August 28, 2021
SKALE Network Validator Decentralization Program
SKALE is currently one of the most decentralized Proof of Stake Networks in the world. At the time of this post, there is over $1BN USD value staked in the SKALE Network to over 150 Nodes run by 46 validator orgs. Read more.
This is an amazing value proposition for SKALE and for Dapp developers. Security and collusion resistance does not only come from great cryptography, but also great decentralization of node operators that have strong incentives to be good actors.
The SKALE community is proud of the current state of the network and is working to become even more decentralized. As a part of this effort, an additional locked 100M SKL tokens will be allocated from the Foundation Treasury pool and will be used exclusively for staking to smaller validator operators. One feature of the SKL ERC-777 token is that it can be staked while being in a locked state which then does not impact circulating supply or market cap numbers. This action will be initiated over the weekend via smart contracts and a decentralized multi-sig wallet held by validators, delegators/stakers, independent engineers, core team engineering, and the Foundation.
These tokens have been accounted for in the Foundation Treasury which has been detailed in many publications including this prior blog post last January as part of the 550M additional SKL treasury tokens which are under a 7 year vesting period. Read more here.
These tokens will be locked for 6 years and will not impact circulating supply. This will also have no impact on the supply unlock schedule detailed here. The lock schedule is enforced by smart contracts on the Ethereum Mainnet and again will have zero impact on circulating supply for the next 6 years. They will also not impact Max Supply, as that number is fixed perpetually.
Strong decentralized networks have validators of all sizes and geographies. We are excited to announce the new validators that will be joining the network via this program. This creates an even more compelling value proposition for developers building in NFT, DeFi, Web3.
Stay tuned for more updates.