SkyPirl Blockchain
  • SkyPirl (Pirl)
    • Docs.Pirl.io
    • About SkyPirl (Pirl)
    • Mission
    • Create SkyPirl 2.0 wallet
    • Restore wallet with secret 12 phrase
    • How to be a Nominator
    • SkyPirl coin specifications
    • Run a validator
    • How to unbound fund
    • How payout works
    • How to vote for Council
    • How to set identity
    • SLASHES
    • Refund of slashed
    • COIN SPECIFICATION
    • Governance and Treasury
    • Telemetry
    • List of wallet addresses not working
    • Spend from the treasury and Burn
    • Mint coins and transfer coins to the treasury
      • Treasury2
    • Burn2
    • Source Code
    • List of wallets holding coins of burned wallets with PIRL balance at block 3939000
  • About SkyPirl (Pirl)
  • Mission
  • PIRLmeet.com
    • About PIRLmeet.com
    • Free Trial
    • CINEMA
    • Microphone On-Off
    • Screen Sharing
      • Share—or don't share your audio
      • Video recording tutorial + camera + mp4 video download
    • Hands Up
    • Change the ringtone when giving a raise of hand
    • Stream MP4 videos
    • Stream mp4 video on Firefox browser
    • Cabinet Lock
      • Cabinet Lock account
      • Normal-Demo
      • How can I cabinet lock and keep strangers from entering the room?
      • How can I add people to the room when the room is locked?
    • Text chat
      • Room chat
      • Cabinetlock Chat
      • private chat per video
    • Connect Pirl wallet to Room-House
    • Change cover photo
    • Video title name
    • Setting up you own Room-House
    • How to download videos on youtube, Facebook and convert to mp4 files
    • Use camera beautification App when livestream
    • PIRLmeet can create meetings that last 24/7 and 365 days a year.
    • How does PIRLmeet secure products?
    • Get Pirl coin when playing videos on Room-house
    • Picture
    • OBS Studio
      • Download
      • Screen sharing and front camera
      • Stream video from R-H to Youtube
      • Stream games
      • Stream Video and Record Video and download videos
      • Good quality video settings
      • Edit the frame and choose the recording frame
    • Source Code
  • Game
    • Room-House.com and games
    • Slot Machine
      • Connect the slot machine to the SkyPirl Light Wallet.
      • Connect Room-House.com to the slot machine
  • SkyPirl Light Wallet
  • PIRL Decentralized Charity Foundation
  • SkyPirl Community
  • Apps for Android and IOS (PWA)
    • Android
    • Iphone (IOS)
    • Computer-Windows-PC
  • Business Paradigm R-H
    • Use SkyPirl coin to pay in Room-House.com
  • Roadmap
  • Core Team
  • xTer . Technology
    • About xTER SafeContainer
    • xTer Ecosystem
    • xTer SkyPirl
    • xTer Room-House
      • How to Room-House
    • xTer Room-House Plus
      • How to xTer room-House plus
    • xTer TrueAD
    • xTer SmartFilter
  • White Paper
  • Blog
    • News
      • ------What is Web 1.0, 2.0, 3.0?------
      • The world's first decentralized audio chat room Room-House
      • What's so special about decentralized audio chat rooms?
      • Features that make Room-House.com decentralized chat rooms competitive with giants
      • Ever heard of Decentralized Charity Fund?
      • What is online meeting? 4 most effective online conferencing solutions
      • What is online meeting? Is it easy or difficult to organize?
