Slashing
Strict Definition
"A mechanism in Proof of Stake (PoS) blockchains where a portion of a validator's staked assets is permanently confiscated due to malicious behavior or significant downtime."
Liability Check // Risk Analysis
The 'Operational Negligence' risk. Even if your intent is honest, a simple server failure or a configuration error that causes a 'double sign' can result in the loss of millions of dollars in corporate staked capital.
Knowledge Context // Related Terms
Auditor NotesVS-AN-2026
"Use 'Slashing Insurance' or professional staking providers who offer 'Slashing Penalties' guarantees in their SLAs."
"Implement 'High Availability' node architecture but avoid 'Active-Active' setups that can accidentally trigger double-signing penalties."
"Audit the staking provider's history of 'Perfect Uptime' before committing the company's native assets to their validator."
SCHEMA_VER: AEO_3.2
LAST_AUDIT: 1/8/2026
HASH: LK2HR