Proof-of-Stake
A consensus mechanism where validators stake ETH to secure the Ethereum network and earn rewards.
What is Proof-of-Stake?
Proof-of-Stake (PoS) is Ethereum’s consensus mechanism, fully adopted after The Merge in 2022, replacing proof-of-work. In PoS, validators stake a minimum of 32 ETH to participate in securing the network by proposing and attesting to blocks. Validators are chosen pseudo-randomly based on their stake and other factors, earning rewards in ETH for their contributions. PoS is more energy-efficient than proof-of-work and supports Ethereum’s scalability by enabling faster transaction processing and finality, with penalties (slashing) for malicious or offline validators.
Related Terms
Solana Foundation
A non-profit organization based in Zug, Switzerland, focused on fostering the decentralization, adoption, and security of the Solana blockchain ecosystem through grants, validator delegations, and global events.
Commodity-pegged Stablecoin
A digital asset tied to the value of physical commodities like gold or silver.
Decentralization
Decentralization is the distribution of control, authority, and operations across a network of nodes in a blockchain, eliminating the need for a central authority.
Ethereum Lightweight Client
An Ethereum client that operates without storing the full blockchain or validating blocks and transactions, functioning primarily as a wallet for creating and broadcasting transactions.
Hyperliquid
A high-performance Layer-1 blockchain and decentralized exchange (DEX) optimized for perpetual futures trading of digital assets with on-chain order books.
Gas (Ethereum)
A unit measuring the computational effort required to execute transactions or smart contracts on Ethereum.