Staking
Definition: Staking in involves locking up a certain amount of currency as collateral to participate in a network's consensus process as a validator. Stakers are usually rewarded for proposing new blocks, attesting to existing blocks, and helping maintain the security and integrity of the blockchain. It's a fundamental component of Proof of Stake (PoS) mechanism.
Category: Blockchain Network
Example: By staking 32 ETH, a participant can become a validator in the Ethereum network, contributing to block creation and validation, and earning rewards in return.
External Resources: