proof of stake
Crypto consensus mechanism
Proof of stake is a method for validating cryptocurrency transactions where participants lock up coins as collateral to earn the right to verify new blocks and receive rewards.
Unlike proof of work, which requires solving computational puzzles, proof of stake selects validators based on how much currency they hold and are willing to stake: Ethereum switched from proof of work to proof of stake to reduce energy consumption.
- validatorOne who confirms authenticity
- ledgerFinancial record book
- slashingCutting with force
- nodeConnection point in networks
- finalityState of conclusive completion
blockchain · cryptocurrency · Ethereum · coin · sharding · tokenomics · peer-to-peer · financial technology · smart contract · stablecoin · stakeholder · digital currency · economic security · virtual currency · crypto wallet · Casper · attestation · network security