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 Criterion | Minimum Threshold | Full Reward Threshold |
---|---|---|
Block Signing | 95% | 99.5% |
Oracle Price Updates | 95% | 98% |
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
Recommended: AMD Ryzen 9 7950X3D or EPYC 4584PX for optimal single-thread performance
RAM
Minimum: 64 GB
Recommended: 128 GB+ for optimal performance
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
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
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:- Eligibility: Must operate both mainnet and testnet nodes
- Prioritization: Operators prioritized by reverse order of voting power (encouraging decentralization)
- Probation: 3-month trial period with limited delegation
- 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
Running a Node
Complete setup instructions for running a Neutron node
Oracle Setup
Configure the Slinky price oracle service
Becoming a Validator
Steps to join the Neutron validator set
IBC Relayer
Set up IBC relaying between Neutron and other chains
ICQ Relayer
Run interchain query relayer infrastructure
Operator Economics
Learn about the unique economic model and incentives