Web3 Academy — Learn Blockchain, Solidity & DeFi

Proof of Stake selects validators based on the amount of cryptocurrency they've 'staked' (locked up) as collateral. Validators are chosen to propose blocks proportionally to their stake. If they behave honestly, they earn rewards; if they act maliciously, their stake is 'slashed' (partially or fully destroyed). Ethereum transitioned from PoW to PoS in September 2022 ('The Merge'), reducing energy consumption by ~99.95%. Other PoS variants include Delegated PoS (DPoS), where token holders vote for a small set of validators.

💡 Key Takeaway

This lesson covers the fundamental concepts. Make sure you understand these before moving to the next chapter.

Proof of Stake (PoS)