Proof of Stake (PoS)
Proof of Stake (PoS) is emerging as one of the most widely used blockchain consensus mechanisms in existence. PoS networks incentivize participants to stake native coins in a network of validator nodes. Unlike proof-of-work , on a PoS blockchain, all coins are created in the beginning, and never change. There is no mining. Instead, a new block will be added by a randomly picked (staking) node, which works much like a lottery: nodes (‘operators’ of the blockchain) can choose to invest a certain amount of coins (stake) into a deposit, to become a validating node. While these coins are in deposit, they are not spendable. Out of these validator nodes, a random node is picked that will create a block. The winning validator node provides the new block with a reference to the preceding block and is then broadcast, upon which all other validator nodes will attest (verify) the transactions inside and add the block to their copy of the blockchain. So, upon the close of a transaction block,