How reward is distributed?

Hello zeeshanmazhar, welcome to the forums.

You should start by following this great tutorial OpenZeppelin Upgrades: Step by Step Tutorial for Hardhat

That should get you to speed on a basic contract format as well as a proxy for updates.

You will need to build your own function for reward distributions.

I would suggest taking a look at RFI if you would like a reward based on a tax for every single transaction.

If you want to reward users periodically, then perhaps build a mint function that is called, then it mints tokens as a reward to whoever you want.

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