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" ... This system works because REP holders are independent of market participants and because REP holders are global and pseudo-anonymous, making large-scale collusion nearly impossible. Bet-losers and REP holders cannot easily identify and try to coerce REP holders to collude to report a false event outcome. Even if REP holders did collude and intentionally misreported an event outcome, people would lose faith in the Augur network and the value of REP tokens would plummet, harming the colluders. ... "