Cryptoeconomics starts from the position that no actor can be trusted. It also assumes that most actors will act rationally in response to incentive structures to protect and promote their own self interest.

Many people, particularly in the cryptoeconomic world, conflate transparency with trust. This approach assumes that you are more likely to trust me if I am more transparent with you.

However, in many regards, the need for transparency is actually a reflection of lack of trust in the relationship. When you really trust an actor you do not need to have transparency in order to have a reasonably accurate prediction of their likely actions to a given situation. In this way trust is actually built through understanding and consistency.

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