A delegator is a user or organization that participates in staking by assigning economic weight to a selected validator. A delegator does not necessarily need to operate a validator node: the validator performs the technical duties while the delegated assets are included in the network's consensus rules.

Delegation does not necessarily mean transferring ownership of the coins to the validator. In many PoS networks, the delegator retains control of the relevant account and can perform protocol-supported operations. However, the assets may become subject to staking conditions, including an unbonding period and restrictions on immediate transfers.

How delegation works

  1. the delegator selects a validator;
  2. the delegator chooses the amount to delegate;
  3. the user signs the relevant transaction;
  4. the protocol includes the delegated stake in its consensus rules;
  5. rewards are distributed when protocol conditions are met;
  6. a validator commission may be deducted from rewards.

The delegator also takes some of the risks associated with the selected validator. In networks where penalties apply to delegated stake, validator behavior can have financial consequences for delegators.