      • What is the standard of a professional online meeting room?
      • History of the world's first online meeting software
      • Decentralized Application Room-House.com (Daap)
      • In what year was the internet born? And the birth of the project SkyPirl
      • Cooperation between Room-House and Russian State Social University
      • Building SkyPirl Decentralized Internet in Space
      • Data collection is a huge industry that operates in the dark
      • Free and easy decentralized internet for everyone to use
      • What is Pirl (PIRL) ? Community Based Project Pioneering in Introducing Masternode Technology
      • PirlGuard — Innovative Solution against 51% Attacks
      • ETC and PirlGuard Cybersecurity Plan
      • PirlChat messenger release
      • Overview of PirlChat 0.5.1–0.6 Beta Versions
      • Decentralized blockchain messengers
      • PirlChat messenger version 1.0.4 released
      • What is Pirl 2.0 and what changes will come to the Pirl network
      • The Pirl project announced the launch of its own exchange
      • PIRL’s Content Masternodes Are Almost Out: What You Need to Know
      • PIRL Masternodes and DApps Overview
      • PIRL Decentralized Charity Foundation - SkyPirl
      • Thanks to PirlGuard, Callisto is protected against 51% attacks
      • What is SkyPirl(PIRL) project?
      • Here is the sci-fi story of the decentralized social network PIRL:
      • What is Callisto-Pirl.com project?
      • Here is the legend of the multi-planetary decentralized internet space station PIRL:
      • PIRL decentralized social network has the following key differences:
      • The SM feature of the decentralized social network PIRL seems to be an interesting secret.
      • SkyPirl(PIRL) is designed to attract investors with attractive features:
      • SkyPirl project does not sell ICO (Initial Coin Offering) or not raise funds for the following reaso
      • Merry Christmas and a Happy New Year! SkyPirl Callisto-Pirl.com
      • SkyPirl Project Merry Christmas Story:
      • Happy New Year! SkyPirl Callisto-Pirl.com
      • Here's the story of the SkyPirl Mars Exploration Project:
      • Multiplanetary Billionaire
      • Lost in space
      • The Last Space Train
      • The future of society: Polarization of rich and poor in the 4.0 revolution
      • Callisto-Pirl.com Civil War
      • Callisto-Pirl.com Civil War 2
      • Callisto-Pirl.com Civil War 3
      • Callisto-Pirl.com Civil War 4
      • Callisto-Pirl.com Civil War 5
      • Callisto-Pirl.com Civil War 6
      • Callisto-Pirl.com Civil War 7
      • Callisto-Pirl.com Civil War 8
      • Callisto-Pirl.com Civil War 9
      • Callisto-Pirl.com Civil War 10
      • Callisto-Pirl.com Civil War 11
      • Callisto-Pirl.com Civil War 12
      • Page 6
      • Page 5
      • Page 4
      • Page 3
      • Page 2
      • Page 1
      • Page
    • Technical
      • What is Bitcoin? How are Bitcoins created?
      • Export Your Private Key from Third-Party Wallets
      • What Is a Stablecoin?
      • What Is Wrapped Bitcoin?
      • 7 Ways to Generate Passive Income With Crypto
      • What is a decentralized social network?
      • How many Bitcoins can be mined in a day?
      • How many Bitcoins are there in the world?
      • What is a decentralized exchange? different from centralized floor?
      • What is Staking? 5 things to note when investing in Staking
