Proof of Capacity (PoC)
PoC consensus algorithm, ensuring maximum fairness and trivial energy consumption.
Proof of capacity (PoC) is a consensus mechanism algorithm used in the Burst blockchain, that allows the mining devices in the network to use their available hard drive space to decide the mining right.
In a Proof-of-Work system, the network of transactions is secured by performing an insane amount of computations every second in order to validate each block. This is why you have to use hardware like powerful CPUs, GPUs or ASICs to mine.
This leads to downsides like high electricity consumption, heat and noise, the need for specialized non-reusable hardware and centralization of the mining process by big corporations.
Burst mining style solves all these problems (including ASIC-resistance) by allowing HDD mining – miners secure the network with their disk space. It can be seen as a “condensed Proof-of-Work”: you compute once (a process called plotting) and cache the results of your work on hard disk space. Then mining only requires to read through your cache – your HDD is idle most of the time and reads through the plot files only for a few seconds for each block.
NO MORE ENERGY WASTE
Because of the power hungry ASIC mining hardware, the Bitcoin network alone consumes as much energy as Switzerland.(Source)
It does not have to be that way!
With Burst and its Proof-of-Capacity algorithm, miners use free space on their hard drives to secure the network, and it barely uses more energy than just leaving the computer on.
Why Proof of Capacity is the future
Greener than Proof-of-Work
The Burst mining system relies on the existing free space on your hard drive, instead of energy hungry CPUs and GPUs.
Because of this, it is naturally very low on power usage. The difference between mining and normal/idle computer operation is so negligible you will not notice a difference on your power bill.
Fairer than Proof-of-Stake
A PoS system enforces centralization of coins (the richest are better remunerated) and is inherently haunted by monetary concerns (51% attacks are fatal). On the other hand, Proof-of-Capacity makes no compromise: anyone can mine with the same chances since hard disks are easily available at low cost.
Most people already own all the hardware necessary to mine Burst – hard drives are much more accessible than expensive GPUs, ASICs and complex cooling systems. Burst is more decentralized by design, because the barriers to entry are so low it allows anyone to mine effortlessly.