DPoS Validators
DPoS (Delegated Proof of Stake) Validators actively validate the network and participate in block production. They have the most opportunities and flexibility in Mosaic Chain.
What makes DPoS Validators unique:
✅ Stake via their Validator NFT's nominal value
✅ Additionally stake MOS coins
✅ Receive Delegator NFT stakes from delegators
✅ Receive MOS coin stakes from delegators
✅ Offer their validation services to delegators for a commission
DPoS Validators compete for delegations by offering attractive commission rates and earn additional income from commission fees on top of their own block rewards.
Requirements to Become a DPoS Validator
To participate as a DPoS Validator, you must:
Own and bind a DPoS Validator NFT - Grants permission to validate and receive delegations
Run a validator node - Using Validator OS (plug-and-play system)
Maintain uptime - Keep your node online and synced 24/7
Set commission rate - Minimum 1%
Set minimum staking period - For delegators (global minimum: 28 days / 672 sessions)
Be selected by the subset algorithm - ~200 validators are randomly selected each session (1 hour)
DPoS Validator NFTs
The DPoS Validator NFT represents both your permission to validate and your base stake.
Key features:
Nominal value - The NFT's nominal value is your base stake (subject to slashing)
Transferable - Can be sold or transferred to another account
Binding required - Must be bound to your account to participate
Unbinding conditions - Can only unbind if validator is chilled, not active, and all staking contracts have ended
Unlike PoS Validators, DPoS Validators can add MOS coins to their stake and receive delegations from stakers.
How Staking Works
Your own stake:
Stake via your Validator NFT's nominal value
Additionally stake MOS coins
Delegated stake:
Delegators choose to stake with you
They can stake MOS coins
They can stake Delegator NFTs
Total staking power = Validator NFT nominal value + own MOS coins + all delegated stakes
The more competitive your commission rate and the better your performance, the more delegators will choose to stake with you.
Delegations
Delegators choose which validators to stake with, increasing your total staking power and earning potential.
What Delegators Can Stake
1. MOS Coins
Delegators stake liquid MOS coins to your validator
Most common form of delegation
No limit on the number of MOS coin delegations (up to contract limit)
2. Delegator NFTs
Delegators stake their Delegator NFTs (with nominal values)
Represents a fixed amount of staked value
Validator Limits
Max 1,000 staking contracts per validator
Max 5% of total supply staked per validator
Staking Contracts
Each delegation creates a staking contract with:
Staked amount (MOS coins or Delegator NFT nominal value)
Minimum staking period (set by you, global minimum: 28 days / 672 sessions)
Your commission rate (locked for the duration of the contract)
Commission changes:
Only apply to new staking contracts
Existing contracts keep their original commission rate
Announce changes in advance to maintain trust
Minimum staking amount: 50 MOS (global minimum)
Commission & Competitive Dynamics
DPoS Validators set their own commission rates, creating a competitive marketplace for delegations.
How Commission Works
Commission rate:
Minimum: 1% (global minimum)
You decide your rate (e.g., 5%, 10%, 20%)
Applied only to delegated stakes (not your own stake)
Example:
Delegated stakes earn 1,000 MOS in block rewards
Your commission: 5% (50 MOS goes to you)
Remaining: 950 MOS distributed to delegators proportionally
The Competitive Marketplace
DPoS Validators compete for delegators' trust and stakes.
Lower commission:
✅ More attractive to delegators
✅ Higher chance of receiving delegations
✅ Larger total staking power
❌ Lower earnings per MOS delegated
Higher commission:
✅ Higher earnings per MOS delegated
❌ Less attractive to delegators
❌ Harder to compete for delegations
❌ Smaller total staking power
Finding your edge:
Research competitor commission rates
Build reputation through consistent uptime
Maintain transparent communication
Demonstrate long-term reliability
Adjust rates strategically based on market demand
Remember: Delegators can stake with multiple validators, so even with higher commission, excellent performance can still attract stakes.
Rewards
DPoS Validators earn rewards from three sources:
1. Block Rewards
Newly minted MOS coins (calculated via expansion formula)
Distributed at the end of each session to active validators
20% goes to the Treasury
80% distributed proportionally to validators based on total stake
2. Transaction Fees
50% of transaction fees go to the block producer
100% of tips go to the block producer
40% of fees are burnt (removed from circulation)
10% of fees go to the Treasury
3. Commission from Delegators
Earn commission on all delegated stakes
Commission rate set by you (minimum 1%)
Applied only to delegators' rewards, not your own stake
Reward distribution:
Rewards are distributed at the end of each session (1 hour ≈ 600 blocks)
Only active validators (selected for that session) earn rewards
Waiting validators earn nothing during that session
Slashing & Auto-Chilling
DPoS Validators can be slashed for poor behavior or downtime. This affects both you and your delegators.
Slashing
What gets slashed:
Your Validator NFT's nominal value (0.1% per slashing event)
Your staked MOS coins (0.1% per slashing event)
All delegated stakes (0.1% per slashing event - delegators are slashed proportionally)
Auto-Chilling
Validators are automatically removed from the active set (chilled) if:
Slashed in two consecutive sessions
Validator NFT's nominal value drops below 80% of its initial value
Learn more about Slashing and Auto-chilling!
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