Proof of Utility (PoU)

If you're not deep into the blockchain world, terms like Proof-of-Work, Proof-of-Stake, or Proof-of-Utility might sound a bit confusing.

But the only thing you need to know is what Proof-of-Utility (PoU) is about and why itโ€™s different: Rather than burning energy to solve meaningless puzzles (like Proof-of-Work), or earning passive rewards just for locking up tokens (like Proof-of-Stake), Proof-of-Utility (PoU) rewards and incentives real, useful work.

This incentive structure links token emissions to verifiable tasks: images labeled, beams welded, hectares scanned. Contributors earn only when useful work is finished, taking full advantage of the automatically trackable value that robotics applications offer.

On Modulr, that means running compute tasks, storing data, or handling secure access. When someone completes a task, it gets verified and added to the next block, real utility becomes part of the chain. Thatโ€™s how blocks are mined, and thatโ€™s how contributors earn $MDR.

Itโ€™s a model built to reward those who contribute real value.

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