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Decision

Three slashable offenses with concrete on-chain evidence paths:
  1. Phantom announcement — claimed availability, failed to deliver.
  2. Rate manipulation — charged a rate different from the advertised rate.
  3. Blacklist violation — served a blacklisted hash after the compliance window.
A unified on-chain judge adjudicates all three synchronously and triggers the bond reduction immediately upon verification — there is no in-protocol counter-evidence window, because each offense rests on cryptographically dispositive signed evidence. The reduced bond is then held in escrow pending a post-slash appeal (below), not distributed on the spot.

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Evidence staleness

Evidence has a maximum age, set strictly below the unbonding period — so an accused cannot deregister and withdraw before being slashable.

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Escrow and appeals

The bond reduction is immediate, but the slashed TOKEN sits in CapacityBond escrow rather than being paid out at slash time. The slashed operator — and only the operator — may file an operational-failure appeal within 30 days (e.g. a genuine network outage, NTP drift, or hosting incident prevented compliance), posting a TOKEN appeal bond. The emergency multisig fast-tracks or rejects within a fixed window; the Governor then grants or upholds. A granted appeal refunds the full escrowed bond to the operator; a failed appeal distributes the escrow like an unappealed slash. The lifetime offense counter is unchanged either way — an appeal restitutes capital, not standing.

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Challenger incentives

Submitting evidence requires a 100 TOKEN bond. A challenge that fails on-chain verification simply reverts — the challenger only loses gas, and the bond is not transferred. A challenge that passes always slashes the node and the bond is returned. At finality (≤ 30 days with no appeal, later if one is filed) the escrowed bond is split 50% to the challenger / 50% burned, unless the operator’s appeal is granted, in which case the operator is refunded and no challenger reward is paid.