Lexicon

Coin age plays a pivotal role in Proof of Stake (PoS) systems, determining the eligibility of validators to forge a new block based on the age and quantity of their staked coins. Coin age is calculated by multiplying the number of days a stake has remained idle by the amount of the cryptocurrency staked. Validators with stakes idle for 30 days or more become candidates for forging the next block, with higher chances of selection for larger and older stakes. This mechanism contrasts with Proof of Work (PoW) systems, where the probability of forging a block depends on computational power. After successfully forging a block, a validator's coin age resets to zero, requiring a 30-day waiting period before becoming eligible again. To ensure fairness among validators, coin age has a maximum cap of 90 days, thereby preventing excessively large or old stakes from dominating the block forging process.