$LUNC UNDER THE HOOD
STAGE 02 VALIDATORS: WHO SECURES THE NETWORK?
Now we know what LUNC is, now let's look at the people and machines keeping #Terra_Classic running.
THE VALIDATORS.
Who are Validators?
Validators are network participants that run validator nodes, help process transactions, participate in consensus, and contribute to securing the #Terra_Classic blockchain.
In simple terms:
Validators help keep the blockchain honest and operational.
When transactions are submitted, validators participate in the consensus process that determines which transactions become part of the blockchain.
They also participate in on-chain governance, meaning validators can vote on proposals according to the governance rules and their voting power.
Note one thing, champs... Validators don't work alone.
And at this point is where delegators come in.
#LUNC holders who don't operate their own validator can delegate their LUNC to a validator. Their delegated stake contributes to that validator's voting and security weight, while the delegator can receive staking rewards subject to the network's rules.
So the basic relationship of this cycle is:
LUNC to DELEGATOR, DELEGATOR to VALIDATOR, VALIDATOR to CONSENSUS, and then CONSENSUS to SECURED NETWORK.
But there is an important detail worth noting, champs:
NOT ALL VALIDATORS ARE THE SAME.
Rather they can differ in:
Commission rates, Uptime and reliability, Voting participation, Governance decisions, Self-delegated stake and Overall voting power.
And that's why choosing a validator isn't simply about looking at the highest displayed APR,
Security, reliability, governance participation and commission all matter.
But about what they contribute to the long-term health and security of the #Terra_Classic network.
STAGE 02 VALIDATORS: WHO SECURES THE NETWORK?
#LUNC #TerraClassic #USTC #crypto