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ICON is operated under Delegated Proof of Contribution, a variation of DPoS. ICX holders are also encouraged to add value back to the ICON ecosystem by voting for public representatives that will add most value. ICX holders can receive 6 - 36% (current: 16%) reward for participating in the governance through staking and voting for Public Representatives.
Governance smart contract will track ICX holders staking, voting for Public Representatives, and claiming their voting rewards.
Review: Beginner's Guide to Governance
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Review: Beginner's Guide to Governance
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