The term is used for cryptocurrencies that run on a Proof of StakeWhat is proof of stake in blockchain technology? The proof o... More blockchainA blockchain—the technology underlying bitcoin and other c... More. Contrary to Bitcoin’s Proof of WorkWhat is proof of work in blockchain technology? Proof of wor... More consensusConsensus is a mechanism, usually used by most nodes on the ... More mechanism, in which the nodes (participants) are required to solve a difficult mathematical problem requiring energy intense computer resources, being incentivized via the block rewardWhat is a Block Reward? A block reward is the reward a miner... More, with proof-of-stake, users validate transactions according to how many coins they contribute, or stake. In return for staking more coins, users have a higher likelihood of being chosen to validate transactions on the network and earn a reward. This reward can include an annual percentage yield, and the exact percentage depends on which blockchain is used.