Crypto: Solana Validator Count Drops 68% As Node Costs Squeeze Small Operators

Solana’s validator count has dropped 68% since 2023 as rising costs and zero-fee competition push smaller node operators offline.

Solana’s validator count has fallen dramatically over the past three years, raising concerns about the blockchain network’s decentralization as the economics of running a node squeezes out smaller operators.

The number of Solana validators fell 68% to 795 as of Wednesday, from a peak of 2,560 validator nodes in March 2023, according to Solanacompass data.

Validators are responsible for adding new blocks and verifying transactions in proposed blocks, playing a vital role in the operations of the decentralized ledger.

While some of the decline reflects the removal of inactive or “zombie” nodes, industry participants say increasing operating costs and fee competition are forcing smaller validators offline.

An independent Solana validator operator who posts under the name Moo said on X that many small validators are considering shutting down because the economics no longer make sense.

“Many small validators are actively considering shutting down (including us). Not due to lack of belief in Solana, but because the economics no longer work.”

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Moo said large validators charging 0% fees are forcing smaller validators out of profit, making it economically unviable to continue running a node.

“We started validating to support decentralization. But without economic viability, decentralization becomes charity,” Moo said.

Source: CoinTelegraph