What is PoS (Proof of Stake)?

Q: What does PoS (Proof of Stake) mean?

PoS (Proof of Stake) in the context of cryptocurrency and blockchain: The ability to mine cryptocurrency by simply holding coins in a wallet that is connected to the network. The more coins in the wallet, the more mining power.

Crypto Glossary Definition

The ability to mine cryptocurrency by simply holding coins in a wallet that is connected to the network. The more coins in the wallet, the more mining power.

Why PoS (Proof of Stake) Matters

Proof of Stake replaces mining with staking: validators lock up coins as collateral, and can lose that stake ("slashing") if they act dishonestly. It uses a small fraction of the electricity Proof of Work requires, which is why Ethereum switched to it in 2022.

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