This section answers commons questions for new validators.
Where to get started?
An in-detail explanation of how to set up a node can be found here:
Do Validators need to be publicly identified?
As a validator, you don't have to be publicly registered or have a registered business. LeapDAO only needs a contact and your public ethereum address which you have to provide in the signup form.
What are the responsibilities of a Validator?
As a Validator, you have three main responsibilities to keep your node running:
Continuously founding your validator key with Ether to be able to pay the transaction cost on the Ethereum network.
Make sure you keep your validator online 24/7. This will prevent slashing of the staked tokens for being offline.
From time to time updates will be released for the node software. Validators have to run the latest versions of the software to provide correct service.
What Hardware do I need?
Due to Proof-of-Stake the hardware requirements for running a node are low. In theory, a Respberry Pi is powerful enough. However, you have to guarantee the uptime and you should be able to run the latest software.
How high are the Operational costs?
The operational costs depend on your hardware costs and the transaction costs on the Ethereum network which depend on the Ether price. We created a table with a monthly transaction cost overview.
As you can see the monthly costs are anywhere between USD 7 and USD 750 depending on the Ether price. The amount of traffic on the chain can further affect the cost.
What are the Operational risks?
We see the following risks for validators:
Slashing Risk - Submission of invalid blocks or submission of two blocks with the same height.
Market Risk - Low token market valuation or rising Ether gas prices consume validators' profits.
Centralization Risk - The creation of validator cartels is a central critique of the PoS design.
Regulatory Risk - Various laws affecting validators and/or users of the network.