Economic Insight on the Application of Blockchain Technology

Prysm Group assists in identifying and answering practical questions relating to economics and governances with intention for implementation in mind. Whether seeking increased platform adoption through the proper set of incentives, or aiming to implement a distributed governance model, Prysm Group provides the understanding on how to optimally structure distributed economic systems.

Technology Agnostic

Whether permissioned or permissionless, Prysm Group's products and services are tailored to the client's selected underlying blockchain technology. Whether proprietary or built using an existing protocol, Prysm Group provides expertise working with platforms developed on all prominent protocols.

How We leverage economics

"Economic design of distributed platforms is extremely context-specific. It does not copy-paste well. It requires a deep understanding of the economic principles at play in order to achieve the desired platform outcome."

- Dr. Cathy Barrera, Prysm Group

Products

Prysm Group has developed a set of initial products tailored towards platforms at different development stages based on its established House framework.

The Blue Paper is a first-principles, ground-up assessment of the key economic design issues that a platform will face and the steps required to address them. The Blue Paper highlights the tradeoffs that the executive team will face when making decisions for their token and/or platform, with the goal of assisting the team in refining and further delineating those objectives so that the economic design of the system can be specified.

Following the structure of the Prysm Group House framework, The Blue Paper is composed of three sections: Contract and Transaction Design, Market Design and Information Systems, and Token Economics and Design.

Each of these three sections contains:

  1. An overview of the top issues that the platform will need to address;
  2. Preliminary recommendations;
  3. An outline plan of action for mechanism design;
  4. An estimate for the time required to complete the design.

The Blue Paper is recommended for pre-testnet staggered platforms.

The Economic Audit is a qualitative and quantitative report providing an analysis of the economics and governance of a platform based on the following four primary sections:

  1. Contract and Transaction Design: contract terms, performance verification, dispute resolution, and escrow.
  2. Market Design and Information Systems: buyer and seller matching, pricing mechanisms, and supporting information systems.
  3. Token Economics and Design: participant incentives and markets for goods and services.
  4. Governance: participant selection, proposal mechanisms, and decision mechanisms.

Each of these four sections contains:

  1. An analytical assessment of the top identified economic points of concern within the platform's current design;
  2. Key findings with associated risk grade of Pass, Challenge, or Fail;
  3. Preliminary recommended plan of action.

The Economic Audit is recommended for testnet-ready or post-testnet staggered platforms.

A Trusted Advisor to Corporate and Government Executives

Prysm Group provides advisory to corporate and government management teams working on blockchain projects evaluating opportunities for highest possible economic impact to allow for informed project prioritization.