How does Proof of Stake Work?

Proof of Stake (PoS) is a consensus mechanism used in blockchain networks like Cardano to achieve distributed consensus and validate transactions. Unlike Proof of Work (PoW), where miners compete to solve complex mathematical puzzles to add blocks to the blockchain, PoS relies on validators who are chosen to create and validate new blocks based on the amount of cryptocurrency they hold and are willing to "stake" as collateral.