Proof of Importance: What It Is and How It Powers Unique Crypto Networks

When you think of how blockchains decide who gets to validate transactions, you probably think of proof of work or proof of stake. But proof of importance, a consensus mechanism that rewards users based on their activity and contribution to the network, not just how much they hold. Also known as PoI, it’s the engine behind the NEM blockchain, a blockchain platform designed to reward active participants with delegated harvesting and transaction incentives.

Unlike proof of stake, where your voting power depends mostly on how many coins you own, proof of importance looks at three things: how many coins you hold, how often you transact, and how many other people you transact with. It’s not about hoarding—it’s about using. If you’re constantly sending and receiving payments on the network, and you’ve built a web of transactions with others, the system notices. That’s when you get a higher importance score, which gives you a better shot at harvesting (creating) new blocks and earning rewards. This idea flips the script: instead of rewarding the richest, it rewards the most engaged. It’s why NEM was one of the first to try this approach, and why it still stands out today.

Proof of importance also introduced delegated harvesting, a feature that lets you earn block rewards without keeping your wallet online 24/7. You can delegate your harvesting rights to a trusted node, which does the heavy lifting while your coins stay safely offline. That’s a big deal for security—no more leaving your wallet exposed to hackers just to earn rewards. It’s practical, smart, and solves a real problem most other networks ignore.

While proof of importance never became as widespread as proof of stake, it’s still a working example of how blockchains can incentivize real behavior, not just speculation. You’ll find it in discussions about fairer consensus models, alternative reward structures, and how to reduce centralization. The posts below dive into real cases where PoI was used, what went right, what went wrong, and how it compares to other systems like delegated proof of stake or proof of authority. Whether you’re curious about NEM’s history, how harvesting works, or why some networks avoid traditional staking—this collection has the answers.