PoW or PoS?


When Bitcoin
was designed and launched by Satoshi Nakamoto, he designed a system called Proof of Work (PoW). According to this system, miners would provide the solution of the mathematical equations necessary for the mapping of the blockchains and would be rewarded with a certain amount of bitcoin for each equation they solved. However, for the solution of these mathematical equations, a lot of experimentation and special devices were needed to provide it, and these devices have a serious electricity consumption. This cost is the biggest expense item for miners in the PoW system. So much so that the electricity consumption of bitcoin miners is equivalent to the electricity consumption of all Ireland. However, the value of the prize won and the fact that it increases its value makes this system attractive.

As time progresses, as every technology advances and changes, new technologies and new systems emerge in this area. In this context, the Proof of Stake (PoS) system emerged. According to this system, the entire amount of crypto money to be produced is initially produced. Anyone who has the cryptocurrency in their wallet is a validator in the blockchain system. Verifiers also get your share of the transfer verification system. Even if you do not have a computer for this, you can have the opportunity to produce your own crypto money in the PoS system with Raspberry Pi devices. You can liken the PoS system to a kind of term deposit account. Because the more cryptocurrencies you have in your wallet, the more share you will get from the transfer verification process.

Ethereum, the crypto currency that recently came after bitcoin in the crypto money market, has switched from the PoW system to the PoS system. With this transition, it enables more people to be included in the system and uses it as a method to move away from centralization. In addition, this way is avoided from the expense of high electricity consumption spent on mining. However, of course, it may not be possible to provide the high profits earned by mining in the PoW system here.

As a result, every innovation that finds its place in the world of technology can bring some advantages as well as some disadvantages over time. These differences in the world of crypto money can also be considered as a variety.

Solana Staking ETF, a First in the US, Now Available for Trading - Ripple Applies for US Banking License
Solana Staking ETF, First in the US, Opens for Trading The REX-Osprey Solana + Staking ETF (SSK), developed in collaboration with REX Shares and Osprey Funds, has become the first crypto staking ETF to start trading in the US. The fund, which started trading at $ 25.47 on the Cboe exchange, offers investors both exposure to the Solana (SOL) price and the opportunity to earn staking returns on the Solana...
Grayscale’s Mixed Crypto ETF Gets SEC Approval – SEC Plans to Speed Up Crypto ETF Process
SEC Approval for Grayscale’s Mixed Crypto ETF The U.S. Securities and Exchange Commission (SEC) has “expedited” approval for Grayscale’s Digital Large Cap Fund, which is comprised of 80% Bitcoin, 11% Ethereum, and the rest altcoins like Solana, Cardano, and XRP, to convert into a spot ETF. The fund, which currently trades over-the-counter (OTC), will now be available for exchange-trading. The move...
First Solana ETF with Stake Rewards Coming to the US - Robinhood Expands Crypto Move with ETH-SOL Staking and Tokenized Shares
First Solana ETF with Staking Rewards Coming to the US Rex Shares and Osprey Funds are preparing to launch the first US ETF that offers direct exposure to Solana and staking rewards. The fund, announced as the “Rex-Osprey Solana + Staking ETF,” will hold SOL assets through a subsidiary in the Cayman Islands and aim to generate returns by staking at least 50% of those assets. Unlike traditional spot...
What is the Travel Rule?
With the introduction of crypto assets into our lives, many habits in the financial system are changing. However, these new technologies also bring some risks. Anonymous transactions, uncontrolled money transfers, and regulatory gaps. This is exactly where the “Travel Rule” comes into play. Developed to increase transparency in financial transactions and prevent illegal activities, this rule is starting...
Weekly Crypto Market Reports: June 23, 2025
In the crypto market report covering the week of June 23-30 prepared by the ICRYPEX Research team, we have compiled current developments regarding crypto assets, price movements of crypto assets, and macroeconomics. You can take a look at the general flow of this report immediately below and reach all the developments that took place in the 7-day period from Weekly Crypto Market Reports: June 23-30,...


Create an account

Now create an account where you can use your knowledge.