5.5.3 Staking for Guardian Nodes

Securing the Privacy Mesh while earning rewards.

The Privacy Mesh & Secure Relay Network (Section 4.4) relies on Guardian Nodes — distributed relays that route traffic, enforce anonymity, and neutralize threats in real time.

To operate a Guardian Node, participants must stake $VEILNET tokens as collateral.

  • Staking prevents malicious actors from compromising the relay network, as dishonest behavior risks forfeiture.

  • Guardian Node operators earn rewards from transaction fees and relay incentives, paid in ETH or stablecoins, making participation highly attractive.

  • This staking model transforms $VEILNET into a security backbone, ensuring that network integrity is directly tied to token utility.

Thus, $VEILNET staking aligns economic incentives with network security, decentralizing and scaling the infrastructure.

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