Glossary > Proof-of-stake (PoS)

Proof-of-stake (PoS)

What is Proof-of-Stake (PoS)?

The proof-of-stake consensus is one way to validate transactions and to add them to the blockchain. With a proof-of-stake consensus, a person will be able to mine a certain amount of blocks according to the coins he/she owns. More simply put, the more coins the person holds, the more blocks he/she can mine.

proof-of-stake consensus
The proof-of-stake consensus is one way to validate transactions and to add them to the blockchain.

This kind of consensus is an alternative to the proof-of-work consensus, used in the Bitcoin blockchain for example. It solves the problem of energy consumption inherent to the proof-of-work consensus. The PoS consensus also prevents 51% attacks. Indeed, it is not advantageous for a miner holding 51% of the coins to attack the network.

In addition, the upgraded version of Ethereum also employs a faster and less resource intensive consensus mechanism called proof of stake. Cryptocurrencies including Cardano, Tezos, and Atmos all use proof-of-stake consensus mechanisms — with the goal being to maximize speed and efficiency while lowering fees.

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