What Is ‘Slashing’ in a Proof-of-Stake System?
Slashing is a penalty mechanism in PoS where a validator's staked cryptocurrency is forcibly taken away (slashed) if they act maliciously or fail to perform their duties correctly. Malicious acts include double-signing blocks or attacking the network.
Slashing provides a strong economic disincentive against dishonest behavior, which is vital for the security and integrity of the PoS consensus.