Proposal voting

The validators in the chain are able to create new proposals and/or vote for them. Voting power is distributed based on the total amount of tokens staked to the validator. Once ⅔ of the quorum is reached and >51% of voting power are for the proposal, the proposal can be executed by validators on the chain. Governance is able to manage staking parameters, such as felony threshold and jail period. The parameters that can be changed through proposal are listed below.

Parameters	Description
Validator staking (minimum)	The minimum amount of staking to be staked as a validator
Voting Period	Proposal voting period
Active Validators Length	The maximum number of validators that can participate in the block generation of the chain
Epoch Block Interval	The interval of a consensus active validators

Penalty of misdemeanor of validators

There are two types of punishments to avoid any misbehavior of validators:

Penalty: Lose the reward earned within an epoch
Slash: The validator can be slashed from the validator list

Penalty Rules

In one epoch, if a selected validator fails to produce a block, the following steps will be taken.

Increase the missing block metrics of the validator by one.
If the missing block metrics has reached the misdemeanor threshold, it will trigger a misdemeanor event and distribute the revenue of the validator to the system addresses.
If the missing block metrics have reached the felony threshold, it will trigger a felony event, not only distributing the revenue of the validator to the system addresses but also kicking the validator out of validatorset.

Item	Description
System Treasury	When a validator does not produce a block for more than a certain number of times in an epoch, the reward it obtains will be confiscated, and the reward will be sent to these addresses
Misdemeanor Threshold	How many times an epoch does not produce a block, there is no reward
Felony Threshold	How many times an epoch does not produce a block before it will be jailed