Glossary · P

Proof of work vs proof of stake: what's the difference?

Last reviewed:

Proof of work and proof of stake are two ways a blockchain agrees on new blocks. In proof of work, miners spend computing power and electricity to win the right to add a block, as Bitcoin does. In proof of stake, validators lock up coins as a security deposit and are chosen to add blocks, as Ethereum does. Each has trade-offs in energy and security.

Related terms

Join the Academy

Start here. Learn first. The sample lessons, topic pages and glossary are open to read, with no card and no signup.

Start with the open sample lessons