Bitcoin Maximalists Believe That The Nash Equilibrium Has Been Reached. : Bitcoin

Bitcoin Maximalists Believe That The Nash Equilibrium Has Been Reached. : Bitcoin

 

The Nash Equilibrium is a “concept within game theory where the optimal outcome of a game is where there is no incentive to deviate from the initial strategy.”

Bitcoin’s main strategy is to be the “soundest” money possible that is the best store of value that could last thousands of years. It will not deviate from this plan. Bitcoin maximalists see the strategies of all the other coins, which is not to be the soundest money, but instead to be packed with various features such as being Turing complete, being faster, etc.

If bitcoin’s endgame is to be the soundest money, there is no need to deviate from that plan because it will win with its current strategy. Altcoins are playing a different game that have nothing to do with sound money.

From wikipedia: Suppose then that each player asks himself “Knowing the strategies of the other players, and treating the strategies of the other players as set in stone, can I benefit by changing my strategy?” If any player could answer “Yes”, then that set of strategies is not a Nash equilibrium.

Bitcoin’s answer to this question is “no” because the game it wants to play is to be the soundest money. Altcoins have no choice but to answer “no” because there is no strategy they can implement that can make their altcoin more sound than bitcoin. Since all game participants answered “no” a Nash Equilibrium has, therefore, been reached.

Bitcoin is the clear winner when it comes to being the soundest crypto currency.



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