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docs/economics/index.md

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+
+# Economics
+
+Serai's economics change depending on which of three eras is currently
+occurring.
+
+## Genesis Era
+
+The network starts with the "Genesis" era, where the goal of the network is to
+attract the liquidity necessary to facilitate swaps. This period will last for
+30 days and will let anyone add liquidity to the protocol. Only with its
+conclusion will SRI start being distributed.
+
+After the Genesis era, the network enters the "Pre-Economic Security" era.
+
+## Pre-Economic Security
+
+{: .definition-title }
+> Definition: Economic Security
+>
+> Economic security is derived from it being unprofitable to misbehave.
+> This is by the economic penalty which is presumed to occur upon misbehavior
+> exceeding the value which would presumably be gained.
+> Accordingly, rational actors would behave properly, causing the protocol to
+> maintain its integrity.
+>
+> For Serai specifically, the stake required to produce unintended signatures
+> must exceed the value accessible via producing unintended signatures.
+
+With liquidity provided, and swaps enabled, the goal is to have validators stake
+sufficiently for economic security to be achieved. This is primarily via
+offering freshly minted, staked SRI to would-be validators who decide to swap
+external coins for their stake.
+
+## Post-Economic Security
+
+Having achieved economic security, the protocol changes its economics one last
+time (barring future upgrades to the protocol) to a 'normal' state of
+operations.