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Proof-of-Stake (PoS)

Proof-of-stake is a consensus mechanism in which validators secure the network by locking up (staking) cryptocurrency as collateral rather than expending energy through computation.

Ethereum transitioned from proof-of-work to proof-of-stake in September 2022. PoS is more energy-efficient than PoW but relies on economic incentives (staked collateral) rather than physical energy expenditure for security. Bitcoin uses proof-of-work, not proof-of-stake, and there are no credible proposals to change this.

Proof-of-stake is a consensus mechanism in which validators secure the network by locking up cryptocurrency as collateral rather than expending energy.

Frequently Asked Questions

What is Proof-of-Stake?

Proof-of-stake is a consensus mechanism in which validators secure the network by locking up (staking) cryptocurrency as collateral rather than expending energy through computation.

How does Proof-of-Stake work?

Ethereum transitioned from proof-of-work to proof-of-stake in September 2022. PoS is more energy-efficient than PoW but relies on economic incentives (staked collateral) rather than physical energy expenditure for security.

What are the security implications of Proof-of-Stake?

Bitcoin uses proof-of-work, not proof-of-stake, and there are no credible proposals to change this.

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