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Reputation System

Definition

A reputation system is a mechanism for assessing and quantifying the trustworthiness or reliability of participants within a network or platform. In decentralized environments, these systems can track past interactions, performance, or adherence to protocol rules to assign a score or rating to users, nodes, or validators. A strong reputation can grant privileges or increase trust, while a poor one can lead to restrictions or penalties. Such systems help to mitigate risks and promote good behavior in open, permissionless settings.