Blockchain treasuries should embrace a diversity of mechanisms including grants, tenders and prizes.

Darcy Allen, Chris Berg, Sinclair Davidson and Jason Potts.

While multi-billions of dollars of value currently sit within blockchain community treasuries, there is no clear consensus on how to spend them.

Recent proposals to spend defi treasuries include flashy governance mechanisms (e.g., Gitcoin’s quadratic funding, or retroactive public goods funding), controversial allocation to third parties (e.g., $20 million from UniSwap’s treasury allocated to the Defi Development Fund), and selling portions of the treasury in the name of diversification (e.g., the current SushiSwap proposal).

The destination of treasury…


Grant programs in the defi and blockchain space should take some lessons from existing real-world competitive and entrepreneurial grant programs.

Darcy WE Allen and Chris Berg

The blockchain and defi sector should understand more about how real world grant giving bodies function. Nowhere is this clearer than in the recent debate about UniSwap and its new $20 million Defi Education Fund.

In the real world, grant giving is a lot like venture finance. It is an entrepreneurial activity involving the discovery of new information, new opportunities, and new ideas. …


Darcy Allen, Chris Berg, Sinclair Davidson, Trent MacDonald and Jason Potts are from the RMIT Blockchain Innovation Hub, the world’s first social science research centre into the economics, politics, sociology, and law of blockchain technology.

Blockchains are institutional technologies made of rules (e.g. consensus mechanisms, issuance schedules). Different rule combinations are entrepreneurially created to achieve some objectives (e.g. security, composability). But the design of blockchains, like all institutions, must occur under ongoing uncertainty. Perhaps a protocol bug is discovered, a dapp is hacked, treasury is stolen, or transaction volumes surge because of digital collectible cats. What then? Blockchain communities evolve…


By Chris Berg, Sinclair Davidson and Jason Potts

We’re thrilled to be working with Tracer DAO and its community in building out the vision detailed in the Tracer whitepapers that we co-authored with the Lion’s Mane team.

Flickr Creative Commons | Mirko Tobias Schäfer

We’ve proposed a new blockchain-based protocol for spinning up fundamental financial contracts that can be used to exchange, lend, borrow and engage in derivative agreements. One of the financial contracts that we’ve technically engineered, including economic infrastructure necessary for the operation of these markets, is Tracer’s Perpetual Swap.

At the RMIT Blockchain Innovation Hub we are followers of the famous Harvard economist Joseph…


By Darcy Allen

The blockchain world is currently obsessed with defi. In the past few months, billions in digital value have been staked, swapped and farmed in radical experiments using liquidity pools, automatic market makers and decentralised exchanges.

Who else is excited about the future of the financial system? (Flickr Creative Commons | Zeyus Media)

Defi is easily belittled as a collection of scam-riddled projects powered by magic internet money. Perhaps. But more optimistically defi is a spectacle of entrepreneurial discovery.

These wildly fresh experiments are the infrastructure of a distributed digital economy. This infrastructure is being built right now, from scratch, by a bunch of internet entrepreneurs buying, selling and farming digital vegetables.

Defi as a discovery process

In the past…


By the team at the RMIT Blockchain Innovation Hub

The financial sector exists solely to smooth economic activity and trade. It is the network of organisations, markets, rules, and services that move capital around the global economy so it can be deployed to the most profitable use.

It has evolved as modern capitalism has evolved, spreading with the development of property rights and open markets. It has grown as firms and trade networks became globalised, and supercharged as the global economy became digitised.

Decentralised finance (defi) is trying to do all that.


By Chris Berg, Sinclair Davidson and Jason Potts

Since 2017 we (along with our colleague Joe Clark) have been working with Agoric, an innovative and exciting smart contract team, who are about to launch a token economy model we helped design.

At the RMIT Blockchain Innovation Hub we’ve long been thinking about how blockchain can drive markets deeper into firms, resolving the electronic markets hypothesis and giving us new opportunities for outsourcing corporate vertical integration.

What we’ve discovered from working with the Agoric team is the possibilities of driving markets down into machines. Mark Miller’s groundbreaking work with Eric…


By Chris Berg and Jason Potts

Let’s take a birds’ eye view of the Australian economy. What do we produce? In order: iron ore, coal, and credentials.

Tertiary education is Australia’s third-largest export industry. And Australia is the third-largest education exporter in the world, behind the US and UK.

The world’s skilled labour markets are dependent upon proof of identity, experience and skills, including education qualifications, trade certification and occupational licensing. The smooth operation of these markets relies on the technical infrastructure that supports those credentials: a continually updated, reliable, trusted and efficient public registry of qualifications and skills.

We…


By Darcy WE Allen, Chris Berg, and Aaron M Lane

The Australian Prime Minister Scott Morrison wants to make deregulation and cutting red tape the centrepiece of the COVID-19 economic recovery.

This focus is not just welcome, but essential. Entrepreneurs need room to experiment with new business models without being held back by unnecessary rules — as we argue in our recent book Unfreeze: How to Create a High Growth Economy After the Pandemic.

But at the same time, developed world governments have spent at least three decades trying to cut burdensome red tape — with little obvious to show…


By Chris Berg

Everybody, whatever side of politics they are on, generally agrees that the media is one of the reasons that politics is so polarised right now.

Agreeing on why the media has driven this is a little harder. Yes, the newspaper and print industry has been disrupted, thanks to the internet. And yes, it seems like newspapers are more desperate for readers.

But underlying these surface level observations is the fact that newspapers are undergoing a fundamental structural shift between two organisational types — from platforms to factories.

Flickr Creative Commons | mstempics

Let’s call what’s happened to the newspaper industry multi-sided market…

Cryptoeconomics

Posts by Darcy WE Allen, Chris Berg, Sinclair Davidson, Aaron Lane, Jason Potts and others

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