Game Theory and Blockchain
Game Theory is a concept applicable to adaptive systems, these systems are composed of adaptive agents which the game theory tries to understand and model. 3 major components of any game of interest are players, strategies, and payoffs. Typically games are represented in a matric form or tree diagram. Zero-sum games are the games where the sum of player playoffs always add up to the same value, here one person's loss is another person's gain (eg: Chess, Bocking, Car Race). The agent's payoffs here are negatively correlated. Non-Zero-sum games are the one where the total value to be distributed increase or decrease depending on the degree of cooperation between the agents/actors who are part of the game (eg: Trade of goods between nations). In the present world, the cooperation is generally enforced by the centralized authorities like law/governments/institutions. Now with the invention of Blockchain technology, this trend of cooperation enforcement is changing where techno...