[DRC] Reduce Active Validator Set to 42

Summary

This proposal seeks to reduce the size of the dYdX active validator set to 42.

Abstract

After successfully reducing the validator set to 50 in May, more validators have been winding down their operations, and currently there are only 44 active set validators remaining. Those ranked #43 and below in the active set now carry very minimal stakeweight, collectively representing only around 0.01% of the total stakeweight. This raises similar security concerns from the inactivity and apparent disengagement of these validators from the dYdX protocol.

Motivation

Validators ranked #43 and below collectively contribute just 0.009% of the total stakeweight. Each of them has a significantly lower stakeweight than the average (5.6M) and median (5M) stakeweight of active validators. These validators also appear inactive or disengaged from the network.

Reducing the active validator set enhances network security by removing inactive or poorly maintained nodes that may pose operational or attack risks. A smaller, more engaged validator group improves responsiveness during upgrades or incidents, reduces the attack surface, and simplifies coordination in critical situations.

Specification

We propose to reduce the active set to 42 by changing the max_validator parameter to 42.

Next Steps

We invite validators to provide feedback on this post, if there’s no significant objection, we will submit the on-chain proposal on Thursday, October 16, 2025.

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