Missed Block Penalty
A Missed Block Penalty is a specific economic sanction applied to a validator who fails to produce a block when it is their turn in the rotation. This penalty is designed to ensure that the network remains performant and that validators are held accountable for their infrastructure reliability.
If a node consistently fails to fulfill its duties, the protocol may eventually eject it from the active validator set. This mechanism prevents the network from slowing down due to unresponsive nodes.
It acts as a performance incentive that forces operators to invest in robust and redundant hardware. Over time, these penalties help maintain a high-quality validator set that is capable of supporting the network's throughput requirements.