Validate vs. Delegate

Validation​

Validation in the context of staking refers to the act of running a node on the blockchain network to validate transactions and secure the network.

• Stake Requirement: To become a validator on the Avalanche network, one must stake a minimum amount of 2,000 AVAX tokens on the Mainnet (1 AVAX on the Fuji Testnet).
• Process: Validators participate in achieving consensus by repeatedly sampling other validators. The probability of being sampled is proportional to the validator's stake, meaning the more tokens a validator stakes, the more influential they are in the consensus process.
• Rewards: Validators are eligible to receive rewards for their efforts in securing the network. To receive rewards, a validator must be online and responsive for more than 80% of their validation period.

Delegation​

Delegation allows token holders who do not wish to run their own validator node to still participate in staking by "delegating" their tokens to an existing validator node.

• Stake Requirement: To delegate on the Avalanche network, a minimum of 25 AVAX tokens is required on the Mainnet (1 AVAX on the Fuji Testnet).
• Process: Delegators choose a specific validator node to delegate their tokens to, trusting that the validator will behave correctly and help secure the network on their behalf.
• Rewards: Delegators are also eligible to receive rewards for their stake. The validator they delegate to shares a portion of the reward with them, according to the validator's delegation fee rate.

Key Differences​

• Responsibilities: Validators actively run a node, validate transactions, and actively participate in securing the network. Delegators, on the other hand, do not run a node themselves but entrust their tokens to a validator to participate on their behalf.
• Stake Requirement: Validators have a higher minimum stake requirement compared to delegators, as they take on more responsibility in the network.
• Rewards Distribution: Validators receive rewards directly for their validation efforts. Delegators receive rewards indirectly through the validator they delegate to, sharing a portion of the validator's reward.

In summary, validation involves actively participating in securing the network by running a node, while delegation allows token holders to participate passively by trusting their stake to a chosen validator. Both validators and delegators can earn rewards, but validators have higher stakes and more direct involvement in the Avalanche network.