Proof-of-Work Vs. Proof-of-Stake

The two fundamental consensus mechanisms used are Proof of Work (PoW) and Proof of Stake (PoS).

Both PoS and PoW are used in the transaction process to regulate and ensure the validity of transactions between users in cryptocurrency trading

Proof of work (PoW) and mining are closely related ideas because the network requires considerable processing power, thus consuming more energy

In a Proof of Stake (PoS) system, staking serves a similar function

The proof of stake system requires network participants to stake their cryptocurrency as collateral to support the new block added to the blockchain; to earn some crypto in exchange

Energy consumption is one significant difference between proof-of-work (PoW) and proof-of-stake (PoS)