{"paper":{"title":"Reserve Depletion and Security Runway in Proof-of-Stake Systems","license":"http://creativecommons.org/licenses/by/4.0/","headline":"","cross_cats":["econ.TH"],"primary_cat":"cs.GT","authors_text":"Manvir Schneider, Paolo Penna","submitted_at":"2026-06-02T12:54:16Z","abstract_excerpt":"Many proof-of-stake protocols finance validator rewards from two sources: transaction fees and a finite reserve of tokens. This creates a dynamic hand-off problem. Early in the life of the system, fees may be too small to fund the target level of security; later, fees may become sufficient. The central question is whether the reserve provides enough runway for the protocol to remain secure until this fee-only region is reached. We study this problem in a discrete-time stochastic model of validator participation. Token price and transaction demand fluctuate over time, while validators choose pa"},"claims":{"count":0,"items":[],"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57"},"source":{"id":"2606.03587","kind":"arxiv","version":1},"verdict":{"id":null,"model_set":{},"created_at":null,"strongest_claim":"","one_line_summary":"","pipeline_version":null,"weakest_assumption":"","pith_extraction_headline":""},"integrity":{"clean":true,"summary":{"advisory":0,"critical":0,"by_detector":{},"informational":0},"endpoint":"/pith/2606.03587/integrity.json","findings":[],"available":true,"detectors_run":[],"snapshot_sha256":"c28c3603d3b5d939e8dc4c7e95fa8dfce3d595e45f758748cecf8e644a296938"},"references":{"count":0,"sample":[],"resolved_work":0,"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57","internal_anchors":0},"formal_canon":{"evidence_count":0,"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57"},"author_claims":{"count":0,"strong_count":0,"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57"},"builder_version":"pith-number-builder-2026-05-17-v1"}