# About the Network

Secret Network is a decentralized network of computers ("secret nodes") utilizing trusted execution environments (TEEs) to protect data-in-use, keeping data encrypted and "secret" at all times. This means even network nodes cannot see data being used for computations.

# Validators / Secret Nodes

Secret Network nodes perform computations and verify blockchain activity. The network uses a popular delegated proof-of-stake (DPoS) consensus algorithm, Tendermint. Up to 50 node operators at any time can be validators for Secret Network. For more information on how you can run your own secret node, visit our full developer documentation.

# Network Economics and SCRT

Secret Network is secured by SCRT (Secret), which is used for fees, staking, and governance. Nodes in the network receive fees and network rewards in SCRT, and they must stake SCRT in order to operate. When nodes go offline, they can be "slashed" and lose a portion of their SCRT stake. Holders of SCRT who are not operating nodes may bond their stake to a specific node to become a delegator. Delegators earn a share of network fees and rewards by supporting a particular set of validators. Both node operators and delegators earn a return on their staked, or delegated, SCRT coins. Returns depend on the number of coins staked on the network, and the SCRT inflation rate. **Historically, returns from staking SCRT are between 25-30% annually).

A key utility for SCRT is governance. Secret nodes can create and vote on governance proposals using SCRT, allowing for decentralized community control of the network. Most network parameters, such as the inflation and community tax rates, are decided through on-chain governance using SCRT.

Transactions, validators, current inflation, governance proposals, and more are viewed using the following Secret Network block explorer:

# Delegation

If you have SCRT coins, but do not want to run your own node, delegation is a great option. Delegating gives some of your staking power to a specific validator on Secret Network who will then give you a share of their staking fees and rewards. As a delegator, you essentially get the same returns as a node operator minus their commissions. If there is an on-chain governance vote, a delegator's vote will be the same as their validator's; unless the delegator manually changes their vote. There can only be 50 active nodes on the network (may change in the future), and delegators play a crucial role in decentralization.

# Wallet Support

Multiple wallets already provide support for SCRT transactions, staking, and governance.

# How do I run a Secret Node?

Learn more in the full documentation.

# Community Staking Guides

Here are some guides written by members of the Secret Network community on staking: