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Validators, Their Selection and Rotation

Validators are special nodesA node is any computer that communicates with other nodes in the network using specific software. Essentially, nodes act as connection points for data transfers. The Tangle employs various node types, including full nodes (Hornet, Bee), permanodes (Chronicle), and smart contract nodes (Wasp). that issue validation blocksValidation Blocks is a special type of blocks that are issued by members of the Validator Committee. These block allows to reach consensus in the network. to enable the entire network to agree on the ledger's state and the set of blocks in the TangleA data structure based on a DAG used to store blocks and their relations. The Tangle is the core underlying data structure of IOTA.. Validators directly contribute to the progress of the ledger and its security, and in turn, they are rewarded with Mana. The primary responsibilities of validators include determining the inclusion of blocks in the TangleA data structure based on a DAG used to store blocks and their relations. The Tangle is the core underlying data structure of IOTA., validating transactions, resolving double spends, and finalizing slotTime interval of fixed duration. The protocol divides time into non-overlapping slots. For each slot, nodes generate a slot commitment which encapsulates all accepted blocks and transactions issued within this time interval. commitments.

IOTA 2.0 uses Delegated Proof-of-Stake (DPoS) to determine which validators secure the network. For each epochA specific time period during which a dedicated committee is responsible for driving consensus. Epoch consists of multiple slots., a committee selection procedure determines a subset of all available validators to carry out the consensusAgreement between nodes on the inclusion of blocks in the Tangle and validation of transactions. protocol during the epoch. The validators included in the subset are referred to as the committee members for the epoch.

The Role of Validators and Committees

Validators and committees bring several important properties to the IOTA 2.0 protocol:


Validators and committees prevent double spending and malicious manipulation of the consensus. Both validatorA validator is a participant in a Proof of Stake (PoS) network that stake their tokens in order to validate transactions and blocks and maintain the security of the DLT/blockchain. and non-validator nodes accept blocks and transactions approved by the committee and follow the slot commitment chainA chain created by a sequence of slot commitments. It is used to determine eligible blocks and finality. adopted by a majority of the committee.

Ledger Progress

The ledger needs to be not only secure but also live, i.e., transactions issued by honest participants must update the ledger in a timely manner. One of the main responsibilities of epoch committees is to approve blocks with transactions promptly, ensuring that the ledger progresses efficiently.

Efficient Consensus

The bounded size of a committee reduces the number of blocks required to reach an agreement in the network. Since the outcome of the IOTA 2.0 consensus protocol is solely based on the validation blocks, this allows for fast confirmationThe stages for a block (transaction) to be secured are Pre-Acceptance, Acceptance, Pre-Confirmation, Confirmation, and Slot Finalization. Pre-acceptance (pre-confirmation) requires approval by an online (total) supermajority of the validator committee. Acceptance (confirmation) requires approval by an online (total) supermajority of pre-accepted (pre-confirmed) blocks. Slot Finalization requires Confirmation of a block that includes the corresponding slot commitment. times and reasonable communication complexity.

Decentralized Democracy

There is no minimum stake requirement to become a validator in IOTA 2.0, allowing for easy participation by many nodes. In addition, users (more precisely, accounts) can also participate implicitly by delegating their stake to a trusted validator, increasing their chance of being elected to the committee. This promotes a more democratic and inclusive validation process.

Validator Registration and Committee Selection Process

To be included in the committee of an epoch ee in IOTA 2.0, a node must go through three steps:

  1. Registration.
  2. Activity.
  3. Selection.

The timeline of this process is depicted below (the actual duration of each period is not accurately depicted; instead, it depends on the value of the corresponding protocol parameters):

Timeline Image: An example of the timeline for the committee selection process.


