Proof-of-Work (PoW): Proof-of-Work (PoW) is a consensus algorithm used to verify transactions on a blockchain and generate blocks. In order for a new block to be added to the chain, participants in the network (known as miners) must solve a technical puzzle. The share of the network’s total computing power determines the likelihood of successfully ‘mining’ a block. The first person to solve the puzzle can thereby prove their work to the network, is permitted to append the new block to the blockchain, and receives a reward (mining reward) in return. The puzzle is designed in such a way that, once solved, it can be verified and confirmed by all other miners without requiring significant computational effort. To gain control of a blockchain operating under the PoW consensus mechanism, 51 per cent of the total computational power is required. The best-known cryptocurrency that uses PoW is Bitcoin. (Publication date: 17 May 2021)