What Is a 'Proof-of-Burn' Consensus Mechanism? ▴ Learn

What Is a ‘Proof-of-Burn’ Consensus Mechanism?

Proof-of-Burn (PoB) is a consensus mechanism where participants "burn" (destroy) tokens to gain the right to validate transactions and mine new blocks. By destroying tokens, validators signal a long-term commitment to the network, as the cost is sunk and non-recoverable.

This mechanism is a variation on Proof-of-Stake, where the 'stake' is the burned coin, not a locked one.

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