The process of generating new tokens by authenticating data, recording information, and creating new blocks on the blockchain with the help of proof of stake consensus mechanism is called token minting in the crypto space. The process for minting both tokens and non-fungible tokens (NFTs) is similar. The newly minted crypto assets then become a part of the circulating supply and are used for trading purposes.
The method used to create new blocks on the blockchain with the help of proof of stake is called minting while the generation of blocks on the blockchain with the help of proof of work consensus mechanism is called mining. Users who create these new blocks are called validators rather than miners.
The process of minting is a decentralized process that allows everyone and anyone to participate in the process of token minting. This allows anyone to create a coin without a central regulatory authority. Tokens are minted, especially in the form of non-fungible tokens (NFTs), on various blockchain systems.