PROOF OF STAKE

Proof of stake(PoS) is a consensus mechanism based on financial deposit (i.e. stake) of the native token of a given blockchain to uphold the security and integrity of that chain. Staking a specific amount of token makes one a validator for a given chain, whose responsibility it is to propose and vote on new state transitions (i.e. blocks). Validators are rewarded with the native token of the chain upon the submission of successful blocks; however, if a validator is deemed a bad actor, they are punished by losing their deposited token.

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