Proof of stake
Proof of stake secures a blockchain by having validators lock up coins as collateral. Misbehaving validators lose part of their stake.
Why it matters
It uses far less energy than mining and lets holders earn rewards by staking.
Compare DeFi yieldsRelated terms
StakingStaking is locking coins to help secure a proof-of-stake network in return for rewards.…ValidatorA validator is a computer that checks transactions and proposes blocks in a proof-of-stake…Ethereum (ETH)Ethereum is a blockchain that runs programs called smart contracts. ETH is its native coin…
Written by the VaultX AI team. Educational only, not investment advice.
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