Blockchain and the Goldilocks Dilemma

  • It must be attractive for a user to participate in the blockchain. Broad participation by a diverse set of users is protection against fraud and manipulation. Unfortunately, many blockchain applications are doomed because they do not create enough incentives for participation — those applications are “too cold”. As a result, the blockchain is vulnerable to bad guys with modest resources.
  • If it is too attractive for a user to participate in the blockchain, users with substantial resources will attempt to gain an unacceptable amount of control, which creates opportunity for manipulation and fraud. Those applications are “too hot”.

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CEO of May Mobility, Professor of Computer Science at University of Michigan

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Edwin Olson

Edwin Olson

CEO of May Mobility, Professor of Computer Science at University of Michigan

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