As staking gains traction as a smart method for investing in cryptocurrencies, choosing the right validator becomes an essential step for long-term success. To enjoy consistent returns and keep your assets secure, it’s important to understand what differentiates a good validator from a risky one. In this article, you’ll discover the key criteria for selecting a validator and why this decision shouldn’t be left to chance.
Why validator selection matters in staking
In blockchain networks that use Proof of Stake (PoS) mechanisms, validators play a vital role. They are responsible for confirming transactions and securing the network. In return, they are rewarded with tokens. Those who don’t have enough capital or prefer not to run their node can delegate their assets to a validator and receive a share of the rewards.
However, choosing a validator is not a risk-free decision. If a validator is penalized (through slashing) for misbehavior or is inactive, delegators may lose part of their funds or miss out on important rewards. That’s why choosing a reliable validator is not just a technical step, but a strategic decision within your investment plan.
1. Infrastructure and technological independence
One of the most important criteria is the infrastructure behind the validator. A validator operating on its infrastructure, rather than on shared cloud services, has much more control over the performance, security, and stability of the services it provides.
Here, it’s essential to check if the validator has uptime close to 100%, uses its data centers, and has its own ASN and IP classes. All these elements contribute to network resilience and reduce the risk of centralization.
2. Uptime and validator stability
Uptime (the time the validator is online and operational) is critical in staking. If the validator is offline during validation, it won’t earn rewards, and delegators can lose money. Worse, in some networks, downtime may result in direct penalties on staked funds.
A professional validator provides clear statistics on uptime and has a solid track record on the networks where it operates. Ideally, you should look for at least 99.9% uptime, and top validators often reach 99.99% or more.
3. Commission rate (the fee charged)
Validators retain a percentage of the rewards generated, known as “commission” or “fee.” This usually ranges between 0% and 20%, depending on the network and validator. Although it may be tempting to choose validators with the lowest fees, this criterion must be analyzed in context.
A low commission may mean higher short-term profits but could also reflect a lack of resources to maintain quality infrastructure. On the other hand, a reasonable fee backed by solid services, uptime, and support can bring more stable and secure returns over time.
4. Validator’s track record and reputation
A validator with a long history and consistent activity across multiple networks inspires trust. Check whether they’ve ever been slashed, involved in incidents, or if they maintain transparent communication with delegators.
Reputation can also be evaluated through community presence, strategic partnerships, and active involvement in blockchain ecosystem development. A validator who contributes to the network, organizes events, or supports community education is usually a trustworthy partner.
5. Diversity of validated networks
Another important criterion is the number and diversity of networks the validator is active on. A validator operating on more than 30 networks demonstrates experience, adaptability, and deep understanding of the market.
Network diversity validates the validator’s capacity to support various technologies and to respond quickly to technological changes. It’s also a sign of a sustainable, long-term business model.
6. Security and protection against attacks
A quality validator invests in advanced security measures, such as DDoS protection, automated backups, geographic redundancy, and SSV (Secret Shared Validators) technologies. These significantly reduce the risks of attacks or malfunctions that could impact investor returns.
Transparency regarding these measures is a plus. Serious validators offer public details about how they protect their infrastructure and delegators’ funds.
7. Support and communication with delegators
An often overlooked aspect is the relationship between the validator and the community. An engaged validator communicates openly, provides regular reports, updates, and assistance in case of questions or issues. This is especially important for investors who are just starting out.
Choose validators who offer clear communication channels (e-mail, Telegram, Discord), respond promptly, and treat the community with respect and transparency.
How a professional validator like 01NODE can help you
At the end of this guide, it’s important to mention that there are validators who meet all these criteria and offer a professional model of collaboration with delegators.
We represent such an example. With proprietary infrastructure, three data centers (one fully owned in-house), our own ASN and IP classes, we offer a higher level of independence and security. With activity on over 30 networks and use of SSV technology to protect Ethereum staking, our team combines technical expertise with a client-focused, performance-oriented approach.
If you’re looking for a validator that protects your investment, ensures consistent returns, and actively contributes to blockchain decentralization, 01NODE is a choice worth considering.