The Microeconomics of Cryptocurrencies
- (pp. 971-1013)
Abstract
Since its launch in 2009 much has been written about Bitcoin, cryptocurrencies, and blockchains. While the discussions initially took place mostly on blogs and other popular media, we now are witnessing the emergence of a growing body of rigorous academic research on these topics. By the nature of the phenomenon analyzed, this research spans many academic disciplines including macroeconomics, law and economics, and computer science. This survey focuses on the microeconomics of cryptocurrencies themselves. What drives their supply, demand, trading price, and competition amongst them? This literature has been emerging over the past decade and the purpose of this paper is to summarize its main findings so as to establish a base upon which future research can be conducted.Citation
Halaburda, Hanna, Guillaume Haeringer, Joshua Gans, and Neil Gandal. 2022. "The Microeconomics of Cryptocurrencies." Journal of Economic Literature, 60 (3): 971-1013. DOI: 10.1257/jel.20201593Additional Materials
JEL Classification
- E42 Monetary Systems; Standards; Regimes; Government and the Monetary System; Payment Systems
- D82 Asymmetric and Private Information; Mechanism Design
- G12 Asset Pricing; Trading Volume; Bond Interest Rates