Dispute Games

Definition ∞ Dispute games are interactive protocols designed to resolve disagreements or challenges between parties in a verifiable and often decentralized manner. These games typically involve a sequence of actions and counter-actions, where the outcome is determined by a predetermined set of rules and potentially adjudicated by a third party or a smart contract. They are employed to settle conflicts arising from complex transactions or contractual obligations without relying on traditional legal systems.
Context ∞ The current discourse surrounding dispute games in the blockchain space centers on their application in decentralized autonomous organizations (DAOs) and decentralized dispute resolution networks. Debates often focus on the economic incentives that encourage honest participation and the mechanisms for ensuring fair adjudication. Critical future developments to observe include the integration of these games with oracle networks for real-world data input and their potential to scale dispute resolution beyond the blockchain.