Operation Costs

Ai Puppy Ledger: https://ledger.aipuppy.org/

Operating Costs in the Infinite Prisoner's Dilemma: Tit for Tat

We'll explain why it's in the Developer's best interest to adhere to the guideline rules using the concept of the infinite prisoner's dilemma. In this scenario, Developer and Participant make decisions across multiple rounds, where cooperation or defection influences outcomes over time in a recurring interaction.

Simplified Scenario:

24-Hour Daily Total Transactions: $200,000

2% Daily Community Wallet: $4,000

1% Daily Burn Wallet: $2,000

0.5% Daily Operating Cost: $1,000

Two Players, Developer (D) and Participant (P):

Imagine a situation where D conducts daily burns of transactions and manages community wallet expenses. When P buys more $PUPPY tokens, they trigger the transfer tax, generating increased revenue. Both players achieve their goals: D earns a 0.5% commission for operating costs, and P holds $PUPPY tokens, benefiting from the deflationary supply and community wallet utilization.

Now, suppose D remains honest and follows the rules, even if P decides to defect and sell $PUPPY tokens shortly afterward. P's sale triggers the transfer tax again, leading to increased revenue. This additional revenue is then used to recruit new members to the Ai Puppy project (Rico's Revolving Door Hypothesis).

However, if D ignores their responsibilities and takes all the funds from the community wallet for themselves, it causes chaos. P, sensing betrayal, might quickly sell off their $PUPPY tokens, damaging trust and reputation. While D might gain a quick $6,000 from the community and burn wallet, it's a short-term gain. In contrast, by sticking to the rules and maintaining the community wallet, D could earn $1,000 every day. In just a week, that's $7,000, far more than the quick payout from defection.

Now, lets imagine a scenario where the community wallet has reached $40,000, designated for a centralized exchange listing. Despite the allure of a substantial payout in this situation, adhering to the rules remains the more prudent choice. The potential long-term benefits of following the guidelines, which could amount to $7,000 over a week if daily transactions remain consistent, outweigh the short-term gains from defection. Moreover, when viewed over a more extended period, such as one year, the cumulative payout grows exponentially alongside the growth in market cap. Therefore, it's always advisable for the Developer to uphold the rules, ensuring sustained success and building trust within the community.

As time progresses, the ledger, a record of written transactions, grows longer each day. This continuous expansion serves to strengthen the bond between the Developer and the Participant, cultivating trust over time. Furthermore, it is in the Participants' best interest to regularly review the ledger on the Solana blockchain, comparing and verifying the transactions that have already been executed.

Ledger, a book of records of funds spent: https://ledger.aipuppy.org/

Solana wallet address: aipuppy.sol