      • What Are Blockchain Bridges?
      • Compare Hot Wallet and Cold Wallet, which one should you use?
      • What is NFT?
      • Building a Decentralized Internet in Space
      • Web 3.0 Paradox
      • Controversy about the future of the Internet
      • The metaverse virtual universe could revolutionize the Internet
      • 'Blockchain is the most influential technology since the Internet'
      • Web3 - Expectations for the Decentralized Internet
      • What is Dapp? The concept of Dapp and their classification
      • How Decentralized Web Browsers Give You Unsurpassed Privacy
      • Is Web 3.0 being hyped?
      • What are Nodes? Types of Nodes in Blockchain
      • Blockchain can be hacked or not?
      • What is Private Key and Public Key in Bitcoin?
      • What is a Nonce in Blockchain?
      • What is Decentralized Autonomous Cooperative (DAC)?
      • What is Genesis Block?
      • What is Web3? Explaining the Decentralized Internet of the Future
      • Z-Consensus CLO
      • DEX223 Explanation
      • CLOIP
        • CLOIP-1
        • CLOIP-2
        • CLOIP-3
        • CLOIP-4
      • Skuld Hard Fork: Transforming Callisto Network with Dynamic Monetary Policy
      • Dex223 ICO
      • CoinSavi là gì?
      • SLOFI Token
    • Pi NetWork
      • Pi NetWork ( English )
        • Pi Network (PI) Mining Step by Step Guide
        • How to Create a Pi Wallet
        • How to KYC Pi Network 100% Success (2023)
        • Pi Network Security Circle: How to Add Users to Security Circle?
        • How to Migrate Your Mining Pi Coin to Mainnet in 8 Steps (See Video)
        • Why Pi Network can become the most active existence of mobile smart cryptocurrency?
        • FAQ? (FAQ)
      • Pi NetWork ( Tiếng Việt)
        • Pi NetWork là gì?
        • Cách KYC Pi Network 100% thành công (2023)
        • Vòng tròn bảo mật là gì?
        • Hướng dẫn tạo ví Pi Network
        • Cách Đào Pi Trên Điện Thoại
        • Cài đặt tên như thế nào là đúng trong Pi Network
        • Bạn cần xác nhận ngay VÍ PI THẬT để chuẩn bị chuyển SỐ PI XỊN vào ví pi sau khi hoàn thành KYC.
        • Hướng dẫn cách rút chuyển Pi về Ví Mainnet
        • Cách tăng tốc độ Đào Pi Network
        • Tại sao Pi Network có thể trở thành sự tồn tại tích cực nhất của tiền điện tử thông minh di động?
        • Hỏi đáp (FAQ)
    • Việt Nam
      • Pirl (PIRL) Là Gì ? Dự Án Dựa Trên Cộng Đồng Đi Tiên Phong Trong Việc Giới Thiệu Công Nghệ Masternod
      • Giới thiệu về SkyPirl (Pirl)
      • Sứ Mệnh Pirl2.0
      • Phần mềm Room-House.com là gì
      • Giới thiệu về Room-House.com
      • Room-House có thể tạo các cuộc họp kéo dài 24/7 và 365 ngày một năm.
      • Room-House.com bảo mật sản phẩm như thế nào?
      • Giới thiệu về xTER SafeContainer
      • Kế hoạch an ninh mạng của ETC và PirlGuard
      • Quỹ từ thiện phi tập trung Pirl
      • Phát hành trình nhắn tin PirlChat
      • Tổng quan về các phiên bản Beta của PirlChat 0.5.1–0.6
      • Trình nhắn tin chuỗi khối phi tập trung
      • PirlChat messenger phiên bản 1.0.4 được phát hành
      • Pirl 2.0 là gì và những thay đổi nào sẽ đến với mạng Pirl
      • Dự án Pirl đã công bố ra mắt sàn giao dịch của riêng mình
      • Masternode nội dung của PIRL sắp hết: Những điều bạn cần biết
      • Tổng quan về PIRL Masternodes và DApps
      • Xây dựng Internet phi tập trung SkyPirl trong không gian
