This section outlines our methodology for calculating staking returns for validators, delegators (stake authorities), and stake accounts on the Solana network.

Sources of Rewards

Staking rewards on Solana come from two primary sources:

• Block Production — earned by proposing and executing user transactions
• Consensus Participation — earned by voting on finalized blocks via the validator’s vote account

Block Production Rewards

Solana validators are periodically selected as slot leaders, responsible for producing transaction blocks. When they do:

• They earn base fees and priority fees from transactions included in the block
• They may also capture MEV (Maximum Extractable Value) by optimizing block content (e.g., via auctions or ordering strategies).

Important distinction for delegators:

• Block production fees are not shared with delegators — these go entirely to the validator.
• MEV rewards are shared with delegators, according to the validator’s configured commission rate.

MEV Rewards (Jito Reward)

Our validators running the Jito Labs client to participate in Solana’s blockspace auctions, which enable MEV (Maximum Extractable Value) strategies like transaction bundling and tip bidding.

With Jito:

• Validators and delegators receive MEV rewards in addition to standard block production fees.
• These MEV rewards are automatically shared with delegators based on the validator’s commission setting.

💡

Unlike base transaction fees, Jito MEV rewards are shared with delegators.