The rise of rationality in blockchain dynamics
Taking informed decisions, namely acting rationally, is an individual attitude of paramount relevance in nature and human societies. In this work, we study how rationality spreads in a community. To this end, through an agent-based model, we analyse the dynamics of a population whose individuals, en...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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IOP Publishing
2023-01-01
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| Series: | New Journal of Physics |
| Subjects: | |
| Online Access: | https://doi.org/10.1088/1367-2630/ad149a |
| _version_ | 1797382455629447168 |
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| author | Gabriele Di Antonio Gianni Valerio Vinci Luciano Pietronero Marco Alberto Javarone |
| author_facet | Gabriele Di Antonio Gianni Valerio Vinci Luciano Pietronero Marco Alberto Javarone |
| author_sort | Gabriele Di Antonio |
| collection | DOAJ |
| description | Taking informed decisions, namely acting rationally, is an individual attitude of paramount relevance in nature and human societies. In this work, we study how rationality spreads in a community. To this end, through an agent-based model, we analyse the dynamics of a population whose individuals, endowed with a rational attitude controlled by a numerical parameter, play a simple game. The latter consists of multiple strategies, each associated with a given reward. The proposed model is then used as a benchmark for studying the behaviour of Bitcoin users, inferred by analysing transactions recorded in the Blockchain. Remarkably, a population undergoing a sharp transition from irrational to rational attitudes shows a behavioural pattern similar to that of Bitcoin users, whose rationality showed up as soon as their cryptocurrency became worth just a few cents (USD). To conclude, a behavioural analysis that relies on an entropy measure combined with a simple agent-based model allows us to detect the rise of rationality across a community. Although further investigations are essential to corroborate our results, we deem the proposed approach could also get used for studying other social phenomena and behaviours. |
| first_indexed | 2024-03-08T21:06:34Z |
| format | Article |
| id | doaj.art-8a4d3a4601664b1cad1dc7f6c87dc680 |
| institution | Directory Open Access Journal |
| issn | 1367-2630 |
| language | English |
| last_indexed | 2024-03-08T21:06:34Z |
| publishDate | 2023-01-01 |
| publisher | IOP Publishing |
| record_format | Article |
| series | New Journal of Physics |
| spelling | doaj.art-8a4d3a4601664b1cad1dc7f6c87dc6802023-12-22T12:12:11ZengIOP PublishingNew Journal of Physics1367-26302023-01-01251212304210.1088/1367-2630/ad149aThe rise of rationality in blockchain dynamicsGabriele Di Antonio0Gianni Valerio Vinci1Luciano Pietronero2Marco Alberto Javarone3https://orcid.org/0000-0003-0514-9544Centro Ricerche Enrico Fermi , Rome, Italy; Istituto Superiore di Sanità , Rome, Italy; Università degli Studi Roma Tre , Rome, ItalyIstituto Superiore di Sanità , Rome, Italy; Università Roma Tor Vergata , Rome, ItalyCentro Ricerche Enrico Fermi , Rome, ItalyCentro Ricerche Enrico Fermi , Rome, Italy; Dipartimento Interateneo di Fisica, Università degli Studi di Bari Aldo Moro Bari , I-70126 Bari, Italy; University College London—Centre for Blockchain Technologies , London, United Kingdom; Dutch Institute for Emergent Phenomena , Amsterdam, The NetherlandsTaking informed decisions, namely acting rationally, is an individual attitude of paramount relevance in nature and human societies. In this work, we study how rationality spreads in a community. To this end, through an agent-based model, we analyse the dynamics of a population whose individuals, endowed with a rational attitude controlled by a numerical parameter, play a simple game. The latter consists of multiple strategies, each associated with a given reward. The proposed model is then used as a benchmark for studying the behaviour of Bitcoin users, inferred by analysing transactions recorded in the Blockchain. Remarkably, a population undergoing a sharp transition from irrational to rational attitudes shows a behavioural pattern similar to that of Bitcoin users, whose rationality showed up as soon as their cryptocurrency became worth just a few cents (USD). To conclude, a behavioural analysis that relies on an entropy measure combined with a simple agent-based model allows us to detect the rise of rationality across a community. Although further investigations are essential to corroborate our results, we deem the proposed approach could also get used for studying other social phenomena and behaviours.https://doi.org/10.1088/1367-2630/ad149atime series entropyblockchain and cryptocurrenciescomplex systems |
| spellingShingle | Gabriele Di Antonio Gianni Valerio Vinci Luciano Pietronero Marco Alberto Javarone The rise of rationality in blockchain dynamics New Journal of Physics time series entropy blockchain and cryptocurrencies complex systems |
| title | The rise of rationality in blockchain dynamics |
| title_full | The rise of rationality in blockchain dynamics |
| title_fullStr | The rise of rationality in blockchain dynamics |
| title_full_unstemmed | The rise of rationality in blockchain dynamics |
| title_short | The rise of rationality in blockchain dynamics |
| title_sort | rise of rationality in blockchain dynamics |
| topic | time series entropy blockchain and cryptocurrencies complex systems |
| url | https://doi.org/10.1088/1367-2630/ad149a |
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