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Game Theory and Economic Model (FAQ)

The design of Evidence Market is not simply a stacking of technologies, but a precise social experiment based on economics, game theory, and criminal psychology.

Q: Why must a trading mechanism and token economy be designed? Can't it be made into a purely public-welfare whistleblowing platform?​

A: Pure public welfare cannot break the "spiral of silence"; an economic model must be used to drive justice.

This is a typical game theory problem. In reality, exposing high-value or high-risk criminal evidence usually means the whistleblower faces huge personal risks (unemployment, retaliation, or even life-threatening situations). Without strong economic incentives, the vast majority of people (even those with a strong sense of justice) will choose to remain silent after weighing the pros and cons.

We must provide substantial economic returns for whistleblowers. And to incentivize whistleblowers in the long term, a sustainable, virtuous-cycle economic model must be established. The introduction of the trading mechanism is exactly to allow the "truth" to obtain its rightful asset pricing in the crypto market, thereby using interests to drive human nature.

A: Extortion means "you give me money, I keep it a secret for you", but the design mechanism of Evidence Market is: the evidence will eventually be made public.

No matter how much money the buyer (the wrongdoer) pays, what they buy is only brief "delayed disclosure time", not permanently covering up the evidence. When the exponential growth of the delay fee exceeds their ability to pay, the smart contract will automatically release the decryption key, and the evidence will be made public.

Q: Why will the evidence definitely be made public eventually?​

A: Our original intention is to expose the truth, not to cover up crimes. Therefore, the evidence is inevitably bound to be made public in the end.

If the economic model starts running, it is indeed easy to attract a large number of stakeholders. To prevent the platform from degenerating into a bottomless extortion tool, we have hardcoded the final outcome in the smart contract: no evidence can be permanently bought out and hidden.

Q: Since it will be public sooner or later, why design a "Delay Premium"?​

A: This is a design that amplifies the role of the economic model. As mentioned earlier, the success of the project is inseparable from the role of economic incentives. The delay premium injects more funds into the token economic model of the entire platform, amplifying the economic model and the rewards for whistleblowers.

Q: Will wrongdoers definitely pay? Then what if no one buys? Does it mean the project has failed?​

A: Not necessarily, but based on real-life cases and criminal psychology analysis, the possibility of wrongdoers paying still exists:

  1. Fear-Driven: In real life, cases where people are willing to pay huge "hush money" out of fear of evidence exposure are ubiquitous. Compared to losing reputation, company bankruptcy, or facing severe judicial trials, paying a little crypto asset seems insignificant.
  2. "Schrödinger's Evidence" and Probing Psychology: If wrongdoers are not sure whether there is conclusive evidence in the blind box, out of panic, they have a very high probability of considering "buying it to take a look". Because if it is found to be fake evidence, the platform supports initiating a refund (no substantial financial loss).
  3. Zero Exposure Risk: Because the entire payment process (such as based on Zcash) and contract execution are completely private and anonymous, wrongdoers do not need to worry about exposing their identity because of the "payment" behavior itself. This sense of security greatly reduces their resistance to paying.