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Validator FAQ

Answers to the most frequently asked questions from validators, based on real conversations during onboarding.

How much stake will I receive?

Delegation depends on the validator's revenue contribution relative to all other validators, calculated each epoch by the Stake Allocation Mechanism. There is no fixed amount - it scales with priority fee volume, MEV rewards, and donation rate compared to the rest of the validator set.

Use the Revenue Calculator to model different scenarios. Past performance does not guarantee future results - estimates depend on network conditions and the competitive landscape.

See Estimated Stake Allocation for the full formula and worked examples.

Is this approved by the Monad Foundation?

Yes. The Monad Foundation has confirmed that use of the FastLane Sidecar, in its current form, does not violate the Validator Delegation Program (VDP) guidelines. Category Labs has integrated the MEV protocol directly into the official monad-bft client.

Running the MEV sidecar does not affect eligibility for foundation delegation. See the Monad Foundation's announcement in the Monad Node Announcements Telegram channel for the full statement.

What happens to my earnings with the coinbase contract?

The coinbase contract automatically distributes funds each epoch (~4-5.5 hours):

  • Validator Commission → sent to the validator's wallet
  • Donation (optional) → boosts shMON APR
  • Remainder → distributed to shMON stakers

No manual claiming is needed. See How Your Earnings Work for the full breakdown.

What is the donation rate and what should I set?

The donation rate is an optional percentage of priority fee revenue that the validator contributes to boost shMON's APR. In return, the Stake Allocation Mechanism directs more stake to that validator.

Recommended starting values:

  • Commission: 10% (1e17)
  • Donation: 0-5% (0 to 5e16)

Higher donation → higher APR for shMON holders → more stake allocated to the validator → more total revenue (despite the donation). See Donation Rate for a worked example.

How much MEV revenue will the sidecar generate?

MEV revenue depends on network activity, searcher competition, and the volume of MEV opportunities in blocks the validator produces. There is no guaranteed amount.

Validators who run the sidecar will earn MEV rewards from searcher bundles that land in their blocks. Without the sidecar, MEV rewards can still be received if a searcher's auction handler transaction happens to be included in one of the validator's blocks, but revenue will be significantly lower.

Use the Revenue Calculator for estimates based on current network conditions.

What commission rate should I set?

Commission rates are independent for priority fees and MEV rewards. Most validators start with 10% for both.

Key considerations:

  • Commission is taken before the remainder is distributed to shMON stakers
  • Higher commission means more direct revenue but potentially less stake allocation (since less goes to stakers)
  • Rates can be adjusted at any time via the coinbase contract

See Validator-Configured Parameters for all configurable rates.

Is the sidecar audited / open source?

The sidecar is source-available (not open source). The code can be reviewed at github.com/FastLane-Labs/fastlane-sidecar.

The sidecar runs as a separate process alongside monad-bft. If it crashes or is stopped, the validator continues operating normally with no impact to consensus participation. It does not modify consensus behavior.

To remove the sidecar: sudo systemctl stop fastlane-sidecar && sudo systemctl disable fastlane-sidecar.

What is fullnode_dedicated.identities for?

The fullnode_dedicated.identities section in node.toml configures which fullnodes are authorized to send MEV transaction bundles to the validator. FastLane's fullnode public keys are added so the sidecar can route MEV bundles to the node.

caution

If node.toml already has an empty assignment like [fullnode_dedicated] identities = [], it must be removed or commented out before adding the entries below. The TOML array-of-tables syntax ([[fullnode_dedicated.identities]]) is different from the empty inline assignment.

The specific pubkey values are provided during onboarding. See Configure Dedicated Fullnodes for the full setup.

When do rewards appear? Do I need to claim?

No manual claiming is needed. Rewards are distributed automatically at each epoch rollover (~4-5.5 hours). After updating the beneficiary address to the coinbase contract, the first rewards will appear at the next epoch change.

Rewards can be verified by checking:

  • The commission recipient wallet for commission payments
  • The coinbase contract's transaction history on a block explorer
  • The sidecar health endpoint: curl http://localhost:8765/health | jq

What minimum monad-bft version is needed?

The MEV Sidecar requires monad-bft v0.12.6 or later. If running an older version, the sidecar will connect but tx_received will remain at 0.

Check the version and upgrade before installing the sidecar. See MEV Sidecar Installation for the full setup guide.