market. This is designed to model high concentration in cryptocurrency mining. In theabsence of mining, no bubbles or crashes … whether pricing is influenced by costly mining, as well as entry barriers tothe mining technology. Our mining design resembles … the proof-of-work mechanism employed by the vast majority of permissionless cryptocurrencies, such as Bitcoin. In our …

The massive price bubbles of decentralized cryptocurrencies, such as Bitcoin, have created a puzzle for economists. How … pricing. In a controlled laboratory experiment, we observe that the formation of price bubbles can be causally attributed to … mining. Moreover, bubbles are more pronounced if the mining capacity is centralized to a small group of individuals. Analysis …

. This study uses VAR-OLS techniques to investigate the time-varying correlation between Bitcoin and three major European … robustness of our results, we also test the impact of government measures on Bitcoin and stock market indices and find that they … correlations between Bitcoin returns and the stock market, oil, and gold index returns, which have so far been unaddressed. …

Bubbles in asset markets have been documented in numerous experimental studies. However, all experiments in which … bubbles occur pay dividends after each trading day. In this paper we study whether bubbles can occur in markets without … may have inside information, and (2) the option to communicate with other traders. We find that bubbles can indeed occur …

limited liability investors contribute to asset price bubbles by increasing liquidity provision and that caps fail to tame … bubbles. Overall, giving investors skin in the game fosters financial stability. …

We investigate the relationship between anchoring and the emergence of bubbles in experimental asset markets. We show … significantly reduce bubbles in laboratory asset markets. If no FV-anchor is set, bubble-crash patterns emerge. Our results indicate … that bubbles in laboratory environments are primarily sparked in the first period. If prices are initiated around the FV …