Can someone explain why for example on January 28th, 6 new validator nodes were setup all within a span of an hour? 26th 8 new ones, 2 unstaked. I am just trying to understand what the team is doing consolidating so many validator nodes and what those PRV are used for? I don’t think they are providing liquidity, maybe they are but I can’t see how if people want to change BTC to XMR for example…
that’s a lot of PRV in house
Most likely it is vNodes being created from the PRV collected in the Pool v2.
Earnings from these vNodes will go back to the pool to cover reward %.
This is purely speculation of course. Based on patterns and behavior I’ve observed during similar events.
Anyone from the core team please correct me if I’m wrong.
Don’t forget those physical Nodes from normal users, too.
They may set up the Node at a different time of the day. But the funded staking is activated for them at the same time by the team.
Ya, of course I haven’t forgotten community run nodes and Vnodes…
Is there a cap to the number of validators? Main interest was understanding what impact validator nodes have on growing liquidity…and if 2700 nodes makes sense depending on how decentralized they are VS less nodes and a larger liquidity pool?
Thanks for the replies…
Node, either pNode, or vNode, secure the network, make it more stable, and if owned/run by different people in different locations, helps to decentralize the network. That is all they do.
The Provide feature, helps to provide liquidity for trading pairs on pDEX. Provide comes with a reward, this reward needs to be earned somewhere. The funds that are provided by users using the Provide feature are used by the team to run some Nodes (to be able to pay the rewards) and to provide liquidity to trading pairs.
Some people are also unstaking and restaking to get all their accounts(/keychains) covered by the master seed phrase.