Auction

For every epoch, there are going to be a limited number of Validator slots (42 in Portal Network). Any potential Validator interested in participating needs to win the slot in the Auction by participating in the bidding process. Auction process starts every epoch and continues during the entire epoch period till the end of epoch. At the end of the current epoch, all highest bidders (who staked more $XPORT tokens) will win the 42 slots. After winning, Validators need to participate in the keygen ceremony and are selected as Active Validator set for the next Epoch. The existing Validator set transfers their keys to the current Active Validator Set chosen.

Validators participating in bids commit their $XPORT tokens for the auction's entirety and are restricted from shifting their status to Inactive (no current stake). Inactive Validators lacking a current bond retain the ability to withdraw funds as usual but can switch their status to bidding during the ongoing auction.