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The problem of investing into a cryptocurrency market requires good understanding of the processes that regulate the price of the currency. In this paper we offer a view of a cryptocurrency market as an environment for realization of a…

Trading and Market Microstructure · Quantitative Finance 2022-10-18 Misha Perepelitsa

I study the limit of a large random economy, where a set of consumers invests in financial instruments engineered by banks, in order to optimize their future consumption. This exercise shows that, even in the ideal case of perfect…

Statistical Finance · Quantitative Finance 2009-06-09 Matteo Marsili

The study analyzed the impact of financial inclusion on the effectiveness of monetary policy in developing countries. By using a panel data set of 10 developing countries during 2004-2020, the study revealed that the financial inclusion…

General Economics · Economics 2023-08-25 Gautam Kumar Biswas , Faruque Ahamed

As humanity is becoming increasingly confronted by Earth's finite biophysical limits, there is increasing interest in questions about the stability and equitability of a zero-growth capitalist economy, most notably: if one maintains a…

Economics · Quantitative Finance 2017-11-08 Adam B. Barrett

The digital currency Bitcoin has had remarkable growth since it was first proposed in 2008. Its distributed nature allows currency transactions without a central authority by using cryptographic methods and a data structure called the…

Quantum Physics · Physics 2020-09-28 Jonathan Jogenfors

The nature of monetary arrangements is often discussed without any reference to its detailed construction. We present a graph representation that allows for a clear understanding of modern monetary systems. First, we show that systems based…

Economics · Quantitative Finance 2018-02-01 Cyril Pitrou

Cryptoeconomic systems derive their power but can not be controlled by the underlying software systems and the rules they enshrine. This adds a level of complexity to the software design process. At the same time, such systems, when…

Computers and Society · Computer Science 2021-05-26 Mark C. Ballandies , Marcus M. Dapp , Benjamin A. Degenhart , Dirk Helbing

We consider a large community of individuals who mix strongly and meet in pairs to bet on a coin toss. We investigate the asset distribution of the players involved in this zero-sum repeated game. Our main result is that the asset…

Computer Science and Game Theory · Computer Science 2016-07-13 Romulus Breban

This research is to assess cryptocurrencies with the conditional beta, compared with prior studies based on unconditional beta or fixed beta. It is a new approach to building a pricing model for cryptocurrencies. Therefore, we expect that…

General Economics · Economics 2020-10-27 Khanh Q. Nguyen

Almost a decade on from the launch of Bitcoin, cryptocurrencies continue to generate headlines and intense debate. What started as an underground experiment by a rag tag group of programmers armed with a Libertarian manifesto has now…

General Economics · Economics 2018-11-15 Hina Binte Haq , Syed Taha Ali

This paper offers a strategic rationale for zero-sum thinking in elections. We show that asymmetric information and distributional considerations together make voters wary of policies supported by others. This force impels a majority of…

Theoretical Economics · Economics 2024-09-25 S. Nageeb Ali , Maximilian Mihm , Lucas Siga

Many countries impose regulatory restrictions on lending rates known as interest rate caps. In most cases, these restrictions apply to the effective (rather than nominal) interest rate, a measure which incorporates all commissions and fees…

General Economics · Economics 2026-04-14 Mikhail V. Sokolov

Bitcoins have emerged as a possible competitor to usual currencies, but other crypto-currencies have likewise appeared as competitors to the Bitcoin currency. The expanding market of crypto-currencies now involves capital equivalent to…

Physics and Society · Physics 2014-03-26 Stefan Bornholdt , Kim Sneppen

Digital payment schemes show an ever increasing importance. Out of the countless different schemes available this article focuses on the popular Bitcoin system. The authors provide a description of Bitcoin's unique technological basis and…

Computers and Society · Computer Science 2013-09-02 Artus Krohn-Grimberghe Christoph Sorge

In modern times, the cryptocurrency market is one of the world's most rapidly rising financial markets. The cryptocurrency market is regarded to be more volatile and illiquid than traditional markets such as equities, foreign exchange, and…

Statistical Finance · Quantitative Finance 2024-12-03 Anika Tahsin Meem

We suggest the re-introduction of bartering to create a cryptocurrencyless, currencyless, and moneyless economy segment. We contend that a barter economy would benefit enterprises, individuals, governments and societies. For instance, the…

Computers and Society · Computer Science 2020-10-15 Carlos Molina-Jimenez , Hazem Danny Al Nakib , Linmao Song , Ioannis Sfyrakis , Jon Crowcroft

In the late 90's, after severe financial and economic crisis, accompanied by inflation and exchange rate instability, Eastern Europe emerged into two groups of countries with radically contrasting monetary regimes (Currency Boards and…

General Finance · Quantitative Finance 2013-03-26 Muhammad Khan , Mazen Kebewar , Nikolay Nenovsky

Real data are rarely pure. Hence the past half-century has seen great interest in robust estimation algorithms that perform well even when part of the data is corrupt. However, their vast majority approach optimal accuracy only when given a…

Machine Learning · Computer Science 2022-02-14 Ayush Jain , Alon Orlitsky , Vaishakh Ravindrakumar

The seminal idea of quantum money not forgeable due to laws of Quantum Mechanics proposed by Stephen Wiesner, has laid foundations for the Quantum Information Theory in early '70s. Recently, several other schemes for quantum currencies have…

Quantum Physics · Physics 2020-02-07 Karol Horodecki , Maciej Stankiewicz

The current crisis, at the time of writing, has had a profound impact on the financial world, introducing the need for creative approaches to revitalising the economy at the micro level as well as the macro level. In this informal analysis…

Computers and Society · Computer Science 2020-08-04 Geoffrey Goodell , Hazem Danny Al-Nakib , Paolo Tasca