Proof-of-Stake (POS)

Proof of Stake (PoS) is one of the most widely used blockchain consensus mechanisms. In PoS networks, users can stake the network's native coin (main cryptocurrency) to become a validator node. These validator nodes validate transactions within the network, similar to miners in a Proof-of-Work network. As a reward, the validator nodes receive the network's native coin. While still a recent innovation, PoS networks are already proving they can be faster and more scalable than Proof-of-Work (PoW) blockchains like bitcoin. In addition, PoS networks are also more energy efficient than PoW networks.

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Cryptopedia: Proof-of-Stake (POS)