Firm Inside Info Auctions

In the process of seeing and doing things, firm principals acquire “inside” info on the future value of their firm, and on the wisdom of particular firm decisions. It often makes sense for firms to want such inside info to be reflected in their stock (or token) price. In part so the market can better direct resources to more promising firms.For firm decisions subject to outside oversight, such as by shareholders, partners, or regulators, it also makes sense to want outsiders to know key firm info. And for firms controlled at least in part by decision markets (firm value conditional on particular decisions), it makes even more sense for firms to want decision market prices to reflect key firm info.However, while firms can want market prices to reflect the implications of key inside info, they can also want to keep key insights, plans, and strategies private. So firms face a problem: how to get market prices, and oversight bodies, to reflect the implications of firm inside info, without…