Validator
A Validator — is a network node that is managed by specialized software run and controlled by individuals or teams on their PCs. It deals with validating the accuracy and authenticity of transactions in a Proof of Stake (PoS) consensus-based blockchain. Validator creators use their own cryptoassets as a guarantee for the accuracy of their actions and receive transaction fees as a reward.
A validator in a PoS mechanism is like a checker in a game. He makes sure that the actions are correct and adds new blocks to the network. For this, its owner or owners are paid in cryptocurrency. The validator's work is important because it helps to make the network safe and secure from attacks.
How to become a validator
First, a potential validator creator needs to choose a blockchain that uses the PoS mechanism.
The next step is to purchase the required amount of the network’s native currency — the conditions for those wishing to become validators differ from blockchain to blockchain: for example, in the Ethereum network, the required amount is 32 ETH, while in the Solana network it is 0.02685864 SOL plus daily transaction validation costs of 1.1 SOL.
In both cases, you will also need equipment that meets the requirements of each network: for example, in the ETH network, as early as May 2022, you will need a dedicated computer with 1 TB of hard disk storage just to handle Mainnet-chain data (increasing by >1 GB/day), an SSD drive to constantly handle the necessary read and write speeds, uninterrupted 24/7 network access with a minimum bandwidth of ~1.2-1.3 GB/hour for uploading and ~0.9-1 GB/hour for downloading.
Next, coins will need to be sent to staking — The more money a participant invests, the better their chances of being selected as a validator.
Reward
Users send a certain amount of additional coins in transactions as a reward for the work of validators. This amount is divided among all validators in proportion to their number in a particular validation cycle. Also, new coins are created during the validation process, which are also received by validators.
Validator in TON
In order to run a validator in TON network, you need access to high-performance equipment and 300,000 TON to be blocked. But it is also possible to participate in the network with a small amount of TON by joining Nominator pools.
Nominator is a person (or a company of people) who delegates their coins to another member of the network to use to prove participation and earn rewards. Nominators can choose validators based on their reputation.
Delegator is a person or company that donates their cryptoassets to validators as collateral to help ensure the safety and efficiency of the network. In return, delegators usually receive a portion of the profits or rewards that validators earn. This helps delegates generate income from their cryptocurrency assets without having to be directly involved in the processes of the network.
The main difference between a nominator and a delegator is that a nominator selects specific validators to delegate their coins to, while a delegator simply passes their coins to a validator without specifying a particular selection.
In TON network, the amount of reward is distributed in proportion to the fraction of validators selected in a particular validation cycle. In addition, new coins are created during validation — they also enter the validation cycle.
The approximate daily revenue generated by a validator node with an average rate was ~120 TON per day in April 2023. As of April 2024, the number of validators was 311 with a steak of 355,000 to 1,065,000 TON.
There are fines for inappropriate behavior for validators. Being fined can be either for willful violation or for inaction. In April 2023, the average fine amounted to 101 TON.