Dynamic Reputation

Definition ∞ Dynamic Reputation refers to a system where a participant’s standing or trustworthiness within a network changes over time based on their actions and interactions. This standing is continuously updated, reflecting their historical behavior and contributions. In decentralized systems, it serves as a mechanism to incentivize honest participation and deter malicious conduct, influencing roles or privileges.
Context ∞ In decentralized autonomous organizations and other community-governed blockchain projects, dynamic reputation systems are increasingly discussed as a means to improve governance and decision-making. News often reports on projects experimenting with different models to assess and adjust participant reputation, aiming to mitigate sybil attacks and promote productive engagement. The fair and transparent calculation of reputation remains a significant area of research and implementation challenge.