactions in each block are legitimate transactions.

Then, to get rewarded for the mining process they do, the miners will be faced with a ‘mathematical puzzle’ of the blocks they have targeted.

The math puzzle is a programming language that miners have to solve or solve. This puzzle is called the proof of work problem.

If the miners succeed in solving the puzzle, they will get a proof of work in the form of a long string of numbers also called a hash. This proof of work will distinguish one miner from another.

Each miner will later have their own proof of work which will be used to match the generated data with the original data. Verified transactions will be stored in a public ledger in the blockchain system.


The concept of proof of work is actually not only used in the bitcoin blockchain system, but also other cryptocurrencies. Another cryptocurrency network that also uses the proof of work concept is ethereum.

Apart from ethereum, there are also other cryptocurrencies that use other PoW concepts. However, the proof of work system used in each cryptocurrency may vary, depending on the needs and use of the cryptocurrency.

In fact, the concept of PoW has developed further with the existence of a new concept called proof of stake. Of course, the concept will be discussed in other articles and occasions. Thank you and hope it is useful.


Muhammad Zaki Fajrul Haq
Author: Muhammad Zaki Fajrul Haq

Follow me at @mzfajrulhaq (Instagram) or @ZakiFajrul (Twitter).

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