Self-interested agents are participants within a system, such as a blockchain network, who act primarily to maximize their own benefits or utility. These agents, whether individuals, organizations, or automated programs, make decisions based on their personal incentives, which may or may not align with the collective good of the system. In decentralized networks, protocol design often accounts for these motivations, aiming to align individual self-interest with network security and stability. Their actions can drive competition and innovation.
Context
The behavior of self-interested agents is a foundational consideration in the design of decentralized protocols, particularly concerning consensus mechanisms and economic incentives. A key challenge involves preventing malicious or collusive actions that could harm the network while still allowing for individual participation. Game theory and mechanism design are actively applied to construct systems where individual rationality leads to desirable collective outcomes, ensuring network robustness.
We use cookies to personalize content and marketing, and to analyze our traffic. This helps us maintain the quality of our free resources. manage your preferences below.
Detailed Cookie Preferences
This helps support our free resources through personalized marketing efforts and promotions.
Analytics cookies help us understand how visitors interact with our website, improving user experience and website performance.
Personalization cookies enable us to customize the content and features of our site based on your interactions, offering a more tailored experience.
