What is Staking (Proof of Stake)?. Staking secures proof‑of‑stake blockchains by locking coins to validate blocks. Honest validators earn rewards; misbehavior risks penalties.
How it works
Validators are chosen to propose and attest blocks. Software monitors uptime and performance; slashing punishes double‑signing or offline behavior on some chains.
Why it matters
Staking lowers energy use and can offer predictable yields while supporting network security.
Common pitfalls
- Delegating to unknown validators with poor uptime
- Confusing staking with lending or lock‑ups at custodians
- Not understanding unbonding periods and taxes
Quick example
You delegate tokens to a reputable validator and monitor rewards in your wallet’s staking dashboard.
See also
- Validator Node
- Slashing
- Yield
TL;DR: What is Staking (Proof of Stake)? defined in plain English with practical next steps.
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