What is PoC (Proof of Capacity) ?
Proof of Capacity (#PoC) is a consensus mechanism used in some blockchain networks to $validate transactions and create new blocks. Unlike other consensus mechanisms such as Proof of Work (#PoW) or Proof of Stake (#PoS),#PoC requires users to allocate a specific amount of #disk space to participate in the #mining process.
In #PoC, #miners create plots, which are essentially pre-computed data sets that contain a specific number of cryptographic hashes. These plots are stored on the miner's hard drive and are used to prove that the miner has the necessary resources to validate transactions and create new blocks. When a new #block is to be created, miners use their plots to find the solution to a #mathematical problem, and the miner who finds the solution first gets to create the next block and receive a #reward in the form of #cryptocurrency. Example of a coin uses #PoC is #BURST Coin
#PoC is considered to be more energy-efficient than #PoW, as it doesn't require miners to perform intensive #computations that consume a lot of electricity. It is also more resistant to centralization than #PoS, as it doesn't give an advantage to those who hold a large amount of #cryptocurrency, and instead rewards those who have invested in storage #capacity.
Limitations
—> PoC is still not under mass usage like proof of work.
—> The drives use for storing data of hashes have a lot of free space. Which makes it hard to detect any malicious computation storage by network intruders.
—> Massive adoption of this approach might lead to competition among high-capacity hard drive sellers.
Proof of Capacity (#PoC) is a consensus mechanism used in some blockchain networks to $validate transactions and create new blocks. Unlike other consensus mechanisms such as Proof of Work (#PoW) or Proof of Stake (#PoS),#PoC requires users to allocate a specific amount of #disk space to participate in the #mining process.
In #PoC, #miners create plots, which are essentially pre-computed data sets that contain a specific number of cryptographic hashes. These plots are stored on the miner's hard drive and are used to prove that the miner has the necessary resources to validate transactions and create new blocks. When a new #block is to be created, miners use their plots to find the solution to a #mathematical problem, and the miner who finds the solution first gets to create the next block and receive a #reward in the form of #cryptocurrency. Example of a coin uses #PoC is #BURST Coin
#PoC is considered to be more energy-efficient than #PoW, as it doesn't require miners to perform intensive #computations that consume a lot of electricity. It is also more resistant to centralization than #PoS, as it doesn't give an advantage to those who hold a large amount of #cryptocurrency, and instead rewards those who have invested in storage #capacity.
Limitations
—> PoC is still not under mass usage like proof of work.
—> The drives use for storing data of hashes have a lot of free space. Which makes it hard to detect any malicious computation storage by network intruders.
—> Massive adoption of this approach might lead to competition among high-capacity hard drive sellers.