Challenging a domain is the universal right of every adToken holder. Challenges may be issued at any point during a domain’s lifecycle, that is to say, a challenge may be issued when a domain is In-Application or In-Registry.
To initiate a challenge against a domain, an adToken holder must deposit a sum of adToken called a "Challenger Deposit" that is equal to the initial deposit made by the domain during its Application stage.
Challenging a domain initiates a Token-Weighted Voting period. During the Token-Weighted Voting period, adToken holders will be able to vote to either Support or Oppose the domain’s eligibility to be included in the adChain Registry.
The Token-Weighted Voting period is broken down into two stages:
- Voting Commit
- Voting Reveal
Challengers also stand to win a Special Dispensation award if they win the Token-Weighted Vote.
However, if the Challenger loses the vote, their deposit will be forfeited and dispersed to the Domain Applicant and the voters in the winning bloc that sided against them.