      • Nhờ PirlGuard, Callisto được bảo vệ chống lại các cuộc tấn công 51%
    • Russia
      • ------Что такое Web 1.0, 2.0, 3.0?------
      • Первый в мире децентрализованный аудиочат Room-House
      • Что такого особенного в децентрализованных аудиочатах?
      • Функции, которые делают децентрализованные чаты Room-House.com конкурентоспособными с гигантами
      • Вы когда-нибудь слышали о Децентрализованном благотворительном фонде?
      • Что такое онлайн-встреча? 4 самых эффективных решения для онлайн-конференций
      • Что такое онлайн-встреча? Легко или сложно это организовать?
      • Каков стандарт профессионального онлайн-зала для встреч?
      • История первого в мире программного обеспечения для онлайн-встреч
      • Децентрализованное приложение Room-House.com (Daap)
      • В каком году родился Интернет? И рождение проекта SkyPirl
      • Сотрудничество Room-House и Российского государственного социального университета
      • Создание децентрализованного Интернета SkyPirl в космосе
      • Сбор данных — это огромная индустрия, которая работает в темноте
      • Бесплатный и простой децентрализованный Интернет, которым может пользоваться каждый.
      • Что такое Пирл (PIRL)? Пионерский проект сообщества по внедрению технологии мастернод
      • PirlGuard — инновационное решение против атак 51%
      • План кибербезопасности ETC и PirlGuard
      • Релиз мессенджера PirlChat
      • Обзор бета-версий PirlChat 0.5.1–0.6
      • Децентрализованные мессенджеры на блокчейне
      • Вышла версия мессенджера PirlChat 1.0.4
      • Что такое Pirl 2.0 и какие изменения произойдут в сети Pirl
      • Проект Pirl объявил о запуске собственной биржи
      • Мастерноды контента PIRL почти закончились: что вам нужно знать
      • Обзор мастернод PIRL и DApps
      • Децентрализованный благотворительный фонд PIRL
      • Благодаря PirlGuard Каллисто защищен от атак 51%
    • China
      • ------什么是Web 1.0、2.0、3.0?------
      • 全球首个去中心化音频聊天室Room-House
      • 去中心化音频聊天室有什么特别之处?
      • 让 Room-House.com 去中心化聊天室与巨头竞争的功能
      • 听说过去中心化慈善基金吗?
      • 什么是线上会议?4种最有效的在线会议解决方案
      • 什么是线上会议?组织起来容易还是困难?
      • 专业的网络会议室的标准是什么?
      • 世界上第一个在线会议软件的历史
      • 去中心化应用室-House.com (Daap)
      • 互联网诞生于哪一年?SkyPirl 项目的诞生
      • Room-House与俄罗斯国立社会大学合作
      • 在太空中构建 SkyPirl 去中心化互联网
      • 数据收集是一个在黑暗中运作的庞大行业
      • 免费且简单的去中心化互联网,供所有人使用
      • 什么是皮尔(PIRL)?基于社区的项目开创了引入主节点技术的先河
      • PirlGuard — 针对 51% 攻击的创新解决方案
      • ETC 和 PirlGuard 网络安全计划
      • PirlChat 即时通讯软件发布
      • PirlChat 0.5.1–0.6 Beta 版本概述
      • 去中心化区块链信使
      • PirlChat 即时通讯软件 1.0.4 版发布
      • 什么是 Pirl 2.0,Pirl 网络将发生哪些变化
      • Pirl项目宣布推出自己的交易所
      • PIRL 的内容主节点即将退出:您需要了解的内容
      • PIRL 主节点和 DApp 概述
      • PIRL 去中心化慈善基金会
      • PirlGuard – 51% 攻击防护
    • Japan
      • -------Web 1.0、2.0、3.0とは何ですか?------
      • 世界初の分散型音声チャットルーム Room-House
      • 分散型音声チャット ルームの何がそんなに特別なのでしょうか?
      • Room-House.com の分散型チャット ルームを大手企業と競争できるようにする機能
      • 分散型慈善基金について聞いたことがありますか?
      • オンライン会議とは何ですか?最も効果的な 4 つのオンライン会議ソリューション
      • オンライン会議とは何ですか?整理するのは簡単ですか、それとも難しいですか?
      • プロフェッショナルなオンライン会議室の基準は何ですか?
      • 世界初のオンライン会議ソフトウェアの歴史
      • 分散型アプリケーション Room-House.com (Daap)
      • インターネットが誕生したのは何年ですか? そしてSkyPirlプロジェクトの誕生
      • SkyPirl 分散型インターネットを宇宙に構築する
      • データ収集は暗闇で行われる巨大産業です
      • 誰もが使える無料で簡単な分散型インターネット
      • ピル(PIRL)とは何ですか?マスターノードテクノロジーの導入における先駆的なコミュニティベースのプロジェクト
      • PirlGuard — 51% 攻撃に対する革新的なソリューション
