Basic
Learn how Siriusnet wallet works. We have self-help guides and articles to get you started with Siriusnet Wallet. Use advanced features like Staking, DEX and accessing DApps.
Last updated
Learn how Siriusnet wallet works. We have self-help guides and articles to get you started with Siriusnet Wallet. Use advanced features like Staking, DEX and accessing DApps.
Last updated
Siriusnet wallet supports several crypto staking and to stake, you need to delegate your crypto to validator(s). Finding the best validators list are often tough, especially when you are new at staking. There are several things to observe when selecting one or more validators to delegate crypto. This article will help you to find the best validators to delegate your crypto.
Before diving into the central part of the article, let’s start by learning what’s a Validator and its role in a very blockchain?
A validator is responsible for validating transactions of a blockchain. Validators check all the transaction data and add the details to the blockchain once they verify the transaction. In proof of stake consensus blockchain, when a transaction launches, each validator has to validate the transaction.
Apart from validating the transactions of the blockchain, Validators are often also responsible for ensuring system efficiency of the blockchain and being able to participate in the governance of the chain.
Now, Let’s dive into the aspects to watch out on a validator before delegating your crypto-
1 - Active participation and contribution of the validator - It is always a good idea to see how much a validator contributes to the blockchain. Good validators contribute to a blockchain ecosystem in many ways, such as -
a) Writing educational content. b) Promoting the blockchain on Social media. c) Vote on governance proposals. d) Create awareness around the community. e) Build tools, listen to the community, and help the community.
2- Competitive APR - Compare the selected validator’s APR with the other validators and ensure it’s paying the same or close to the APR of the most validators. You definitely would love to earn as much as possible, passively!
3- Commission fees - validators take a fee from each delegator for their service. Look out for the lowest commission fees from the validator to maximize your earnings.
4- On-chain activity - You must pay attention to the on-chain activity of a validator. Check out overall uptime, how many blocks It missed, any previous slashing, active delegators to the node, etc.
A validator could be slashed ( jailed) for dirty play by the blockchain. When a validator gets jailed, it cannot produce blocks for a specific time and, thus, no opportunity to earn rewards. It eventually affects your APR.
5- Slashing protection and compensation - Ask the validator team whether they have a slashing protector in place. Most validators use slashing protectors, and some even compensate if slashing happens. Confirm it by the team.
6- Spread your delegation - Validators play vital roles in governance decisions. Try to diversify your delegation from 3-5 validators, and spread the voting power between all validators. Otherwise, the chain governance will be centralized, and big validators will take all the decisions.
In conclusion, Always do your own research before selecting a validator. Good validators are the core of a blockchain. Their contribution is significant on a blockchain, and it is you who will give them the power to make decisions on behalf of yours. Therefore, Select the best for your coins and for the blockchain itself.
