Delegators: The Backbone of Validators
Proof-of-Stake blockchains depend on validators to process transactions, create new blocks, and secure the network. Running a validator node, however, requires technical skill, reliable hardware, and uninterrupted uptime. As a result, most users choose to participate through staking delegation instead of operating a node themselves. During this process, they delegate their tokens to a trusted validator, who handles the technical responsibilities, and they receive rewards and contribute to the network.
In this article, we explain what a delegator is, how the delegation process works, how it differs from operating a validator, and what users should consider when choosing a validator.
What Is a Delegator in Staking?
A delegator is a token holder who contributes to a Proof-of-Stake network by assigning their stake to a validator. This lets users support the blockchain’s operation and earn rewards without setting up or maintaining their own infrastructure.
When a user delegates, their tokens are combined with those from other delegators. The validator then uses this collective stake to participate in consensus. This includes creating blocks, verifying transactions, and helping maintain the chain's health. Rewards generated through this activity are shared among delegators based on their share of the total stake.
Importantly, delegators never transfer ownership of their tokens. Assets remain securely in the delegator’s wallet and are locked only by the protocol. The delegator’s role is simply to grant the validator temporary authority to use their stake for voting power.
This model makes Proof-of-Stake networks accessible to a broad audience and helps keep control distributed across many participants.
How Staking Delegation Works
Although individual blockchains may differ in implementation, the delegation flow generally follows the same steps.
Choosing a validator
A delegator starts by selecting a validator. This is a significant decision because performance and rewards depend heavily on the validator’s reliability. Factors such as uptime, security, and reputation play an important role.
Delegating tokens
Once a validator is chosen, the delegator uses a wallet or staking interface to lock their tokens. The tokens do not leave the delegator’s wallet. They are simply flagged as delegated to signal participation in consensus.
Earning rewards
Validators generate rewards through block production and verification. These rewards are then distributed among all delegators after subtracting the validator’s commission fee.
Redelegating or undelegating
Delegators can switch to another validator at any time, or they can choose to undelegate. Undelegation usually triggers an unbonding period. During this time, tokens cannot earn rewards or be transferred.
Delegation offers a simple way for users to support the network while avoiding the operational demands of running a validator node.
What Are Staking Pools
A staking pool brings together stakes from many users and delegates it as one combined amount. This gives the pool greater influence within the network’s consensus process and helps produce more predictable rewards, especially for users with smaller token amounts.
Here is how a typical staking pool operates:
Users delegate their tokens through the pool →
The pool aggregates all contributions into a single large stake →
The validator associated with the pool participates in consensus →
Rewards are earned by the pool and then distributed proportionally →
The pool operator takes a small fee to cover operational costs.
Staking pools reduce barriers to entry and make staking more efficient for users who want to participate without committing large amounts of tokens.
Delegator vs Validator: Understanding the Difference
Although delegators and validators both contribute to a Proof-of-Stake network, their responsibilities and levels of involvement differ.
Validators:
- Run and maintain the node
- Ensure continuous uptime
- Manage hardware and software
- Secure the network with their own stake and operational commitment
- Take on risks such as slashing for downtime or misbehavior
Delegators:
- Choose a validator to support
- Lock tokens without transferring custody
- Earn rewards for contributing to the network’s security
- Take on indirect risk if the selected validator behaves poorly
Both roles are essential. Validators operate the network. Delegators provide the voting power that allows validators to participate in consensus. Together, they create a decentralized, secure ecosystem.
Benefits and Risks of Being a Delegator
Delegating is one of the most accessible ways to participate in blockchain networks, but users should understand both the advantages and responsibilities.
Benefits
No technical or operational overhead
Running a validator requires 24/7 uptime, secure key management, and immediate incident response. Delegators skip all of this. They participate in the network with zero operational burden, making staking accessible to anyone.
Automatic, compounding rewards
Validators earn rewards each time they propose or validate blocks. Delegators receive these rewards automatically and proportionally. On many chains, rewards compound over time, increasing the effective annual yield.
Ability to optimize by switching validators
Most networks allow users to redelegate their stake from one validator to another without waiting for an unbonding period. This gives delegators the flexibility to choose better performers, lower fees, or more trusted operators as the network evolves.
Non-custodial by design
Delegators never give validators their private keys. The validator only has the right to represent the stake in consensus, not the ability to move or access tokens. This protects delegators from custody risk and centralized control.
Risks
Impact of validator reliability
Validators with poor uptime or unstable infrastructure cause missed rewards for everyone delegating to them. Even short periods of downtime can have a noticeable impact, especially on high-throughput chains.
Slashing penalties on some networks
Networks even punish serious validator mistakes. Double signing or extended offline periods can result in a portion of the validator’s stake being slashed. Delegators share this loss proportionally, making validator selection critical.
Locked capital during staking
Delegated tokens are locked until undelegated. After undelegation, they enter an unbonding phase during which they are inactive and cannot earn rewards or be transferred. This limits liquidity and requires planning.
Evolving reward structures
Proof-of-stake networks often adjust inflation, reward distribution, and commission settings. These changes can increase or decrease a delegator’s returns. Staying active and reviewing validator performance remains important.
How to Choose a Reliable Validator
Selecting the right validator is the most important step in staking delegation. Here are the key factors to consider:
Reputation and history
Consistency of uptime, past performance, and community trust matter most.
Commission rate
Lower fees can increase rewards, but the cheapest validator is not always the best. Long-term stability is more valuable than a slight commission difference.
Security practices
Look for validators that prioritize real infrastructure, proper key management, and transparent operational procedures.
Community engagement
Strong validators communicate clearly, share updates, and maintain an active presence within the ecosystem.
Choosing a trustworthy validator leads to consistent rewards and fewer risks over time.
The State of Delegation Today
Delegation continues to evolve as Proof-of-Stake ecosystems grow. Token holders today expect more from validators: better transparency, stronger security, and higher reliability. Meanwhile, new technologies are making delegation even more accessible, allowing users to support multiple networks through a single trusted operator.
Despite these advancements, the core principle stays the same. Delegation thrives when validators maintain high standards and delegators make informed choices.
Stake with Node.Monster
At Node.Monster, we operate a reliable validator infrastructure across multiple networks. Our team maintains 99.99% uptime using a combination of distributed bare-metal and cloud systems. We use secure key management frameworks, including HSM and MPC, to protect delegators and ensure consistent operation.
We currently support networks such as Ether.fi, Axelar, SubQuery, and others that trust our team to run performant, secure, and transparent validator setups.
If you are looking for a professional validator operator or want guidance on delegation, our team is always available to help.