      • ETC および PirlGuard サイバーセキュリティ プラン
      • PirlChatメッセンジャーのリリース
      • PirlChat 0.5.1 ~ 0.6 ベータ版の概要
      • 分散型ブロックチェーンメッセンジャー
      • PirlChat メッセンジャー バージョン 1.0.4 がリリースされました
      • Pirl 2.0 とは何か、Pirl ネットワークにどのような変更が加えられるか
      • Pirlプロジェクトが独自の取引所の立ち上げを発表
      • PIRL のコンテンツ マスターノードが間もなく終了します: 知っておくべきこと
      • PIRL マスターノードと DApps の概要
      • PIRL 分散型慈善財団
      • PirlGuard のおかげで、Callisto は 51% の攻撃から保護されています
    • Hindi
      • ------वेब 1.0, 2.0, 3.0 क्या है?------
      • Page दुनिया का पहला विकेन्द्रीकृत ऑडियो चैट रूम रूम-हाउस
      • विकेन्द्रीकृत ऑडियो चैट रूम के बारे में क्या खास है?
      • ऐसी विशेषताएँ जो रूम-हाउस.कॉम विकेंद्रीकृत चैट रूम को दिग्गजों के साथ प्रतिस्पर्धी बनाती हैं
      • क्या आपने कभी विकेंद्रीकृत चैरिटी फंड के बारे में सुना है?
      • ऑनलाइन मीटिंग क्या है? 4 सबसे प्रभावी ऑनलाइन कॉन्फ्रेंसिंग समाधान
      • ऑनलाइन मीटिंग क्या है? क्या इसे व्यवस्थित करना आसान है या कठिन?
      • एक पेशेवर ऑनलाइन मीटिंग रूम का मानक क्या है?
      • दुनिया के पहले ऑनलाइन मीटिंग सॉफ़्टवेयर का इतिहास
      • विकेन्द्रीकृत अनुप्रयोग रूम-हाउस.कॉम (डीएएपी)
      • इंटरनेट का जन्म किस वर्ष हुआ था? और प्रोजेक्ट स्काईपिरल का जन्म
      • अंतरिक्ष में स्काईपिरल विकेन्द्रीकृत इंटरनेट का निर्माण
      • डेटा संग्रह एक बहुत बड़ा उद्योग है जो अंधेरे में काम करता है
      • हर किसी के उपयोग के लिए मुफ़्त और आसान विकेन्द्रीकृत इंटरनेट
      • पर्ल (PIRL) क्या है? समुदाय आधारित परियोजना मास्टर्नोड प्रौद्योगिकी के परिचय में अग्रणी है
      • पिरलगार्ड - 51% हमलों के खिलाफ अभिनव समाधान
      • ईटीसी और पिरलगार्ड साइबर सुरक्षा योजना
      • PirlChat मैसेंजर रिलीज़
      • PirlChat 0.5.1–0.6 बीटा संस्करणों का अवलोकन
      • विकेन्द्रीकृत ब्लॉकचेन संदेशवाहक
      • PirlChat मैसेंजर संस्करण 1.0.4 जारी किया गया
      • Pirl 2.0 क्या है और Pirl नेटवर्क में क्या बदलाव आएंगे
      • पर्ल प्रोजेक्ट ने अपने स्वयं के एक्सचेंज के लॉन्च की घोषणा की
      • पीआईआरएल के कंटेंट मास्टरनोड्स लगभग समाप्त हो चुके हैं: आपको क्या जानना चाहिए
      • पीआईआरएल मास्टरनोड्स और डीएपी अवलोकन
      • पीआईआरएल विकेंद्रीकृत चैरिटी फाउंडेशन
      • PirlGuard को धन्यवाद, कैलिस्टो 51% हमलों से सुरक्षित है
    • Charity
      • Децентрализованный благотворительный фонд PIRL
      • PIRL 去中心化慈善基金会
      • PIRL 分散型慈善財団
      • Yayasan Amal Terdesentralisasi PIRL
      • PIRL विकेंद्रीकृत चैरिटी फाउंडेशन
      • Fundación Benéfica Descentralizada PIRL
      • Pirl المؤسسة الخيرية اللامركزية
      • קרן צדקה מבוזרת של PIRL
      • PIRL 분산형 자선 재단
      • PIRL Dezentrale Wohltätigkeitsstiftung
      • Ang mga desentralisadong charity fund Pirl
      • ມູນນິທິການກຸສົນ PIRL Decentralized
      • PIRL Decentralized caritas Foundation
      • มูลนิธิ PIRL Decentralized Charity Foundation
      • PIRL төвлөрсөн бус буяны сан
      • PIRL Weqfa Xêrxwazî ​​ya Nenavendî
      • Fundacja Dobroczynności Zdecentralizowanej PIRL
      • PIRL Gedesentraliseerde Liefdadigheidstigting
      • PIRL Adɔe Fapem a Wɔde Di Dwuma wɔ Decentralized
      • Fondacioni i Decentralizuar i Bamirësisë PIRL
      • PIRL ያልተማከለ የበጎ አድራጎት ድርጅት
      • PIRL ապակենտրոնացված բարեգործական հիմնադրամ
      • PIRL Mərkəzləşdirilməmiş Xeyriyyə Fondu
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On this page
  • Era Points​
  • Payout Scheme​
  • Running Multiple Validators​
  • Slashing​
  • Nominators and Validator Payments​
  1. FAQ?
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  3. Validator Guides

