P8-commentary.txt

                      Protocol update commentary

Protocol Version: 8
Builds on Protocol Version: 7

Protocol version 8 adds support for suspending inactive validators. Inactive
validators degrade the performance and reliability of the blockchain, and
it is therefore desirable to exclude them where possible.

The protocol for suspending validators requires them to miss producing blocks
multiple times in succession. This avoids overly penalising low-stakes
validators that may seldom have chances to produce blocks and may not be
included in the finalization committee. Such validators have few opportunities
to redeem themselves in the event of accidentally missing a single round, so
requiring multiple missed rounds should prevent unfairly suspending them.

A suspended validator can be resumed manually by sending a transaction to do
so. A suspended validator will always be suspended for at least one epoch, but
otherwise incurs no specific penalty. Any accounts that delegate stake to a
suspended validator will remain delegating to it (unless they update their
delegation).

Suspending inactive validators is intended to protect against validators that
are inactive as a result of accident or carelessness; it does not protect
against malicious validators.

Note that it is impossible for more than one third of the stake to be
automatically suspended simultaneously. This is because if more than one third
of the stake was inactive, then the blockchain would halt.