Proof of Stake (PoS) is a consensus mechanism used to secure a blockchain network. Unlike Proof of Work, which relies on mining and energy-intensive computations, PoS allows participants to validate transactions and create new blocks based on the number of coins they hold and are willing to “stake” as collateral.In PoS, validators are chosen to create new blocks and confirm transactions based on the amount of cryptocurrency they own and stake. The more coins a participant stakes, the higher the chances they have of being selected as a validator. This method reduces energy consumption and increases transaction speed.Incentives are provided to validators for their work, often in the form of transaction fees or newly minted coins. However, if a validator acts maliciously or fails to validate properly, they can lose a portion of their staked coins, which helps maintain network security.Overall, Proof of Stake promotes a more environmentally friendly and efficient way to achieve consensus in blockchain networks.
Bank of Japan Weighs Additional Rate Hikes as Inflation Persists
The Bank of Japan will continue to raise interest rates if economic and price trends progress as expected, Deputy Governor