====== 5. Core Concept ======
[[fxdemo:07-part:start | Go to Top]]

A Governed Node Service Market is a market mechanism that allocates governed functions among Qualified Service Providers using Qualified Nodes.
The market does not treat every running Node as eligible to perform compensable work. A Node must first qualify for the relevant governed function. A provider must qualify as an accountable participant for at least one governed function.

The market recognises two levels of eligibility.

  - A Qualified Service Provider represents the accountable participant recognised as eligible to provide one or more governed functions.
  - A Qualified Node represents the operational Node recognised as eligible to perform a defined governed function.

A Qualified Service Provider may operate one or more Qualified Nodes. A provider's qualification does not guarantee that every Node operated by that provider is qualified. Each Node requires recognition for the governed function it performs.