The Equilibrium Value of Bitcoin

Can the value of a cryptocurrency be uniquely determined by fundamentals, such as rule for money growth implicit in design protocol? To answer this question, we construct recursive asset-pricing model single fiat cryptocurrency, similar to actual Bitcoin. We think our an ideal laboratory, which equilibria correspond solutions that can generate data. Our approach stresses role function object rational choice and hence rests on solid micro-foundations. By imposing enough economically motivated restrictions choice, are able pin down unique equilibrium demonstrate is immune self-fulfilling expectations. This result depends only protocol.