Validator Payout Overview

PreviousHow to run a Validator on PolkadotNextUsing systemd for a Validator Node

Last updated 1 year ago

Era Points

For every era (a period of time approximately 6 hours in length in Kusama, and 24 hours in Polkadot), validators are paid proportionally to the amount of era points they have collected. Era points are reward points earned for payable actions like:

  • issuing validity statements for blocks.

  • producing a non-uncle block in the Relay Chain.

  • producing a reference to a previously unreferenced uncle block.

  • producing a referenced uncle block.

NOTE

An uncle block is a Relay Chain block that is valid in every regard, but which failed to become canonical. This can happen when two or more validators are block producers in a single slot, and the block produced by one validator reaches the next block producer before the others. We call the lagging blocks uncle blocks.

Payments occur at the end of every era.

Era points create a probabilistic component for staking rewards.

If the mean of staking rewards is the average rewards per era, then the variance is the variability from the average staking rewards.

With parachains now on Polkadot, a large percentage of era points will come from parachain validation, as a subset of validators are selected to para-validate for all parachains each epoch, and those para-validators can generate more era points as a result. Para-validators are rewarded 20 era points each for each parachain block that they validate.

In this case, analyzing the expected value of staking rewards will paint a better picture as the weight of era points of validators and para-validators in the reward average are taken into consideration.

HIGH-LEVEL BREAKDOWN OF REWARD VARIANCE

This should only serve as a high-level overview of the probabilistic nature for staking rewards.

Let:

  • pe = para-validator era points,

  • ne = non-para-validator era points,

  • EV = expected value of staking rewards,

Then, EV(pe) has more influence on the EV than EV(ne).

Since EV(pe) has a more weighted probability on the EV, the increase in variance against the EV becomes apparent between the different validator pools (aka. validators in the active set and the ones chosen to para-validate).

Also, let:

  • v = the variance of staking rewards,

  • p = number of para-validators,

  • w = number validators in the active set,

  • e = era,

Then, v ↑ if w ↑, as this reduces p : w, with respect to e.

There are plans to scale the active para-validation set in the future

Validators may also receive "tips" from senders as an incentive to include transactions in their produced blocks. Validators will receive 100% of these tips directly.

Validators will receive staking rewards in the form of the native token of that chain (KSM for Kusama and DOT for Polkadot).

For simplicity, the examples below will assume all validators have the same amount of era points, and received no tips.

Validator Set Size (v): 4Validator 1 Stake (v1): 18 tokensValidator 2 Stake (v2):  9 tokensValidator 3 Stake (v3):  8 tokensValidator 4 Stake (v4):  7 tokensPayout (p): 8 DOTPayout for each validator (v1 - v4):p / v = 8 / 4 = 2 tokens

Note that this is different than most other Proof-of-Stake systems such as Cosmos. As long as a validator is in the validator set, it will receive the same block reward as every other validator. Validator v1, who had 18 tokens staked, received the same reward (2 tokens) in this era as v4 who had only 7 tokens staked.

It is possible for a single entity to run multiple validators. Running multiple validators may provide a better risk/reward ratio. Assuming you have enough DOT, or enough stake nominates your validator, to ensure that your validators remain in the validator set, running multiple validators will result in a higher return than running a single validator.

For the following example, assume you have 18 DOT to stake. For simplicity's sake, we will ignore nominators. Running a single validator, as in the example above, would net you 2 DOT in this era.

Note that while DOT is used as an example, this same formula would apply to KSM when running a validator on Kusama.

Validator Set Size (v): 4Validator 1 Stake (v1): 18 DOT <- Your validatorValidator 2 Stake (v2):  9 DOTValidator 3 Stake (v3):  8 DOTValidator 4 Stake (v4):  7 DOTPayout (p): 8 DOTYour payout = (p / v) * 1 = (8 / 4) * 1 = 2

Running two validators, and splitting the stake equally, would result in the original validator v4 to be kicked out of the validator set, as only the top v validators (as measured by stake) are selected to be in the validator set. More important, it would also double the reward that you get from each era.

Validator Set Size (v): 4Validator 1 Stake (v1): 9 DOT <- Your first validatorValidator 2 Stake (v2): 9 DOT <- Your second validatorValidator 3 Stake (v3): 9 DOTValidator 4 Stake (v4): 8 DOTPayout (p): 8 DOTYour payout = (p / v) * 2 = (8 / 4) * 2 = 4

With enough stake, you could run more than two validators. However, each validator must have enough stake behind it to be in the validator set.

The incentives of the system favor equally-staked validators. This works out to be a dynamic, rather than static, equilibrium. Potential validators will run different numbers of validators and apply different amounts of stake to them as time goes on, and in response to the actions of other validators on the network.

Although rewards are paid equally, slashes are relative to a validator's stake. Therefore, if you do have enough DOT to run multiple validators, it is in your best interest to do so. A slash of 30% will, of course, be more DOT for a validator with 18 DOT staked than one with 9 DOT staked.

Running multiple validators does not absolve you of the consequences of misbehavior. Polkadot punishes attacks that appear coordinated more severely than individual attacks. You should not, for example, run multiple validators hosted on the same infrastructure. A proper multi-validator configuration would ensure that they do not fail simultaneously.

Nominators have the incentive to nominate the lowest-staked validator, as this will result in the lowest risk and highest reward. This is due to the fact that while their vulnerability to slashing remains the same (since it is percentage-based), their rewards are higher since they will be a higher proportion of the total stake allocated to that validator.

To clarify this, let us imagine two validators, v1 and v2. Assume both are in the active set, have commission set to 0%, and are well-behaved. The only difference is that v1 has 90 DOT nominating it and v2 only has 10. If you nominate v1, it now has 90 + 10 = 100 DOT, and you will get 10% of the staking rewards for the next era. If you nominate v2, it now has 10 + 10 = 20 DOT nominating it, and you will get 50% of the staking rewards for the next era. In actuality, it would be quite rare to see such a large difference between the stake of validators, but the same principle holds even for smaller differences. If there is a 10% slash of either validator, then you will lose 1 DOT in each case.

CAUTION

If a validator is oversubscribed in an era, staking rewards are distributed only to the the top 256 nominators and the rest of the nominators do not receive any rewards. This is not the case for slashing! Every active nominator of the validator committing slashable offence will be slashed.

Nominated stake allows you to "vote" for validators and share in the rewards (and slashing) without running a validator node yourself. Validators can choose to keep a percentage of the rewards due to their validator to "reimburse" themselves for the cost of running a validator node. Other than that, all rewards are shared based on the stake behind each validator. This includes the stake of the validator itself, plus any stake bonded by nominators.

