The Economics of Cryptocurrency. Incentivizing Decentralisation

Academic Paper from the year 2017 in the subject Business economics - Investment and Finance, Obafemi Awolowo University, course: Economics, language: English, abstract: The economics of cryptoassets, which includes cryptocurrencies and tokens, is more than simply the interaction of economically rational individuals in an adversarial environment, but extends into the intricate dynamics of finding balance in the creation of value for a digital product in a new digital marketplace. Economics of cryptoassets therefore combines the knowledge of supply and demand, scarcity, applicable game-theoretic concepts and rational human decision-making to devise an autonomous decentralized store of value protected by cryptography to secure its past and economic incentives to protect its future.