Neutron network operators maintain critical infrastructure including validators, oracles, relayers, and API/RPC nodes. Following the Mercury upgrade in April 2025, Neutron transitioned to a fully sovereign network with expanded opportunities for network participation.

DAO-Driven Rewards

Unlike traditional networks, Neutron rewards validators directly from the DAO treasury rather than through inflation.

DAO-Curated Validator Set

The Neutron DAO maintains a curated set of 20 validators, selected based on performance metrics and technical capabilities.

Performance-Based Compensation

Validators receive stable monthly compensation based on their performance in block signing and oracle services.

High Performance

The Mercury upgrade significantly improved network performance, reducing latency to ~100ms and increasing throughput by 11x.

Neutron’s Validator Model

Neutron’s validator model differs fundamentally from traditional Proof of Stake networks:

Fixed Supply

No inflation-based block rewards, preserving NTRN’s fixed supply economics

DAO Treasury

All rewards paid directly from the DAO treasury instead of inflation

No Slashing

Uses jailing and rotation instead of traditional slashing mechanisms

Base Compensation

$3,000/month for validators meeting performance requirements

Performance Requirements

Validators operate under strict performance criteria, with rewards tied directly to maintaining high-quality service:
Performance CriterionMinimum ThresholdFull Reward Threshold
Block Signing95%99.5%
Oracle Price Updates95%98%
Validators who fail to meet minimum thresholds for two consecutive months or three months in a six-month period may be rotated out of the active set by the Neutron DAO.

Technical Requirements

Validator Hardware Specifications

These specifications are for validator operations. If you only want to run a standard RPC node, the requirements are significantly lower. See Running a Node for lighter hardware requirements.

CPU

Minimum: 16+ cores
Recommended: AMD Ryzen 9 7950X3D or EPYC 4584PX for optimal single-thread performance

RAM

Minimum: 64 GB
Recommended: 128 GB+ for optimal performance

Storage

Minimum: 2 TB NVMe SSD
Recommended: 4 TB+ with ≥10,000 IOPS and ≥500 MB/s sustained read/write

Network

Minimum: 1 Gbps dedicated connection
Recommended: Less than 50ms latency to major peers with DDoS protection

Infrastructure Requirements

Dual Network Operation

Must run both mainnet and testnet nodes with proven reliability

Security Architecture

Sentry node architecture with HSM key management and comprehensive monitoring

Oracle Infrastructure

Slinky sidecar process for price oracle data with reliable uptime and connectivity

Operational Excellence

24/7 monitoring, automated alerting, and documented disaster recovery procedures

Validator Selection & Rotation

Selection Process

When validator slots become available:
  1. Eligibility: Must operate both mainnet and testnet nodes
  2. Prioritization: Operators prioritized by reverse order of voting power (encouraging decentralization)
  3. Probation: 3-month trial period with limited delegation
  4. Full Status: Receive full DAO delegation after successful probation

Rotation Framework

Validators may be rotated out for:
  • Performance Issues: No rewards for 2 consecutive months or 3 months in 6-month period
  • Upgrade Delays: Failure to resume signing within 60 minutes of upgrade or begin precommitting within 2 hours of instructions
  • Tombstoning: Double-signing or critical security issues

Mercury Upgrade

The Mercury upgrade in April 2025 marked a pivotal transition for Neutron, moving from Interchain Security (ICS) to a fully sovereign network. This enabled:
  • Native NTRN staking with fixed supply tokenomics
  • Performance improvements with reduced latency (~100ms) and increased throughput
  • Better stability for the High Frequency Oracle and other infrastructure
  • Faster upgrades and incident response capabilities

Operator Types

Neutron supports various types of network operators:

Validators

Secure the network through consensus participation and block validation

Oracles

Provide critical price feed data for DeFi protocols

IBC Relayers

Enable cross-chain communication and asset transfers

ICQ Relayers

Facilitate interchain queries for smart contracts

Documentation Sections