To register as a validator for epoch ee, an actor has to issue a block with a transaction that mutates an account to add a corresponding stakingThe process of holding and locking cryptocurrency in a wallet to support the operations and security of a blockchain network. feature. Both block and transaction have to be issued before epochStart-epochSetupDuration-activityDuration, where epochStart is the beginning of epoch ee. The registration must provide the following information:

  • Account ID: A human-readable identifier of the actor.
  • Profit Margin: A fixed fraction of combined validator’s and delegators’ rewards that intends to be retained by the actor.
  • Fixed Cost: A fixed amount deducted to cover the validator’s operating costs.
  • Locked Funds (stake): A user-chosen amount of funds that will be locked.
  • Unbonding Time: A timestamp until the locked funds cannot be moved.

The registration is only considered successful when the registration block and the mutating transaction get accepted (i.e., approved by more than 2/32/3 of the current online committee) and committed to the respective slot commitment. You can set the unbonding time to "unlimited" (or a reasonably large timestamp), so you only need to register once.


In the activity period, defined as [epochStart-epochSetupDuration-activityDuration, epochStart-epochSetupDuration), an actor has to have at least one accepted block. This block can be of any type, e.g., it could be a validation block. All actors who have an accepted block within the activity period are called ee-preActive. Note that this step needs to be done before every epoch if a validator wants to participate in the committee.

Selection and Voting Weight

The stake of each validator is the sum of the locked funds and the delegated stake from other nodes. Let Si(e)=Li(e)+Di(e)S_i(e)=L_i(e)+D_i(e) denote the pool's stake of node ii for epoch ee, where Li(e)L_i(e) is the token value locked by node ii and Di(e)D_i(e) is the token value delegated to node ii. The value Si(e)S_i(e) is fixed at the slot that ends at epochStart-epochSetupDuration. The stake vector of all ee-preActive validators is considered, i.e. S(e)=(Sj(e))j is e-preActive\mathbf{S}(e)=(S_j(e))|_{j \ \text{is }e\text{-preActive}}.

Then, the next committee is formed by taking committeeTotalSeats validators who have the largest stake in S(e)\mathbf{S}(e). When deciding between equal stakeholders, ties are broken deterministically by using a hash function. The voting weight of all selected committee members is equal to 11.

The selected committee will become the actual committee for epoch ee only if the slot that ends epochStart-epochSetupDuration (slot ss in the image) is finalized during epoch e1e-1. Otherwise, the committee of epoch e1e-1 becomes the committee of epoch ee. The committee is naturally incentivized to finalize that slot since the rewards will not be paid for the following epochs and the locked funds remain locked until finalizationThe irreversible operation where blocks receive sufficient approval and consensus, ensuring their permanence. happens.

Therefore, committees evolve across epochs due to changes in the delegationThe process of token holders entrusting their delegated stake to a validator to act on their behalf and get rewarded with Mana. of stake and the set of active validators.

Upcoming Updates

The committee selection procedure will be changed in one of the next upgrades. Eventually, it will be based on a random lottery, where a stakeholder is selected for the committee with a probability that depends on the stake in the corresponding pool.

Responsibilities and Actions of Validators

The main responsibility of validators is to issue validation blocks. The congestion control component of the protocol ensures that the members of an epoch committee have a guaranteed throughputThe rate or capacity at which transactions or data can be processed or transmitted within a given timeframe by the network. allowance without burning any ManaA reward resource generated by holding IOTA tokens. It is utilized for block issuance, access to network throughput, and protecting against Sybil attacks. during the epoch. To provide high-quality service, validation blocks should satisfy certain properties:

Regular Block Issuance

The timestamp difference between two consecutive validation blocks by a given committee member should be at most frequencyValidationBlock seconds. The rewards for validators are distributed according to their performance factors, which are computed per slot and take into account the number of accepted blocks and the expected number of validation blocks per slot.

Proper Referencing

Since only validation blocks are important for the consensusAgreement between nodes on the inclusion of blocks in the Tangle and validation of transactions. for IOTA 2.0, epoch committee members use a tip selection algorithm with an increased number of parentsA message can directly reference up to 8 preceding messages, known as its parents. In IOTA 2.0, a parent might be either strong or weak (see approval switch).:

  • Uniform tip selectionThe process of selecting previous transactions to reference in a new transaction. These references allow a transaction to tie into the existing data structure. IOTA and Shimmer only enforce that a transaction approves up to eight other transactions, the tip selection strategy is left to the user (with a suitable default provided by Shimmer). algorithm: committee members should select uniformly at random blockTypeValidatorMaxParent eligible blocks in their tip poolCollection of blocks selected by the node for potential selection as a parent. as strong parents.

