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| # Proof of Contribution | ||
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| The gno.land chain utilizes a reputation-based consensus mechanism instead of proof-of-stake. | ||
| This mechanism emphasizes values and expertise to carry out important tasks like choosing validators and allocating rewards. | ||
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| Meta issue: [#918](https://github.com/gnolang/gno/issues/918). | ||
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| Presentation: https://github.com/gnolang/workshops/tree/main/presentations/2023-06-06--buidl-asia--manfred. | ||
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| ## Main Concepts | ||
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| - Validator set determined by `worxDAO`, a DAO serving as the authority. | ||
| - Governance and distribution managed through smart contracts. | ||
| - Chain monitors contract changes (e.g., `valset`) to configure `Tendermint2`. | ||
| - No staking involved in consensus. | ||
| - Chain fees distributed to contributors and validators, not stakers. | ||
| - Chain fees accumulated in a contract-managed bucket for efficient distribution. | ||
| - Validators likely have equal power (1). | ||
| - Validators do not vote like in PoS, but may participate in dedicated governance topics, maybe. | ||
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| ## High-level schema | ||
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| ____ ____ ____ __ _ __ __ _ | ||
| / __ \_________ ____ / __/ ____ / __/ _________ ____ / /______(_) /_ __ __/ /_(_)___ ____ _____ | ||
| / /_/ / ___/ __ \/ __ \/ /_ / __ \/ /_ / ___/ __ \/ __ \/ __/ ___/ / __ \/ / / / __/ / __ \/ __ \/ ___/ | ||
| / ____/ / / /_/ / /_/ / __/ / /_/ / __/ / /__/ /_/ / / / / /_/ / / / /_/ / /_/ / /_/ / /_/ / / / (__ ) | ||
| /_/ /_/ \____/\____/_/ \____/_/ \___/\____/_/ /_/\__/_/ /_/_.___/\__,_/\__/_/\____/_/ /_/____/ | ||
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| +---------------------------------------------------------------+ +------------------------------------+ | ||
| | gno.land/{p,r} contracts | | gno.land | | ||
| | | | | | ||
| | +-----------------------------+ +---------------------+ | | | | ||
| | | | | r/system/valset | | | | | ||
| | | | +->| |--+------+ | +-------------+ | | ||
| | | worxDAO | | | validator set | | | | | | | | ||
| | | |--+ +---------------------+ | +-------+->| Gno SDK |----------+ | | ||
| | | the "Contributors DAO" | | | r/system/chaincfg | | | | | | | | | ||
| | | | +->| |--+------+ | +-------------+ | | | ||
| | | | | chain configuration | | | | | | | ||
| | +-----------------------------+ +---------------------+ | | | | | | ||
| | | +---------------------+ | | v v | | ||
| | v | r/system/rewards | | | +-------------+ +-------------+ | | ||
| | +--------------------+ | | | | | | | | | | ||
| | | Evaluation DAO | |distribute rewards to| | | | TM2 |-->| GnoVM | | | ||
| | | | | contributors and | | | | | | | | | ||
| | |Qualification system| | validators | | | +-------------+ +-------------+ | | ||
| | |to distribute ^worx | | +------+ | | | | | | | ||
| | +--------------------+ | |Bucket|<- - -|- + -chain fees -|- - - - - | | | ||
| | +-------+------+------+ | | | | | ||
| +---------------------------------------------------------------+ +---------------------------+--------+ | ||
| ^ | | ||
| | | | ||
| +---------------user TXs can publish and call contracts--------------------+ | ||
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| ## Components | ||
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| ### `gno.land` | ||
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| The main blockchain powered by the `TM2` engine. It offers permissionless smart | ||
| contracts with the `GnoVM` and can self-configure from contracts using the | ||
| `GnoSDK`. | ||
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| ### `worxDAO` | ||
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| The governance entity consisting of contributors, responsible for governing the | ||
| `r/system` realms, including `valset` and `chaincfg`. | ||
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| Meta issue: [#872](https://github.com/gnolang/gno/issues/872). | ||
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| ### `r/system/valset` | ||
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| A realm (smart contract) that enables the `worxDAO` to update the validator set. | ||
| Similar to a PoA system, the authority is decentralized in a DAO. | ||
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| Additionally, this contract is queried by `gno.land` to configure `TM2` when | ||
| changes are made to the validator set. | ||
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| ### `r/system/chaincfg` | ||
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| A governance-backed smart contract that allows for chain configuration through | ||
| governance. | ||
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| It helps prevent unnecessary upgrade campaigns for minor updates. | ||
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| ### Evaluation DAO | ||
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| The system employed by the `worxDAO` to incentivize contributions with `^worx` tokens. | ||
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| +---------------1. propose a contribution-------------+ | ||
| | v | ||
| +--------------+ +----------------+ | ||
| | |--------3. improve, negotiate------->| | | ||
| | contributor | | Evaluation DAO | | ||
| | |<-------4. distribute ^worx----------| | | ||
| +--------------+ +----------------+ | ||
| ^ | | ||
| +---------------2. review, challenge------------------+ |