INFO

Validators set their preference as a percentage of the block reward, not an absolute number of DOT. Polkadot's block reward is based on the total amount at stake, with the reward peaking when the amount staked is at 50% of the total supply. The commission is set as the amount taken by the validator; that is, 0% commission means that the validator does not receive any proportion of the rewards besides that owed to it from self-stake, and 100% commission means that the validator operator gets all rewards and gives none to its nominators.

In the following examples, we can see the results of several different validator payment schemes and split between nominator and validator stake. We will assume a single nominator for each validator. However, there can be numerous nominators for each validator. Rewards are still distributed proportionally - for example, if the total rewards to be given to nominators is 2 DOT, and there are four nominators with equal stake bonded, each will receive 0.5 DOT. Note also that a single nominator may stake different validators.

Each validator in the example has selected a different validator payment (that is, a percentage of the reward set aside directly for the validator before sharing with all bonded stake). The validator's payment percentage (in DOT, although the same calculations work for KSM) is listed in brackets ([]) next to each validator. Note that since the validator payment is public knowledge, having a low or non-existent validator payment may attract more stake from nominators, since they know they will receive a larger reward.

Validator Set Size (v): 4Validator 1 Stake (v1) [20% commission]: 18 DOT (9 validator, 9 nominator)Validator 2 Stake (v2) [40% commission]:  9 DOT (3 validator, 6 nominator)Validator 3 Stake (v3) [10% commission]:  8 DOT (4 validator, 4 nominator)Validator 4 Stake (v4) [ 0% commission]:  6 DOT (1 validator, 5 nominator)Payout (p): 8 DOTPayout for each validator (v1 - v4):p / v = 8 / 4 = 2 DOTv1:(0.2 * 2) = 0.4 DOT -> validator payment(2 - 0.4) = 1.6 -> shared between all stake(9 / 18) * 1.6 = 0.8 -> validator stake share(9 / 18) * 1.6 = 0.8 -> nominator stake sharev1 validator total reward: 0.4 + 0.8 = 1.2 DOTv1 nominator reward: 0.8 DOTv2:(0.4 * 2) = 0.8 DOT -> validator payment(2 - 0.8) = 1.2 -> shared between all stake(3 / 9) * 1.2 = 0.4 -> validator stake share(6 / 9) * 1.2 = 0.8 -> nominator stake sharev2 validator total reward: 0.8 + 0.4 = 1.2 DOTv2 nominator reward: 0.8 DOTv3:(0.1 * 2) = 0.2 DOT -> validator payment(2 - 0.2) = 1.8 -> shared between all stake(4 / 8) * 1.8 = 0.9 -> validator stake share(4 / 8) * 1.8 = 0.9 -> nominator stake sharev3 validator total reward: 0.2 + 0.9 DOT = 1.1 DOTv3 nominator reward: 0.9 DOTv4:(0 * 2) = 0 DOT -> validator payment(2 - 0) = 2.0 -> shared between all stake(1 / 6) * 2 = 0.33 -> validator stake share(5 / 6) * 2 = 1.67 -> nominator stake sharev4 validator total reward: 0 + 0.33 DOT = 0.33 DOTv4 nominator reward: 1.67 DOT

Increased v is expected, and initially keeping p ↓ using the same para-validator set for all parachains ensures and . In addition, despite v ↑ on an e to e basis, over time, the amount of rewards each validator receives will equal out based on the continuous selection of para-validators.

Payout Scheme

No matter how much total stake is behind a validator, all validators split the block authoring payout essentially equally. The payout of a specific validator, however, may differ based on , as described above. Although there is a probabilistic component to receiving era points, and they may be impacted slightly depending on factors such as network connectivity, well-behaving validators should generally average out to having similar era point totals over a large number of eras.

Running Multiple Validators

Slashing

Nominators and Validator Payments

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parachain
availability
approval voting
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era points
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