Game Theory
Last updated
Last updated
The Quantland ecosystem can be thought of as a simultaneous game with actions below:
Stake : Stakers receive staking rewards in QLT and airdrops in USDC.
Mint : Minters contribute stablecoins to the treasury when they mint new QLT. The growth of treasury’s deployed investment capital increases QLT’s fundamental value in the long run.
Buy : Buying increases QLT price.
Sell : Selling decreases QLT price.
Based on the above analysis, we can assign the payoffs of each action:
Stake : +0 for QLT holders; +1 for the staker himself.
Mint : +1 for QLT holders; +0 for the minter himself.
Buy : +1 for QLT holders; +0 for the buyer himself.
Sell : -1 for QLT holders; +0 for the seller himself.
The only Nash equilibrium is when for all players keep “staking,” as shown in the table below:
