Using tick-level bitcoin data from February 2013 to April 2018, we show significant arbitrage spreads between global bitcoin markets. Spreads follow multiple consistent patterns. Minimum and maximum prices show significant clustering. Spreads increase during the early hours of a day (according...

In this paper, we study the mechanisms that govern price stability of MakerDAO's DAI token, the first decentralized stablecoin. DAI works through a set of autonomous smart contracts, in which users deposit cryptocurrency collateral, typically Ethereum, and borrow a fraction of their positions as...

We examine the question of whether it is possible to create a decentralized and capital-efficient stablecoin using smart contracts that algorithmically trade to maintain stability. We explore what new functionality decentralized stablecoins offer and address several outstanding conjectures in...