Hey everyone,
Following the recent referendum #1307 on setting a 5% minimum validator commission fee, I wanted to reopen the discussion and get more community input on a potential compromise.
The referendum was close — 51.8% AYE vs. 48.2% NAY — which shows how divided opinions are on the matter. Many valid arguments were made both for and against the proposal:
✅ For a minimum commission
• Helps smaller and independent validators remain viable.
• Prevents a "race to the bottom" that benefits only the largest operators.
• Aligns with Kusama’s approach, ensuring long-term network sustainability.
• Increased hardware costs and the recent inflation reduction make low commissions unsustainable.
• ...
❌ Against a minimum commission
• Limits free market competition, where validators should set their own fees.
• Forces nominators to pay higher commissions, reducing staking returns.
• Higher DOT prices in the future could naturally resolve the issue.
• ...
While I personally supported the proposal, I do feel that 5% might be a bit too high. What if we considered a lower threshold — say, 3% minimum commission instead? This could help balance sustainability for validators while still keeping staking attractive for nominators.