Validator slashing

What is validator slashing?

Validator slashing is a penalty mechanism for maintaining network integrity.

In a Proof of Asset-Based Consensus (PoABC) blockchain such as Parex Chain, validators stake tokens and are selected based on reputation and stake.

PoABC combines elements of Proof of Stake (PoS) and Proof of Authority (PoA), with validators staking tokens and being selected based on reputation and stake.

Validator slashing ensures that validators act responsibly and in Parex Chain's best interest. It therefore discourages malicious activities like double signing, prolonged downtime, and validating invalid transactions.

Slashing is crucial for aligning validators' behavior with the network's security and reliability.

Validator penalties on Parex Chain

There are two possible penalties for validator:

• Missed Blocks: If a validator fails to confirm any block within a given one-hour(240 Blocks) window, their validator status will be revoked.

If a validator is unable to confirm a block within the last hour due to a technical issue, they can resume their service once the problem is resolved.

• Asset Balance: Once a validator's wallet balance falls below 77,000 PRX, their validator status will be automatically terminated.

Once a validator's wallet balance falls below 77,000 PRX, their validator status is terminated. Even if they after 77.000 PRX their balance, they cannot become a validator again without the approval of other validators. All validator setup steps have to be done again.