Validator Rewards and Penalties

How Do Validators Earn Rewards?

Validators on the Siriux blockchain earn rewards by participating in the network’s consensus mechanism. Rewards are distributed based on:

✅ Block Validation – Validators receive rewards for confirming transactions and producing blocks.
✅ Uptime & Performance – Higher uptime and reliable performance lead to better rewards.
✅ Delegation Support – Validators with more delegated SIRI tokens earn higher staking rewards.

Reward Distribution Model

• Rewards are distributed proportionally based on the amount of SIRI tokens staked.
• Delegators receive a portion of the rewards, while validators keep a commission fee.
• Validators must manually claim rewards or set up an auto-compounding mechanism.

What Are Validator Penalties?

Validators must follow the network’s rules to avoid penalties. The Siriux network enforces the following penalties:

1️⃣ Slashing (Severe Penalty)

• Applied for double-signing blocks or malicious activity.
• A portion of the staked SIRI tokens is permanently burned.
• The validator may be removed from the network.

2️⃣ Downtime Penalty

• If a validator is offline for an extended period, rewards are reduced.
• Repeated downtime may lead to temporary suspension.

3️⃣ Low Performance Penalty

• Validators who fail to meet performance standards (slow block validation, incomplete transactions) earn fewer rewards.
• Poor performance impacts delegator confidence and staked amounts.

How to Avoid Penalties?

✅ Maintain 99%+ uptime to avoid downtime penalties.
✅ Secure your validator node against attacks and unauthorized access.
✅ Monitor logs and network activity regularly.
✅ Follow best practices to ensure compliance with the Siriux consensus rules.

By following these best practices, you can maximize rewards and minimize risks as a Siriux validator! 🚀