Correct Voting

The opinion that a validation block expresses through different references should be aligned with the preferred reality of the block issuer. For instance, the block should not represent a vote for two transactions that are conflicting with each other. In the latter case, the vote of the issuer is not counted in the consensus protocol.

Regular Committing to Slots

Committee members should commit to a slot once the slot becomes committable. This ensures that the slot commitment chain is consistently updated and finalization functions properly.

Rewards and Incentives

Well-performing validators are eligible for Mana rewards. Let R(s)R(s) denote the target reward for a slot ss in epoch ee. The rewards Ri(s)R_i(s) to an epoch-ee committee member ii for slot ss are calculated as follows

Ri(s)=R(s)1+α(Li(e)+Di(e)L(e)+D(e)+αLi(e)L(e))φi,R_i(s) = \dfrac{R(s)}{1+\alpha}\left(\dfrac{L_i(e) + D_{i}(e)}{L(e) + D(e)}+\alpha \dfrac{L_i(e)}{L(e)}\right)\varphi_i,


  • φi[0,1]\varphi_i\in [0,1] is the "performance factor", which measures the quality of validator ii's services at slot ss;
  • Li(e)L_i(e) and Di(e)D_i(e) are the token value locked by committee member ii and delegated to committee member ii for epoch ee;
  • L(e)L(e) and D(e)D(e) are the token value locked by the whole committee and delegated to all committee members for epoch ee;
  • α>0\alpha>0 is a global parameter specified by the protocol.

Since the parameter α>0\alpha>0, the reward distribution privileges pools with a larger locked stake.

After epoch ee ends, the delegators of the validator's pool can claim their Mana rewards. The validator may continue to stake or end its stake by going through an unbonding period of its locked tokens. After this period ends, the validator can unlock their tokens and claim their Mana rewards by creating a transaction that consumes the original output that was staked and includes the Mana on the output side of the transaction.


More details about Mana rewards and incentives can be found in Tokenomics: Mana, Accounts, Staking and Delegation

Handling Misbehavior and Adversarial Validators

In general, the consensus protocol in IOTA 2.0 handles adversarial validatorsValidators whose actions deviate from the protocol. with at most 1/31/3 of the total voting weight, where adversarial actors can misbehave. Here are some examples of adversarial misbehavior and how the protocol can handle them:

Censoring Valid Blocks

An adversarial committee member could censor a valid block by not referencing it. However, honest validators will still reference these valid blocks. That means that to successfully censor a valid block, the adversarial validator would need to avoid all blocks built on top of the censored block. Eventually, this will result in the adversarial node's blocks being isolated and orphaned.

Stop Issuing Blocks

Adversarial validatorsValidators whose actions deviate from the protocol. can stop issuing validation blocks. In this case, the TangleA data structure based on a DAG used to store blocks and their relations. The Tangle is the core underlying data structure of IOTA. and the ledger will not stop growing since block and transaction acceptance requires only approval from the "online" committee. In addition, validators, who didn't issue validation blocks regularly, will get fewer rewards, if any.

Manipulation With Slot Commitment Chains

Many competing chains

It is easy for the adversary to create many competing slot commitment chains. Recall that by the consensus protocol, honest nodes prefer the heaviest chain with the most recent finalized commitment. Honest nodes will simply ignore blocks with unfamiliar commitments lacking sufficient support.

Incorrect extension of the chain

Suppose the adversary produces a slot commitment prematurely (e.g., not all conflicting transactionsTransactions that consume the same UTXO. within the slot are resolved). In that case, the honest committee members will keep the corresponding block in the waiting tipA block that is not referenced by any other block in the node"s local perception. pool to verify its accuracy once the respected slot becomes committable. Blocks with incorrect slot commitments will ultimately be discarded from the tipA block that is not referenced by any other block in the node"s local perception. pool.