What is Proof of Capacity (PoC)?

Proof of Capacity (PoC) is a new way to secure blockchains. It’s much more energy-efficient than the old Proof of Work (PoW) method. It also avoids the centralization issues of Proof of Stake (PoS).

PoC systems use up to 30 times less energy than Bitcoin’s ASIC mining. This method lets mining devices use their hard drive space to mine and validate transactions. This is a big change from the huge energy needs of PoW or the need to hold lots of cryptocurrency in PoS.

Key Takeaways

  • Proof of Capacity (PoC) is a consensus mechanism that uses hard drive space to mine cryptocurrencies, offering an energy-efficient alternative to traditional mining methods.
  • PoC-based blockchains, such as Signum, Chia, and SpaceMint, aim to address the high energy consumption and centralization issues of Proof of Work and Proof of Stake, respectively.
  • The PoC protocol involves a two-step process of plotting and mining, allowing miners to pre-compute and store solutions to mining problems.
  • PoC mining is more accessible, cost-effective, and decentralized, as it utilizes standard hard drives rather than specialized hardware.
  • While PoC presents advantages, it also faces challenges, including potential malware threats, limited developer adoption, and the possibility of an “arms race” for larger hard drives.

Understanding Proof of Capacity (PoC)

Proof of Capacity (PoC) is a special way to keep a blockchain network safe. It uses the free space on a device to validate and secure the network. This is different from the energy-using Proof of Work (PoW) or the wealth-based Proof of Stake (PoS). PoC trades time for space, asking users to show they can store and get back specific data.

Key Takeaways

  • PoC authentication systems use extra space on a device’s hard drive to store solutions to a cryptocurrency hashing problem.
  • The main benefit of a PoC system is its efficiency compared to PoW and PoS systems.
  • Blockchains that run on proof of capacity include Signum, Chia, and SpaceMint.

PoC lets mining devices use their free hard drive space to mine cryptocurrencies. Unlike PoW, which changes numbers in a block header and hashes repeatedly, PoC stores possible solutions on the hard drive before mining starts. The bigger the hard drive, the more solutions it can store, increasing a miner’s chances to win a reward.

PoC features

This method cuts down on energy use compared to PoW and makes mining rewards more fair than PoS, which can lead to wealth concentration. PoC focuses on storage capacity, not just power or wealth. This makes mining more open and spread out.

“Proof of Capacity (PoC) is highlighted as having the same energy-saving benefits as PoS, but is slightly more energy-consuming due to miners using multiple HDDs; however, this trade-off contributes to greater decentralization and stability.”

In summary, Proof of Capacity (PoC) is a new way to keep a blockchain network safe. It uses the free disk space of network participants to validate and secure the network. This makes it a more efficient and open alternative to traditional mining methods.

How Proof of Capacity (PoC) Works

The proof-of-capacity (PoC) mining process has two main steps: plotting and mining. It uses unused space on miners’ hard drives to reach consensus. This makes it more energy-efficient than the complex Proof of Work (PoW) algorithm.


The plotting phase starts with making a list of all possible nonce values. This is done by repeating data hashing, including the miner’s details. Each nonce has 8192 hashes, which are then paired into “scoops” of two.

This step pre-computes and stores the results. It gets the miner’s hard drive ready for mining.


In mining, a miner picks a scoop number and finds the matching scoop data on their hard drive. They use this data to figure out a deadline value. This deadline affects their chance of making the next block.

The miner checks all nonces on the hard drive. They pick the nonce with the shortest deadline. If no other miner beats this deadline, they can make the next block and get the reward.

The proof of capacity mining process uses lots of unused storage on devices. This makes it easier and less energy-hungry than Proof of Work. The plotting and mining in PoC work together to create a more open and green blockchain world.

Proof of Capacity Mining Process

“Proof of Capacity (PoC) offers a unique solution that emphasizes resource utilization over energy-intensive computations, aligning with the growing demand for eco-friendly blockchain technologies.”

Advantages and Disadvantages of Proof of Capacity (PoC)

Proof of Capacity (PoC) is a new way to mine cryptocurrencies that uses hard drive space instead of lots of energy. It’s better than old methods like proof-of-work (PoW) and proof-of-stake (PoS) in many ways. But, it also has its downsides.


One big plus of PoC is it’s kind to the environment. It doesn’t need as much energy as PoW, which uses a lot of power. This makes mining more eco-friendly and lets more people join in.

Another good thing is it makes mining more open to everyone. You don’t need expensive special miners to start mining. This means even small-scale miners can earn rewards, making the network more spread out.


Despite its benefits, PoC has its own problems. A big issue is you need a lot of free space on your hard drive to mine. This can stop smaller miners from joining, which might make the network less fair.

Also, PoC is still new, and we’re not sure about its safety long-term. Some worry about attacks where miners use old storage space, which could be hard to fix.

Advantages of Proof of Capacity (PoC)Disadvantages of Proof of Capacity (PoC)
  • Energy-efficient mining process
  • Accessible to smaller-scale miners with spare hard drive space
  • Promotes decentralization and inclusivity
  • Requires significant storage space to remain competitive
  • Relatively newer consensus mechanism with potential security concerns
  • Possibility of reuse attacks that can be time-consuming to address

PoC has its good and bad sides. It’s all about balancing energy use, making it easy for everyone to join, and keeping the network safe. As crypto keeps changing, we’ll keep talking about PoC’s role and its effects.

PoC vs PoW and PoS


Proof of Capacity (PoC) is a new way to secure blockchain networks. It uses hard drive space instead of power or coins, making it more energy-friendly. This makes it open to more people and places.

Even though PoC isn’t yet widely used, it’s getting more attention. Projects like Signum, Chia, and SpaceMint are looking into it. They see its potential.

As blockchain grows, PoC could be a key player. It tackles issues like scalability and energy use. This could make blockchain networks more sustainable and fair.

Looking ahead, PoC seems promising for blockchain’s future. It’s an innovative way to solve big problems. As more projects use it, PoC might play a big role in blockchain’s growth.

In summary, PoC is a fresh solution for blockchain’s challenges. It’s not the full answer, but it could make blockchain better and more accessible. We should keep an eye on PoC as it evolves.


What is Proof of Capacity (PoC)?

Proof of Capacity (PoC) is a way for blockchains to decide who gets to validate transactions. It uses the free space on mining devices. This is different from using just the device’s power (like in proof of work) or the miner’s cryptocurrency stake (like in proof of stake).

What are the key takeaways of Proof of Capacity (PoC)?

The main points about proof of capacity (PoC) are:– It uses spare hard drive space to solve a cryptocurrency problem.– It’s more efficient than proof-of-work and proof-of-stake systems.– Blockchains like Signum, Chia, and SpaceMint use this method.

How does Proof of Capacity (PoC) work?

The process of PoC has two steps: plotting and mining.1. Plotting: First, the hard drive is plotted by making a list of all possible nonce values. This is done by hashing data, including the miner’s account. Each nonce has 8192 hashes, which are grouped into “scoops” of two.2. Mining: In mining, a miner finds a scoop number and uses that scoop from their hard drive to get a deadline value. They do this for all nonces and pick the one with the shortest deadline. If no one else can make a block by that deadline, the miner gets to make the next block and earn a reward.

What are the advantages and disadvantages of Proof of Capacity (PoC)?

PoC has good and bad points compared to other systems:Advantages:– It uses less energy than proof of work and proof of stake– It lets more people participateDisadvantages:– It’s not as common as other systems– There could be problems with storing and managing data