Blockchain & Cryptocurrency Glossary

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Delegator

1 min read
Pronunciation
[di-le-gay-tur]
Analogy
A delegator is like a shareholder who elects a board of directors to make decisions with their voting rights.
Definition
A token holder in delegated Proof-of-Stake who assigns their stake to a validator or pool, entrusting them to participate in consensus on their behalf.
Key Points Intro
Delegators secure networks by:
Key Points

Stake delegation: Lock tokens under a validator’s control.

Passive earning: Receive a share of the validator’s rewards.

Governance voting: Delegate voting power in on‑chain governance.

Slashing risk: Inherit penalties from validator misbehavior.

Example
In Tezos, delegators assign XTZ to bakers (validators) and earn ~5% annual yield without running a node themselves.
Technical Deep Dive
Delegation is recorded on-chain via a delegation operation referencing validator addresses. The consensus algorithm includes delegated stake when selecting block proposers. Reward smart contracts distribute block and endorsement rewards automatically to delegators after each cycle.
Security Warning
Delegating to unreliable validators can result in missed rewards or slashing; choose high-uptime operators.
Caveat
Delegators relinquish direct control; validator commission rates and performance affect net returns.
Related Terms
Validator
Nominator
Staking Pool
Slashing

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