Proof of Stake
a.k.a. PoS
A way for a blockchain to agree on new blocks where validators lock up coins as a deposit instead of…
In plain English
A way for a blockchain to agree on new blocks where validators lock up coins as a deposit instead of burning electricity.
Proof of stake (PoS) secures a blockchain with money on the line rather than raw computing power. Validators lock up (stake) coins as collateral. The network picks them to propose and confirm blocks, and pays them rewards. Cheat, and part of the stake can be destroyed ("slashed").
It uses a tiny fraction of the energy of proof of work. Ethereum switched to it in 2022. Critics argue it can favour those who already hold the most coins.
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