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We want to use Events functionality in Civi CRM . As part of our requirement we need to provide attendance for tracking.

Is there a way to track attendance of event participants ?

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Participant records have a status field, and one of the standard statuses is Attended, so yes. And you can search for participants with a certain status and reports can include the status.

See also https://docs.civicrm.org/user/en/latest/events/keeping-track-of-events-and-participants/#changing-event-registration-selections-for-an-existing-participant

and

https://docs.civicrm.org/user/en/latest/events/reports/#event-and-participant-reports

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    Exactly. At some events, we've had laptops set up where folks were checked in directly into Civi by setting them as "Attended". In others, they would be marked on a sheet and then later someone would go through and change the statuses. Doing it immediately is nice for times when you want to be able to have automatic emails go out to all those who are actually there, such as details for logging into the system you're using, wifi, surveys, etc.
    – Jenni Simonis
    Commented Aug 17, 2019 at 3:07
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Check out the new event participant management part of CiviMobile extension: https://civicrm.org/blog/skornien/event-participants-management-in-the-new-version-of-civimobile

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Or this other extension that allow attendance tracking via a QRcode

https://github.com/progressivetech/net.ourpowerbase.qrcodecheckin

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