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Slashing

Slashing is a penalty mechanism that punishes validator misbehavior by reducing staked tokens.

Slashing Events

ViolationSlashJail
Downtime0.01%10 minutes minimum
Double-signing5%Permanent (tombstoned)

Both the validator and their delegators are affected.

Downtime Slashing

Trigger

Missing too many blocks in a sliding window:

Missed blocks threshold: varies by configuration
Window: rolling block count

Penalty

  • Slash: 0.01% of staked tokens
  • Jail: Minimum 10 minutes

Recovery

  1. Fix the underlying issue
  2. Wait for jail period to end
  3. Submit unjail transaction
monod tx slashing unjail \
--from <validator-operator> \
--chain-id <chain-id>

Double-Sign Slashing

Trigger

Signing two different blocks at the same height:

  • Usually from running duplicate validators
  • Or from key compromise
  • Evidence submitted by other validators

Penalty

  • Slash: 5% of staked tokens
  • Jail: Permanent (tombstoned)

No Recovery

Tombstoned validators cannot unjail. The operator must:

  1. Create a new validator (new keys)
  2. Stake new tokens
  3. Attract new delegations

Evidence Submission

Other validators can submit evidence of misbehavior:

Evidence Window: ~2 days (configurable)

Evidence submitted after the window is ignored.

Slashing Protection

Preventing Downtime

  1. Reliable infrastructure - Use quality hosting
  2. Monitoring and alerting - Know before you're jailed
  3. Redundant systems - Sentry architecture
  4. Quick response - On-call procedures

Preventing Double-Signing

  1. Never run duplicate validators - One key, one node
  2. Secure your keys - Prevent unauthorized copies
  3. Use remote signers - HSM or remote signing
  4. Careful with migrations - Stop old node before starting new

Impact on Delegators

When a validator is slashed:

Delegator Loss = Delegation × Slash Percentage

Example: 1,000 LYTH delegated, 0.01% slash

Loss = 1,000 × 0.0001 = 0.1 LYTH

Delegators should:

  • Choose reliable validators
  • Diversify across multiple validators
  • Monitor validator performance

Slashing Parameters

Query current parameters:

monod query slashing params

Typical values:

ParameterValue
Signed blocks window100
Min signed per window50%
Downtime jail duration600s
Slash fraction downtime0.0001
Slash fraction double-sign0.05

Viewing Slashing History

Check Signing Info

monod query slashing signing-info <validator-cons-pubkey>

Shows:

  • Missed blocks counter
  • Jailed until time
  • Tombstoned status

Explorer

Block explorers show:

  • Slashing events
  • Jail/unjail history
  • Missed blocks

Validator Status After Slashing

StatusMeaning
BondedActive and earning
JailedTemporarily inactive
TombstonedPermanently inactive
UnbondingLeaving active set

Best Practices

Infrastructure

  • Use enterprise-grade hosting
  • Implement redundancy
  • Regular backups
  • Test disaster recovery

Monitoring

Monitor continuously:

  • Block signing status
  • Node health
  • Peer connections
  • Disk space

Alert immediately on:

  • Missed blocks
  • Node offline
  • Low peers

Operations

  • Document procedures
  • Practice incident response
  • Have on-call rotation
  • Post-incident reviews

FAQ

Can slashing be reversed?

No. Slashing is final and cannot be undone.

Do I lose my burn deposit if slashed?

No. Only staked tokens are slashed. The burn deposit is already burned.

What if my node goes down briefly?

Brief downtime (a few blocks) is normal. Slashing requires missing many blocks.

Can delegators avoid slashing?

Not directly. Choose validators carefully and diversify.

Is there insurance for slashing?

Third-party insurance products may exist. Research carefully.