Validator

A validator is a participant who checks transactions on a blockchain. Validators help keep the network secure and add new blocks.

What is a validator?

Validators are mainly used by Proof of Stake blockchains. This is a system in which participants lock up crypto as collateral. This process is called staking.

For example, a validator checks whether someone has enough crypto to make a payment. Validators also help prevent the same crypto from being spent twice. A validator can then propose a new block of transactions. Other validators check that the block is valid.

If a validator follows the rules, they may receive a reward. If they make mistakes or misuse their role, they may lose some of the crypto they locked up. This gives validators a financial incentive to act honestly.

An example of a validator

Suppose someone sends crypto to another person. A validator checks whether the sender has enough crypto and whether the transaction is valid.

The transaction can then be included in a new block along with other transactions. Other validators check the block. If enough validators approve it, the block is added to the blockchain.

Why are validators important in crypto?

Without validators, Proof of Stake blockchains can't add new blocks. Transactions can't be processed properly. Validators are therefore important to how these networks work and stay secure.

Crypto news may cover the number of validators or validators that aren't working properly. Having more independent validators can make it harder for a single party to influence the network. However, the number of validators alone doesn't tell you everything about a blockchain's security.

Validators differ from miners. Miners use computing power to solve puzzles. Validators secure a network mainly with crypto they have locked up through staking. As a result, this system is often more energy-efficient than mining.