Slashing Penalty

A penalty mechanism used in proof-of-stake (PoS) blockchain networks to punish validators who act maliciously or negligently, jeopardizing the network's security. It involves the loss of a portion of a validator's staked cryptocurrency tokens as a consequence of violating the protocol rules.

What You Need To Know

Slashing is an integral part of Proof-of-Stake blockchain networks, ensuring security, reliability, and alignment between validators' incentives and the network's goals. While it serves as an effective deterrent against malicious behavior, it also requires careful implementation to avoid penalizing honest participants unfairly due to technical issues or misjudgments.