A fair reputation system for use in online auctions

Reputation systems become an essential component of e‐commerce because they can distinguish between honest and dishonest participants in the digital market. However, existing reputation systems are too simple to reflect accurately user trustworthiness. To improve existing schemes, this paper proposes a fair reputation system that can account for trading amount and rater reputation, consider the reputations of sellers and buyers, and provide incentives over time to users to be honest. The scheme is robust to errors and is easy to implement. The simulation results reveal that the proposed scheme outperformed existing schemes.