The SX Network v1 consensus mechanism
SX Network will use a proof-of-authority (PoA) consensus mechanism for securing itself upon network inception, and will transition to a proof-of-stake (PoS) over time. Validators are chosen through an on-chain governance system in which voting power is determined by staked SX.
In order to submit a proposal to be nominated as a validator, validators must have 500,000 SX staked already. Each address with 500,000 staked SX can only host one validator node; anyone looking to host two validator nodes would therefore need two separate addresses each with 500,000 SX staked in each.
Validators are responsible for creating blocks, validating the created blocks of other nodes, and finalizing blocks when 2/3 validators have agreed that a block should be confirmed. For their service, validators earn transaction fees paid by users of SX chain in addition to any governance approved SX validator rewards.