Powerful Proof-of-Stake [PoS] 🙃

Earlier we learned about Blockchain and Cryptos but have you heard about Proof-of-Stake or PoS? Let's decode Proof-of-Stake 🚀

What is Proof-of-Stake ?

Proof-of-stake is a cryptocurrency consensus mechanism for processing transactions and creating new blocks in a blockchain. A consensus mechanism is a method for validating entries into a distributed database and keeping the database secure.

In the case of cryptocurrency, the database is called a blockchain—so the consensus mechanism secures the blockchain.

Proof-of-stake reduces the amount of computational work needed to verify blocks and transactions. Under proof-of-work, it kept blockchain secure. Proof-of-stake changes the way blocks are verified using the machines of coin owners, so there doesn't need to be as much computational work done.

Goals of Proof-of-Stake

Proof-of-stake is designed to reduce network congestion and environmental sustainability concerns surrounding the proof-of-work (PoW) protocol. Proof-of-work is a competitive approach to verifying transactions, which naturally encourages people to look for ways to gain an advantage, especially since monetary value is involved.

That's it for the day folks, Web3Shala Signing Off ✌🏻

Have a nice day :)Keep Learning 🙏🏻