What Is Proof-of-Stake (PoS)?

Instead of computing power, validators stake coins to earn the right to add blocks. Greener and scalable — used by Ethereum and most newer chains.

How PoS Works

In proof-of-stake, validators lock (stake) coins as a deposit. The network randomly selects validators by stake to produce blocks; misbehavior or downtime can slash part of their stake. This secures the chain without burning massive electricity.

PoW vs PoS

PoW (e.g., Bitcoin) buys security with computing power — energy-heavy but extremely robust. PoS (e.g., Ethereum) buys security with capital — greener and scalable, but more dependent on token distribution. Neither is strictly better; they are different trade-offs.