Proof of stake

Similar to Proof-of-work, Proof-of-Stake is a consensus mechanism which underpins security of the blockchain by preventing doublespend.

In traditional Proof-of-Work based blockchains, miners maintain the integrity of the blockchain data by racing to solve computation-intensive, Proof-of-work mathematical puzzles in exchange for rewards. In this regard, they help validate transactions with their CPU power, and the more CPU power you have the proportionately larger your ability to influence the network is. In Proof-of-Stake, stakeholders vote with their “dollars” instead of computing power.