Target Participation Ratio

Definition ∞ The target participation ratio specifies the desired proportion of eligible network participants actively contributing to a blockchain’s security or governance mechanisms. This metric is particularly relevant in proof-of-stake systems, where a certain percentage of staked tokens or validators is necessary for optimal network operation and decentralization. Achieving this ratio helps maintain network health. It influences security and consensus.
Context ∞ News often refers to the target participation ratio when discussing the health and security of proof-of-stake blockchains or the effectiveness of staking incentives. Deviations from this target can signal potential vulnerabilities or a lack of engagement from the community. Protocol adjustments often aim to encourage participation to meet or exceed this crucial threshold.