Abstract

Arbitrating disputes involving crypto assets demands new approaches to valuation and damages. While liquid cryptocurrencies have market quotes, many tokens trade thinly, giving wide bid-ask spreads and opaque pricing. Valuing crypto businesses is similarly difficult: few public comparables exist, and volatility can make future cash flows unpredictable. As one analyst notes, "the choice of valuation date can significantly impact" damages in the crypto winter. Furthermore, attributing losses to a breach must control for wild market swings: isolating a state or counterparty ...