TY - GEN
T1 - Incentive-Compatibility in a distributed autonomous currency system
AU - Saito, Kenji
AU - Morino, Eiichi
AU - Murai, Jun
PY - 2006
Y1 - 2006
N2 - Peer-to-peer complementary currencies can be powerful tools for promoting exchanges and building sustainable relationships among selfish peers on the Internet. i-WAT[1] is a proposed such currency based on the WAT System, a polycentric complementary currency using WAT tickets as its media of exchange. Participants spontaneously issue and circulate the tickets as needed, whose values are backed up by chains of trust. i-WAT implements the tickets electronically by exchanging messages signed in OpenPGP. This paper claims that the design of i-WAT is incentive-compatible as to protection against moral hazards, or threats caused by selfish peers because they may take advantage of the rules; such hazards are defused in i-WAT if the participants react against misbehaviors of others by pursuing their own benefits. A reference implementation of i-WAT has been developed in the form of an XMPP instant messaging client. We have been putting the currency system into practical use since June 2004.
AB - Peer-to-peer complementary currencies can be powerful tools for promoting exchanges and building sustainable relationships among selfish peers on the Internet. i-WAT[1] is a proposed such currency based on the WAT System, a polycentric complementary currency using WAT tickets as its media of exchange. Participants spontaneously issue and circulate the tickets as needed, whose values are backed up by chains of trust. i-WAT implements the tickets electronically by exchanging messages signed in OpenPGP. This paper claims that the design of i-WAT is incentive-compatible as to protection against moral hazards, or threats caused by selfish peers because they may take advantage of the rules; such hazards are defused in i-WAT if the participants react against misbehaviors of others by pursuing their own benefits. A reference implementation of i-WAT has been developed in the form of an XMPP instant messaging client. We have been putting the currency system into practical use since June 2004.
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U2 - 10.1007/11925941_4
DO - 10.1007/11925941_4
M3 - Conference contribution
AN - SCOPUS:84884607261
SN - 3540490256
SN - 9783540490258
T3 - Lecture Notes in Computer Science (including subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics)
SP - 44
EP - 57
BT - Agents and Peer-to-Peer Computing - 4th International Workshop, AP2PC 2005, Revised Papers
T2 - 4th International Workshop on Agents and Peer-to-Peer Computing, AP2PC 2005
Y2 - 25 July 2005 through 25 July 2005
ER -