Security Best Practices for Self-Hosted Validators
Despite the apparent benefits of running a self-hosted validator node, it also exposes you to certain security risks. Hence, while stakers can enjoy complete control over staking operations, they must also put in place significant security measures to eliminate or reduce system vulnerabilities and protect assets from slashing penalties, loss of funds, or network disruptions.
To ensure the security and efficiency of your validator node, follow these best practices:
1. Use Secure and Dedicated Hardware
Running a self-hosted validator on dedicated nodes gives you access to a server dedicated to only your blockchain operations, but ensuring the security and uptime can be challenging. Opting for dedicated nodes from Chainnodes is an apt way to operate on a machine with high-performance specifications, reduce attacks, and explore robust security measures.
2. Replace Passwords with SSH Keys
Simple passwords can be guessed correctly, and complicated ones are usually stored on our systems where cyber attackers can access them with simple tricks. However, securing your node with SSH keys grants you remote access to node validation without the risk of a leak. Additionally, you can restrict SSH access by configuring firewall rules to allow connections only from trusted IP addresses.
3. Keep software updated
Routinely update software, operating system, and security patches. Automate updates where possible. However, you should test out different updates at regular intervals before deploying. Finally, subscribe to official ecosystem channels on social media for updates on system configuration and security measures.
4. Secure Private Keys and Credentials
While blockchain technology ensures security through private keys and meta phrases, keeping the keys and phrases secured remains your duty. It is recommended that you keep your private key secured using a hardware security module. Add an extra layer of security to your wallet using a multi-signature setup.
5. Set up robust firewall and network security
Use firewalls (e.g., UFW, iptables) to restrict incoming and outgoing traffic to only necessary ports. Enable DDoS protection measures to prevent malicious attacks. Isolate validator nodes from public exposure using Virtual Private Networks (VPNs) or private relay nodes.
6. Monitor and Log Activity
Implement monitoring tools such as Prometheus and Grafana to track performance and detect anomalies. Set up alerts for unusual activities, such as unauthorized login attempts or sudden changes in validator behavior. Regularly review logs and conduct security audits to identify potential vulnerabilities.
Read our previous article on tools for setting up an efficient node management dashboard here
7. Establish Redundancy and Backup Strategies
In the blockchain space, uptime and latency issues can cause transactions to fail or reduce rewards earned. To prevent this, validators should invest in redundant infrastructure that can be used when the primary system is experiencing a significant failure. Additionally, backup vital data, including validator configurations and private keys, using secure and encrypted storage. Finally, document a recovery plan where both the primary system and redundant infrastructure experience node failure.
8. Activate Slashing Protection Mechanisms
When opting for a dedicated, ensure that you get a node with slashing protection APIs. Use tools like failover to prevent multiple-signing, which can lead to penalties.
10. Use cold storage for rewards and funds.
With the endless number of attacks on the crypto wallets, keeping your phrases secured may not be enough to protect a hot wallet from security breaches. To protect your staking reward, get cold storage and regularly transfer your earnings from the hot wallet to the cold wallet.
11. Follow blockchain validators' communities
Finally, stay updated with the latest security practices by engaging other blockchain validator communities. Here, you can find information on the newest threats, attack tricks, and other important information that can keep your asset secured.
Conclusion
Despite the security offered by blockchain technology, cryptocurrency transactions like staking are still open to considerable threats, making it essential for stakers to understand their staking ecosystem and participate actively. For instance, reading the network's official documentation gives you a deep overview of operations, including procedures for security audits and update deployment. With this, it is easy to identify loopholes and invest in necessary security measures to protect your asset.