Governance is the policy and technical tool to reach a consensus and decide on network changes between distributed nodes. Validator nodes of The Balance can determine variables for maintaining the network such as Gas-Price, Block-Reward, and Block-Delay through on-chain votes and reflect in real-time. Validator nodes can propose agendas such as electing new validator nodes or discharging existing nodes. Also, they have the right to participate in the on/off-chain votes. Every on-chain vote is approved through the redundant Group Multi-Sig method. Therefore The Balance ensures high reliability.
Suppose an entity passes the qualification and is selected as a validator after voting. In that case, a Lambda256 service coordinator announces the declaration time for Boarding Point to the validator seven days in advance. The validator is allowed to vote according to their authority after the declaration of Boarding Point.
The Balance requires a minimum of 3 and a maximum of 40 validators. The subject of all validators, such as companies or individuals, is determined through qualifications and the proper process for selection. And one node operation per validator is allowed (It is not allowed to operate more than one node).
Each validator operates its nodes to (1) verify transactions, (2) create blocks (3) verify mining blocks.
All validators can exercise the right to vote on essential decision-making in network operation, such as adding the validator and changing network parameters.
Every validator gets rewarded in return for node operation.