Proof of stake is the process where individuals "mint" or "forge" blocks. The people that do this are called validators or nodes and they validate all transactions inside a block and collect the transaction fees. This is an alternative to the "Proof of Work" method.
What is "proof of work" vs "proof of stake" - Coin Base
Key points about Proof of Stake:
Uses less energy
No minors, instead validators/nodes
Blocks are not mined they are minted or forged
Validators have to deposit a certain amount of coins in as “stake” for security
This process favours the rich who can place higher security deposits but is considered more fair than proof of work
Validators / nodes are chosen based on their deposit or stake amount
Chosen node/validators checks block to ensure all transactions are valid and if so adds them to the chain
As a reward the node receives the transaction fees associated with this block
They lose a part of their stake if they approve fraudulent transactions
Proof of work results in people grouping (mining pools) up to create large mining groups and this leads to centralisation which creates a heightened risk of fraud w
Read: What Is Proof Of Stake?