Ledgerium Governance is an on-chain smart contract-driven software which allows Block Producers to work together to improve the Ledgerium Blockchain institution democratically.
Ledgerium Blockchain governance depends on the interactions of validators, block producers and even developers. Smart contracts can be used to manage the agreements made between these parties.
In Ledgerium governance structure, there is no centralized management and all consortium takes decisions democratically. In a centralized model, management decides the strategy and actions for taking the organization forward, by balancing the interests of various stakeholders.
In a decentralized organization like Ledgerium Blockchain, each party has voting rights over decisions that affect the organization as a whole. Smart contracts form the “autonomous” part of the Ledgerium Governance, by encoding the principles of agreements between the parties and then executing the agreements automatically when particular conditions are fulfilled.
Ledgerium Blockchain Consortium
One of the core functionality of the Governance application is to let a validator to join the block producers' consortium and participate in on-chain governance. There are limited 21 seats for block producers on Ledgerium Blockchain. This number is however subjected to deliberate based on the Ledgerium Blockchain Governance model for which the Ledgerium Foundation is also part of.
Role of Block Producers
A block producer is an independent individual who stakes their XLG and is entrusted to maintain a node on the network that validates transactions and commits new blocks to the blockchain. Block producers receive rewards in XLG for provisioning blocks.
Responsibilities for Block Producers
A block producer has both technical and social responsibilities both of which are important for the health, performance and security of the network.
Ensure node is secure by practising safe key management
Maintain node requisite software version
Monitor node to ensure its availability and participation in consensus
Monitor network in general and communicate with other block producers, network entities if problems arise.
Participate in on-chain Governance of the network
Block Producer's revenue streams
Block rewards: The block producer will get block rewards in XLGs to produce the block.
Transaction fees: The block producer will earn XLGs as fee payment of executing transactions from DApp on the Ledgerium Blockchain.
To participate in Governance, you must:
Be voted in as a Block Producer
Have the Ledgerium Wallet installed
Import your private key associated with your node to the wallet
What constitutes a passing vote
A vote is passed if the sum is greater than to n/2, where n is the number of existing block producers in the Ledgerium Blockchain.
Getting started with Governance
Every block producer is given access to Governance DApp which can be accessed at https://<BPDomainName>/governance.