Using a trusted execution environment for a proof-of-work key wrapping scheme that restricts execution based on device capabilities

The technology disclosed herein provides a proof-of-work key wrapping system for verifying device capabilities. An example method may include: accessing a wrapped key and a cryptographic attribute for the wrapped key from an encrypted memory region, wherein the wrapped key encodes a cryptographic key; deriving, by a processing device, the cryptographic key in view of the wrapped key and the cryptographic attribute, wherein the deriving consumes computing resources for a duration of time; using the cryptographic key to access program data; and executing, by the processing device, the program data, wherein the executed program data evaluates a condition related to the duration of time.