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Basic Question 2 of 7

Miners compete to solve a computationally intensive mathematical puzzle, and the first miner to find a valid solution is rewarded with the right to add a new block to the blockchain. This is an example of ______ consensus protocols used in distributed systems.

A. Proof of Stake (PoS)
B. Proof of Authority (PoA)
C. Proof of Work (PoW)

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Learning Outcome Statements

describe financial applications of distributed ledger technology

CFA® 2025 Level I Curriculum, Volume 5, Module 7.