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Although Bitcoin was intended to be a decentralized digital currency, in practice, mining power is quite concentrated. This fact is a persistent source of concern for the Bitcoin community. We provide an explanation using a simple model to…

Cryptography and Security · Computer Science 2018-11-22 Nick Arnosti , S. Matthew Weinberg

It is widely accepted that Ethereum mining is highly centralized. Nonetheless, centralization has been mostly characterized by exclusively looking at the influence that independent miners or mining pools can have over the network. Moreover,…

Social and Information Networks · Computer Science 2020-10-16 Daniel Rincon Silva

Monero, the leading privacy-focused cryptocurrency, relies on a peer-to-peer (P2P) network to propagate transactions and blocks. Growing evidence suggests that non-standard nodes exist in the network, posing as honest nodes but are perhaps…

Networking and Internet Architecture · Computer Science 2025-09-15 Yannik Kopyciok , Stefan Schmid , Friedhelm Victor

Recently, blockchain technology has become a topic in the spotlight but also a hotbed of various cybercrimes. Among them, phishing scams on blockchain have been found making a notable amount of money, thus emerging as a serious threat to…

Social and Information Networks · Computer Science 2021-01-01 Jiajing Wu , Qi Yuan , Dan Lin , Wei You , Weili Chen , Chuan Chen , Zibin Zheng

Bitcoin uses blockchain technology to maintain transactions order and provides probabilistic guarantee to prevent double-spending, assuming that an attacker's computational power does not exceed %50 of the network power. In this paper, we…

Cryptography and Security · Computer Science 2024-11-19 Ghader Ebrahimpour , Mohammad Sayad Haghighi

Cryptocurrencies have garnered a lot of attention by governments and internet enthusiasts over the past three years. These currencies are celebrated for their security and speedy transactions in a modern era of digital commerce. Bitcoin was…

Cryptography and Security · Computer Science 2023-02-13 David Watkins

One of the defining features of Bitcoin and the thousands of cryptocurrencies that have been derived from it is a globally visible transaction ledger. While Bitcoin uses pseudonyms as a way to hide the identity of its participants, a long…

Cryptography and Security · Computer Science 2022-05-30 George Kappos , Haaroon Yousaf , Rainer Stütz , Sofia Rollet , Bernhard Haslhofer , Sarah Meiklejohn

We propose a mean field game model to study the question of how centralization of reward and computational power occur in Bitcoin-like cryptocurrencies. Miners compete against each other for mining rewards by increasing their computational…

Optimization and Control · Mathematics 2022-01-25 Zongxi Li , A. Max Reppen , Ronnie Sircar

Bitcoin is a representative decentralized currency system. For the security of Bitcoin, fairness in the distribution of mining rewards plays a crucial role in preventing the concentration of computational power in a few miners. Here,…

Cryptography and Security · Computer Science 2025-06-17 Akira Sakurai , Kazuyuki Shudo

Bitcoin was recently introduced as a peer-to-peer electronic currency in order to facilitate transactions outside the traditional financial system. The core of Bitcoin, the Blockchain, is the history of the transactions in the system…

Cryptography and Security · Computer Science 2017-05-04 Siamak Solat , Maria Potop-Butucaru

Blockchain systems often employ proof-of-work consensus protocols to validate and add transactions into hashchains. These protocols stimulate competition among miners in solving cryptopuzzles (e.g. SHA-256 hash computation in Bitcoin) in…

Computer Science and Game Theory · Computer Science 2020-05-13 Venkata Sriram Siddhardh Nadendla , Lav R. Varshney

Web-based hosting services for version control, such as GitHub, have made it easier for people to develop, share, and donate money to software repositories. In this paper, we study the use of Bitcoin to make donations to open source…

Computers and Society · Computer Science 2019-07-10 Yury Zhauniarovich , Yazan Boshmaf , Husam Al Jawaheri , Mashael Al Sabah

This research delves into the intricacies of Bitcoin, a decentralized peer-to-peer network, and its associated blockchain, which records all transactions since its inception. While this ensures integrity and transparency, the transparent…

Cryptography and Security · Computer Science 2023-11-22 Hugo Schnoering , Michalis Vazirgiannis

A new variation of blockchain proof of work algorithm is proposed to incentivize the timely execution of image processing algorithms. A sample image processing algorithm is proposed to determine interesting images using analysis of the…

Cryptography and Security · Computer Science 2017-07-17 Jake Billings

Blockchain-based cryptocurrencies prioritize transactions based on their fees, creating a unique kind of fee market. Empirically, this market has failed to yield stable equilibria with predictable prices for desired levels of service. We…

Cryptography and Security · Computer Science 2019-01-23 Soumya Basu , David Easley , Maureen O'Hara , Emin Gün Sirer

A cryptocurrency is a decentralized digital currency that is designed for secure and private asset transfer and storage. As a currency, it should be difficult to counterfeit and double-spend. In this paper, we review and analyze the major…

Cryptography and Security · Computer Science 2019-04-26 Ehab Zaghloul , Tongtong Li , Matt Mutka , Jian Ren

Blockchains and cryptocurrencies disrupted the conversion of energy into a medium of exchange. Numerous applications for blockchains and cryptocurrencies are now envisioned for purposes ranging from inventory control to banking…

Cryptography and Security · Computer Science 2021-01-05 Felipe Ribas Coutinho , Victor Pires , Claudio Miceli , Daniel Sadoc Menasche

We study the strategic considerations of miners participating in the bitcoin's protocol. We formulate and study the stochastic game that underlies these strategic considerations. The miners collectively build a tree of blocks, and they are…

Computer Science and Game Theory · Computer Science 2016-07-11 Aggelos Kiayias , Elias Koutsoupias , Maria Kyropoulou , Yiannis Tselekounis

In many blockchains, e.g., Ethereum, Binance Smart Chain (BSC), the primary representation used for wallet addresses is a hardly memorable 40-digit hexadecimal string. As a result, users often select addresses from their recent transaction…

Cryptography and Security · Computer Science 2025-07-03 Taro Tsuchiya , Jin-Dong Dong , Kyle Soska , Nicolas Christin

We present an analysis of the Proof-of-Work consensus algorithm, used on the Bitcoin blockchain, using a Mean Field Game framework. Using a master equation, we provide an equilibrium characterization of the total computational power devoted…

Theoretical Economics · Economics 2020-04-21 Charles Bertucci , Louis Bertucci , Jean-Michel Lasry , Pierre-Louis Lions
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