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175 sats \ 2 replies \ @SimpleStacker 9h \ on: Bitcoin for the Rewards. THE REWARDS! (WSJ, Vicky Ge Huang) econ
There's a whole economic literature on obfuscation, which is the practice of making the contractual terms complex so that it's hard for customers to understand the true cost of something. I think it's been shown that competition isn't enough to get rid of the practice, but I don't remember the full set of assumptions necessary to arrive at that conclusion.
I've been preaching obfuscation to @k00b for years, as regards the rewards algorithm. Ideally, stackers would just operate on the heuristic "do good stuff for SN -> get rewards", rather than trying to game the individual elements.
I recall from a theory course that covered information economics that there are lots of situations where increasing uncertainty is more efficient (quasi-garbling), so I'm not surprised competition might not drive it out. Competition might even be reinforcing it.
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hmmm.... interesting. Never heard of, but makes some semblance of intuitive sense, I guess
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