Cryptoeconomics
See also
Layer1: Incentive Analysis
Decentralized Finance
Transaction Fee/Gas
Layer 2
Economics in various applications
Verifier's of for Fraud detection
Arbitrum: Scalable, private smart contracts
Usenix'18 Video
The Cheater Checking Problem: Why the Verifier’s Dilemma is Harder Than You Think
Cheater Checking: How attention challenges solve the verifier’s dilemma
A Predictable Incentive Mechanism for TrueBit
Julia Koch, Christian Reitwießner
Vote buying
On-Chain Vote Buying and the Rise of Dark DAOs
See in TEE: with Blockchain
Collateral
Balance: Dynamic Adjustment of Cryptocurrency Deposits
Dominik Harz et al.
CCS'19
Follow-up: Trusty @ethresear.ch
Stable coins
(In)Stability for the Blockchain: Deleveraging Spirals and Stablecoin Attacks
Ariah Klages-Mundt, Andreea Minca (Cornell)
CVC'19
A Classification Framework for Stablecoin Designs
Amani Moin, Kevin Sekniqi, and Emin G ̈un Sirer (Cornell University and AVA Labs)
FC'20
Stablecoins 2.0: Economic Foundations and Risk-based Models
Ariah Klages-Mundt, Dominik Harz, Lewis Gudgeon, Jun-You Liu, Andreea Minca
Tweet
DEX
An analysis of Uniswap markets
Guillermo Angeris, Hsien-Tang Kao, Rei Chiang, Charlie Noyes, Tarun Chitra
Video and Slide @CES19, ethresear.ch
Uniswap arbitrage problem is convex, implying that the arbitrage conditions are often easy to compute and are extremely likely to hold in practice.
There doesn’t seem to be a way of depleting Uniswap markets of their reserves by only trading the pair of coins found in the market.
The larger the fees, the larger the no-arbitrage bounds are, which means that the Uniswap price may stray further from the true market price.
Gives an explicit formula for Uniswap returns in the no-fee case by constructing an equivalent portfolio
P2P Transaction propagation
Incentivizing a Robust P2P Network/Relay Layer @ethresear.ch
by Phil Daian
TULIP: A Fully Incentive Compatible Blockchain Framework Amortizing Redundant Communication
Oguzhan Ersoy, Zekeriya Erkin and Reginald L. Lagendijk (Delft University of Technology)
EuroS&PW'19
Improve Transaction Propagation on Permissionless Blockchains: Incentive and Routing Mechanisms
Moduler component for incentive-compatible transaction advertisement
Tutorials
Introduction to Cryptoeconomics Video by Vitalik
Blockchain and Smart Contract Mechanism Design Challenges Slide by Vitalik
Programmable Incentives - Intro to Cryptoeconomics Video by Karl Floresch @DEVCON3
A Crash Course in Mechanism Design for Cryptoeconomic Applications article
The current state of Cryptoeconomics Video by Vlad 2017
L4ventures/awesome-cryptoeconomics
Ethereum is game-changing technology, literally. by Virgil
Vlad's function$ S \rightarrow \Sigma \rightarrow \mathbf{R}^n \rightarrow \mathbf{R}^n Tweet
Incentive analysis on non-blockchain distributed algorism
BAR Fault Tolerance for Cooperative Services
SOSP'05
Amitanand S. Aiyer, et al. (University of Texas at Austin)
BAR (Byzantine, Altruistic, Rational) (Applications)
Assumption on rational nodes
Rational nodes receive a long term benefit from participating in the protocol
Rational nodes are conservative when computing the impact of Byzantine nodes on their utility.
If a protocol provides a Nash equilibrium, then all rational nodes will follow it.
BAR-B: The first cooperative backup service to tolerate both Byzantine users and an unbounded number of rational users.
Based on is an asynchronous replicated state machine
Distributed Computing Meets Game Theory: Robust Mechanisms for Rational Secret Sharing and Multiparty Computation
Ittai Abraham, Danny Dolev Joseph Y. Halpern Rica Gonen
Distributed Computing Meets Game Theory: Combining Insights From Two Fields
Ittai Abraham, Lorenzo Alvisi Joseph Y. Halpern
Discuss the above paper and BAR paper
Lower Bounds on Implementing Robust and Resilient Mediators
Ittai Abraham, Danny Dolev Joseph Y. Halpern
Byzantine Agreement and Game Theory
#Economics #Layer1 #PoS