Work

An economic review of the bitcoin production market and resulting externalities

Year: 2022

Type: dissertation

Abstract: This paper reviews the existing economic theory on Bitcoin (BTC) production, analyzes the Bitcoin production market – as well as the associated externalities of the Bitcoin production process. It discusses how the underlying incentive mechanism further a competitive arms race that not only contradicts the philosophy of the underlying consensus scheme but results in an artificially high level of production demand that imposes significant damages onto society.

Source: Portuguese National Funding Agency for Science, Research and Technology (RCAAP Project by FCT)

Author: Lentge, Katharina Louisa

Language: English

Topic: Blockchain Technology Applications and Security

Subfield: Information Systems

Field: Computer Science

Domain: Physical Sciences

Open Access status: green

Funder: Fundação para a Ciência e a Tecnologia

Awards: G1516346500, G3257768443, G3821169523, Nova School of Business and Economics, Nova School of Business and Economics, G946021960

OpenAlex ID: W6999992496

Cites: 34

Cited by:

Related to: 10