cryptoeconomics

Cryptoeconomics combines cryptography and economics to create secure, decentralized digital systems like cryptocurrencies. It uses game theory and economic incentives to promote honest behavior among participants, such as miners or validators, ensuring the network's integrity without central authority. By aligning individual incentives with the system's overall health, cryptoeconomics encourages cooperation and security, making these platforms trustworthy and resistant to manipulation or attacks. In essence, it designs economic rules that motivate participants to act in the network’s best interest, enabling secure, peer-to-peer financial and data exchanges.