What are Bakers?
On the Tezos blockchain, bakers are the people (or accounts) who validate transactions and add new blocks. Think of them as Tezos’ version of Bitcoin miners, but instead of burning electricity on proof-of-work, Tezos runs on delegated proof-of-stake (DPoS).
Here’s how it works:
To become a baker, you need at least 10,000 XTZ (a “roll”) and you must register as a delegate. Once you qualify, you can bake your own blocks or bake on behalf of others who don’t have enough XTZ.
The more rolls you have, the higher your chances of being chosen to bake the next block.
When a block is baked, the baker earns a reward of 16 XTZ.
But baking isn’t a solo gig. After a block is created, endorsers step in to double-check it. Each endorser who verifies a block correctly gets 2 XTZ for their effort.
At the core, baking is just Tezos’ way of keeping the network secure and decentralized, while also distributing rewards fairly. Instead of proof-of-work “mining,” it’s proof-of-stake “baking”, cleaner, greener, and a bit tastier in name.
