Secure the
network through decentralization
Validators are key to Sui’s operations and performance
Validators are the essential backbone of the Sui network.
Validators run unique instances of the Sui software on independent machines and are collectively responsible for securing the network. They process transactions and participate in consensus to ensure Sui is the safest network possible.
As a permissionless network, anyone with the appropriate setup and sufficient stake can become a validator. Sui uses Delegated Proof-of-Stake (DPoS) to determine which validators operate the network and their voting power.
How Delegated Proof-of-Stake (DPoS) works
Operations are processed by a fixed set of validators, each with a specific amount of stake from SUI token holders. A validator's share of the total stake on the network determines each validator’s voting power for processing transactions. Staking SUI implies that the SUI tokens are locked for a fixed duration, called an epoch. SUI token holders are free to withdraw their SUI or to move their stake to a new validator when an epoch changes.
Staking rewards for good behavior
Validators provide a service to Sui by operating and securing the network. In exchange, they are compensated with commissions from staking rewards. In the early phases of the network, staking rewards are made up of stake subsidies plus gas fees. The subsidies are necessary as gas fees will likely be relatively low. In the long run, the entirety of rewards will be gas fees.
How rewards are distributed
Validators receive a share of stake rewards based mostly on their share of total stake on the network. The size of the Storage Fund and the validator’s Tallying Rule score also play a part.
The storage fund redistributes storage fees from past transactions to validators based on current network storage requirements.
When storage requirements are high, rewards are boosted to compensate for increased costs and vice versa when requirements are low.
The tallying rule is a way for validators to monitor one another to ensure efficient operations that serve the best interest of the network.
Validators score every other validator on their behavior and low scoring validators can be penalized with reduced stake rewards.
Sui Foundation stake support and terms
Decentralization is at the core of the Sui Foundation’s mission. In order to deliver a fully open, permissionless, and performant network, voting power must be in the hands of many.
To that end, the Sui Foundation intends to deploy its SUI treasury to support fair, distributed, and decentralized stake distribution for validators operating the network.
In the spirit of openness and equity, the Sui Foundation will initially stake SUI tokens across the entire validator set. Over time, the Sui Foundation will begin routine re-evaluations of its staking decisions and rebalance the distribution, based largely on a validator’s adherence to Sui’s staking best practices. These best practices are drawn from the experience and input of current validators and other community members. New operators interested in becoming a validator will be able to apply for stake from the Sui Foundation through the Foundation's SUI Delegation Program.
The Sui Foundation’s staking decisions aim to assist the community with simultaneously solving global (network) and local (individual) optimization problems. The Sui Foundation will work together with Sui’s validators and is committed to transparency in its decision making.
The Sui Foundation will review the entirety of its stake decisions on a monthly cadence. These decisions will be informed by the data collected on validator performance throughout the previous epochs.
The Sui Foundation aims to launch the SUI Delegation Program in the near future, providing new validators the opportunity to apply for Foundation stake and onboard into Sui operations.
Sui staking best practices
The Sui Foundation believes that these best practices, derived from validator and community member input, are conducive to performant network operations and community success, whether or not a validator receives stake from the Sui Foundation.
The Sui Foundation may base its own staking and unstaking decisions on this information in order to help the community ensure that the network performs its best.
Validators with more SUI from Sui Foundation staked to it should offer lower commissions.
Validators should participate in the Gas Price Survey regularly.
Validators should not receive Tallying Rule Scores of zero.
Validators should be running on the recommended specification or better.
Validators should run a node on Sui testnet in addition to their Mainnet node.
Validators should regularly push prometheus metrics to the Sui Foundation.
Validators should respond to communications within a timely fashion.
Validators should upgrade their node software in a timely fashion.
Validators should consistently participate in generating certified Narwhal proposals.
Validators should perform the sequencing of transactions that are proposed to consensus with low latency.
Validators should execute owned object certificates with low latency.
Validators should be able to process transactions submitted from full nodes with minimal errors.
Tokenomics best practices
Performance best practices
Validators should monitor the following metrics as they are important for network health and operational performance.
The following dashboard is currently shared between Sui Foundation and the validators.This list doesn’t include all performance metrics that will be tracked and used to make staking decisions:
All information contained on this website is subject to change without notice and is not and should not be construed as a promise or guarantee of any validator commission rate or any stake delegation decision by the Sui Foundation. Upon a change in such information, the Sui Foundation will endeavor to update the content set forth herein as soon as reasonably practicable.