What is staking in cryptocurrency?

Staking is the process of holding and locking up cryptocurrency in a wallet to participate in the validation and securing of a blockchain network. In proof-of-stake (PoS) consensus systems, individuals who stake their tokens are chosen to validate transactions and create new blocks based on the number of tokens they have staked. Stakers are rewarded with additional tokens as incentives for their participation in securing the network. Staking helps maintain decentralization and security, and it often offers participants the opportunity to earn passive income through staking rewards. It is an alternative to mining in PoS-based systems like Ethereum 2.0.