An alternative term used in proof-of-stake based systems for the validation and addition of data blocks in a blockchain. It corresponds to the mining activity in PoW-based cryptocurrencies.
For example, each participant in the Tezos system may act as a baker, who owns more than 10,000 XTZ, but is more likely to be selected (and paid) for it, the more coins he possesses.
More Term Definitions
- Immediate Payment Service (IMPS) Definition
- Acquiring Bank/Acquirer
- Home Banking Computer Interface (HBCI) Definition
- Machine-to-Machine (MM) Definition
- Private Lending Definition