Blockchain Fundamentals

Proof of Stake (PoS)

Also: PoS

A consensus method where validators lock up (stake) their own coins for the right to propose and confirm blocks. Honest behavior earns rewards and dishonest behavior can cost part of the stake. It uses far less energy than Proof of Work. Ethereum switched to it in 2022.

General education, not investment, legal or tax advice. Markets and regulation change quickly: where a definition depends on current law or on a recent event, check the latest coverage before relying on it.