What is Proof of Capacity – All you need to know

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Last Updated on September 29, 2021 by Eddu Oz

Introduction to Proof of Capacity

Did you know it is possible to mine using your hard disk or computer space? Yes! Proof of Capacity makes this possible.

Proof of Capacity is a consensus mechanism that allows users to decide mining rights and validate transactions into the blockchain with their computer’s available hard drive disk space.

Proof of Capacity (PoC) is a new method of mining utilized by a cryptocurrency known as Burstcoin. It is otherwise known as Proof of Storage or Space.

The purpose of the space created is to show interest (proof) in finances offered by a network.

Hence, the space or proof in the blockchain technology serves as a consensus technique for information stored by the miners.

Key Takeaways

📌 Proof of Capacity is a consensus mechanism that allows space on a computer/hard drive to save answers to hashing difficulties in cryptocurrency.

📌 Other blockchains that function on proof of Capacity besides Burstcoin are Chia, Spacemont, Storj.


📌 The primary advantage of Proof of Capacity is its accuracy. When compared to Proof of Work (PoW) and Proof of Stake (PoS). The PoC is more efficient.

In Proof of Capacity, miners are permitted to make calculations in advance for Proof of Work/Hash functions then stored.

Proof-of-Capacity flow.
Source: researchgate.net

The older technique of blockchain consensus known as Proof of Work was used by miners to provide answers to brain-racking maths hashing functions with powerful mining hardware.

PoW method of mining consumes a great deal of energy and does not give total access to decentralization.  Due to the flows in mining through proof of work, an upgrade was required for blockchain consensus.

Further research efforts lead to the development of Proof of Capacity. With this advancement, computer or hard disk storage is allocated before mining begins, thereby speeding things up.

Creating a new block can nowbe achieved in four minutes with the Proof of Capacity unlike ten minutes for mining Bitcoin through Proof of Work.

An interesting fact about Proof of Capacity is not only its rethinking ability regarding how mining was carried out in previous years but it is a solution that is beneficial to the environment. This greenhouse effect is because of the storage nature and low cost of energy needed by storage.

In addition, it allows itself to be lent to panacea: a famous cryptocurrency whose environment is decentralized.

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Miners utilize the computer storage space than the famous, costly, high-energy technique-proof of work which included permanent computerized operations.

Mining with Burstcoin provides a solution to this challenge in addition to being resistant to ASIC by permitting HDD(hard disk drive) mining. The network is made secure in the HDD space.

How Proof of Capacity Works

Proof of Capacity involves executing the following operations.

1. Plotting – Proof of Capacity is generated by hard drives via Plotting. It means creating a plot file, days to weeks are used based on the capacity of the hard disk.

A Shabal hash is mainly for plotting. The Shabal is a slow yet large cryptocurrency which makes it perfect for cryptocurrencies using Proof of Capacity.

Its idealness is because the hash inputted into the computer is saved whilst new hashes undergo processing. This is the only stage that consumes energy.

2. Mining-  This is where mining occurs. The miner calculates the scoop number.

For example, a miner commences mining and a scoop number, 28 is generated, the miner goes to scoop number 28 of nonce 1 and utilizes the scoop’s data to evaluate a deadline significance.

A deadline is a period taken in seconds that elapsed since the previous block was formed to allow a miner to create another block.


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In situations when a block is not forged by anybody in the time range, the miner can create a block and get the reward.

Hashing is a one-way function implying that it is simple to enter information and compute the hash, but very hard to take the hash and decide the basic information.

Normally, the inputted data can subsist any information while the output is a combination of letters and numbers.

SEE ALSO: How Does Proof-of-Stake Improve Proof-of-Work

Merits of Proof of Capacity

1. It is unrestricted and can be used by any proper hard drive hence, making it unique.

2. It speeds the rate of the mining as more energy, over thirty times is saved.

3. It is more decentralized

4. You don’t have to upgrade or get a new hard drive.

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5. It is possible to clear the hard drive and reuse it after mining is done.

Demerits of Proof of Capacity

1. This development is yet to be accepted by a large number of innovators

2. It has a lot of free space that is not usable and it is hard to detect if that space is used illegally by hackers

3. It is subject to malware and hacking.

Proof of Capacity is susceptible to being centralized because of user participation in outsourcing the file repository to an exterior provider.

To overcome this challenge, sequential access for blocks is required in PermaCoin in no particular order.

Frequently Asked Questions

1. How does one prove capacity?

Proving capacity is carried out by the plotting and mining components. Plotting the hard drive comes first, hashing takes place and nonce values are generated

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2. What is Proof of Capacity Chain?

The blockchain is a technique that offers the accurate distribution of identities, storage, and transacting systems which virtual and smart contracts in diverse operations.

3. What is Burstcoin mining?

Burstcoin is a cryptocurrency that was created to solve energy challenges with less expensive mining methods. Burstcoi’s mining involves using the Proof of Capacity consensus instead of Proof of Work.

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Final Thoughts

Proof of Capacity is a fascinating outcome to the challenges that have emerged with a consensus algorithm regarding Proof of Work.

It is capable of increasingthe decentralization of mining energy and little energy usage. The greenhouse effect makes it beneficial to the morning sector and its users as well.

The pros are not sufficient to stop you from earning. Put the Proof of Capacity to the test by a trial now!

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