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What is Proof of Stake (PoS)? A Beginner’s Guide

Proof of Stake (PoS) is a consensus mechanism used by blockchains like Ethereum, Cardano, and Solana to validate transactions and secure the network. Here’s how it works:  

How It Works:  
Instead of miners competing to solve complex puzzles (like in Proof of Work), validators are chosen to create new blocks based on the amount of crypto they ‘stake’ (lock up) as collateral.  
Validators earn rewards for proposing and validating blocks

Benefits:  
Energy Efficient: No need for massive computing power.  
Scalable: Handles more transactions per second.  
Accessible: Anyone can participate by staking, not just those with expensive hardware. 

Risks:  
Centralization: Large stakers may have more influence.  
Slashing: Validators can lose part of their stake for malicious behavior or downtime.  

Why It Matters: PoS is paving the way for a greener, faster, and more inclusive blockchain ecosystem.