# Slashing

Slashing is a security measure in the XYO Layer One blockchain that holds node operators accountable. Through slashing, bad actors are penalized financially, for example by losing their staked $XYO. Ultimately, slashing discourages bad actions to preserve the integrity of the network.

### Purpose

Slashing exists to prevent bad actors from doing negative actions on-chain. If a node submits invalid data, approves bad blocks, or interferes with the chain, it can harm other users' interactions and lower the trust in the blockchain.

### Conditions for Slashing

[Node Stakers](https://docs.xyo.network/xyo-layer-one/types-of-staking#node-staking) ([Block Producers](https://docs.xyo.network/architecture/node-structure#block-producer-nodes) and [Validators](https://docs.xyo.network/architecture/node-structure#validator-nodes)) put their $XYO tokens at risk when joining consensus. A stake may be slashed if a node:

* Produces or approves an invalid block
* Submits false or poor-quality data
* Performs actions that break consensus rules

[System Stakers](https://docs.xyo.network/xyo-layer-one/types-of-staking#system-staking), who contribute through the pooled staking option, do not face slashing risk because they do not have nodes that can commit bad actions and threaten the network.