Slashing is a penalty mechanism in Proof-of-Stake (PoS) blockchains designed to discourage dangerous conduct from validators, akin to double-signing blocks or remaining offline for prolonged durations. When a validator is “slashed,” a portion of their staked property is completely misplaced.
This mechanism is crucial for securing PoS networks. It ensures that validators act truthfully and keep uptime, as their very own funds are in danger. Slashing reinforces belief in a decentralized system with no need central oversight.
Completely different networks implement slashing in numerous methods. As an example, Ethereum slashes extra severely for malicious acts than for unavailability. Validators and staking pool contributors should perceive these dangers earlier than taking part in staking.