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Quantum devices capable of breaking the public-key cryptosystems that Bitcoin relies on to secure its transactions are expected with reasonable probability within a decade. Quantum attacks would put at risk the entire Bitcoin network, which…

Quantum Physics · Physics 2024-10-23 Jamie J. Pont , Joseph J. Kearney , Jack Moyler , Carlos A. Perez-Delgado

Blockchain-based cryptocurrencies secure a decentralized consensus protocol by incentives. The protocol participants, called miners, generate (mine) a series of blocks, each containing monetary transactions created by system users. As…

Cryptography and Security · Computer Science 2018-11-14 Itay Tsabary , Ittay Eyal

In this paper we revisit the mining strategies in proof of work based cryptocurrencies and propose two strategies, we call smart and smarter mining, that in many cases strictly dominate honest mining. In contrast to other known attacks,…

Cryptography and Security · Computer Science 2019-02-13 Guy Goren , Alexander Spiegelman

There is a growing interest in understanding the energy and environmental footprint of digital currencies, specifically in cryptocurrencies such as Bitcoin and Ethereum. These cryptocurrencies are operated by a geographically distributed…

Computers and Society · Computer Science 2022-10-24 Ashish Rajendra Sai , Harald Vranken

The Bitcoin system only provides eventual consistency. For everyday life, the time to confirm a Bitcoin transaction is prohibitively slow. In this paper we propose a new system, built on the Bitcoin blockchain, which enables strong…

Distributed, Parallel, and Cluster Computing · Computer Science 2014-12-30 Christian Decker , Jochen Seidel , Roger Wattenhofer

Blockchain systems run consensus rules as code to agree on the state of the distributed ledger and secure the network. Changing these rules can be risky and challenging. In addition, it can often be controversial and take much effort to…

Distributed, Parallel, and Cluster Computing · Computer Science 2024-02-15 Jakob Svennevik Notland , Mariusz Nowostawski , Jingyue Li

Bitcoins and Blockchain technologies are attracting the attention of different scientific communities. In addition, their widespread industrial applications and the continuous introduction of cryptocurrencies are also stimulating the…

Physics and Society · Physics 2018-07-24 Marco Alberto Javarone , Craig Steven Wright

In recent years, blockchain technology has been recognized as a transformative innovation in the tech world, and it has quickly become the core infrastructure of digital currencies such as Bitcoin and an important tool in various…

Cryptography and Security · Computer Science 2025-01-22 Mohsen Ghorbian , Mostafa Ghobaei-Arani

A key component of security in decentralized blockchains is proof of opportunity cost among block producers. In the case of proof-of-work (PoW), currently used by the most prominent systems, the cost is due to spent computation. In this…

Cryptography and Security · Computer Science 2020-12-08 George Bissias , Rainer Böhme , David Thibodeau , Brian N. Levine

Bitcoin users are directly or indirectly forced to deal with public key cryptography, which has a number of security and usability challenges that differ from the password-based authentication underlying most online banking services. Users…

Cryptography and Security · Computer Science 2018-02-14 Shayan Eskandari , Jeremy Clark , David Barrera , Elizabeth Stobert

Currently, there are no convincing proxies for the fundamentals of cryptocurrency assets. We propose a new market-to-fundamental ratio, the price-to-utility (PU) ratio, utilizing unique blockchain accounting methods. We then proxy various…

General Economics · Economics 2023-07-11 Yulin Liu , Luyao Zhang

Bitcoin is firmly becoming a mainstream asset in our global society. Its highly volatile nature has traders and speculators flooding into the market to take advantage of its significant price swings in the hope of making money. This work…

Machine Learning · Computer Science 2021-10-29 Nathan Crone , Eoin Brophy , Tomas Ward

Bitcoin is a peer-to-peer cryptographic currency system. Since its introduction in 2008, Bitcoin has gained noticeable popularity, mostly due to its following properties: (1) the transaction fees are very low, and (2) it is not controlled…

Cryptography and Security · Computer Science 2014-07-01 Marcin Andrychowicz , Stefan Dziembowski , Daniel Malinowski , Łukasz Mazurek

The Bitcoin protocol prescribes certain behavior by the miners who are responsible for maintaining and extending the underlying blockchain; in particular, miners who successfully solve a puzzle, and hence can extend the chain by a block,…

Computer Science and Game Theory · Computer Science 2019-06-12 Francisco J. Marmolejo-Cossío , Eric Brigham , Benjamin Sela , Jonathan Katz

The security of blockchain systems is fundamentally based on the decentralized consensus in which the majority of parties behave honestly, and the content verification process is essential to maintaining the robustness of blockchain…

Cryptography and Security · Computer Science 2025-08-21 Zishuo Zhao , Xi Chen , Yuan Zhou

Cryptographic algorithms have been used not only to create robust ciphertexts but also to generate cryptograms that, contrary to the classic goal of cryptography, are meant to be broken. These cryptograms, generally called puzzles, require…

Cryptography and Security · Computer Science 2022-08-03 Isra Mohamed Ali , Maurantonio Caprolu , Roberto Di Pietro

Bitcoin and Ethereum are the top two blockchain-based cryptocurrencies whether from cryptocurrency market cap or popularity. However, they are vulnerable to selfish mining and stubborn mining due to that both of them adopt Proof-of-Work…

Cryptography and Security · Computer Science 2021-12-07 Runkai Yang , Xiaolin Chang , Jelena Mišić , Vojislav B. Mišić

Bitcoin's price has been described as following a power law (PL) in time, $P \sim t^{\beta}$ with $\hat\beta \approx 5.7$ over 2010-2026. We test this claim using the Clauset-Shalizi-Newman protocol applied to Bitcoin's tail-relevant…

Applications · Statistics 2026-05-21 Carlos Baquero , Raquel Menezes

Cryptocurrencies employ auction-esque transaction fee mechanisms (TFMs) to allocate transactions to blocks, and to determine how much fees miners can collect from transactions. Several impossibility results show that TFMs that satisfy a…

Computer Science and Game Theory · Computer Science 2024-05-24 Yotam Gafni , Aviv Yaish

Bitcoin and many other similar Cryptocurrencies have been in existence for over a decade, prominently focusing on decentralized, pseudo-anonymous ledger-based transactions. Many protocol improvements and changes have resulted in new…

Cryptography and Security · Computer Science 2024-09-10 Chaitanya Rahalkar , Anushka Virgaonkar