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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

Blockchain technology has evolved through many changes and modifications, such as smart-contracts since its inception in 2008. The popularity of a blockchain system is due to the fact that it offers a significant security advantage over…

Bitcoin already faces a quantum threat through Shor attacks on elliptic-curve signatures. This paper isolates the other component that public discussion often conflates with it: mining. Grover's algorithm halves the exponent of brute-force…

Quantum Physics · Physics 2026-03-30 Pierre-Luc Dallaire-Demers , BTQ Technologies Team

In relation to the traditional financial markets, the cryptocurrency market is a recent invention and the trading dynamics of all its components are readily recorded and stored. This fact opens up a unique opportunity to follow the…

Statistical Finance · Quantitative Finance 2023-05-11 Stanisław Drożdż , Jarosław Kwapień , Marcin Wątorek

There are no solid arguments to sustain that digital currencies are the future of online payments or the disruptive technology that some of its former participants declared when used to face critiques. This paper aims to solve the…

Statistical Finance · Quantitative Finance 2018-12-03 Obryan Poyser

The internet landscape is growing and at the same time becoming more heterogeneous. Services are performed via computers and networks, critical data is stored digitally. This enables freedom for the user, and flexibility for operators. Data…

Cryptography and Security · Computer Science 2020-12-17 Simon D Duque Anton , Daniel Fraunholz , Daniel Schneider

Our aim is to determine conditions for quantum computing technology to give rise to security risks associated with quantum Bitcoin mining. Specifically, we determine the speed and energy efficiency a quantum computer needs to offer an…

Quantum Physics · Physics 2021-10-05 Robert R. Nerem , Daya R. Gaur

As the second largest cryptocurrency by market capitalization and today's biggest decentralized platform that runs smart contracts, Ethereum has received much attention from both industry and academia. Nevertheless, there exist very few…

Cryptography and Security · Computer Science 2021-07-13 Jianyu Niu , Chen Feng

Bitcoin is by far the most popular crypto-currency solution enabling peer-to-peer payments. Despite some studies highlighting the network does not provide full anonymity, it is still being heavily used for a wide variety of dubious…

Social and Information Networks · Computer Science 2019-12-30 Yining Hu , Suranga Seneviratne , Kanchana Thilakarathna , Kensuke Fukuda , Aruna Seneviratne

Smart Contracts (SCs) in Ethereum can automate tasks and provide different functionalities to a user. Such automation is enabled by the `Turing-complete' nature of the programming language (Solidity) in which SCs are written. This also…

Cryptography and Security · Computer Science 2021-06-28 Rachit Agarwal , Tanmay Thapliyal , Sandeep Kumar Shukla

The number of blockchain users has tremendously grown in recent years. As an unintended consequence, e-crime transactions on blockchains has been on the rise. Consequently, public blockchains have become a hotbed of research for developing…

Cryptography and Security · Computer Science 2020-10-29 Cuneyt G. Akcora , Sudhanva Purusotham , Yulia R. Gel , Mitchell Krawiec-Thayer , Murat Kantarcioglu

Demand flexibility plays a pivotal role in modern power systems with high penetration of variable energy resources. In recent years, one of the fastest-growing flexible energy demands has been proof-of-work-based cryptocurrency mining…

Systems and Control · Electrical Eng. & Systems 2023-03-17 Rayan El Helou , Ali Menati , Le Xie

Cryptocurrencies have become a popular and widely researched topic of interest in recent years for investors and scholars. In order to make informed investment decisions, it is essential to comprehend the factors that impact cryptocurrency…

Statistical Finance · Quantitative Finance 2023-08-21 Abdulrezzak Zekiye , Semih Utku , Fadi Amroush , Oznur Ozkasap

In recent years, the tendency of the number of financial institutions including cryptocurrencies in their portfolios has accelerated. Cryptocurrencies are the first pure digital assets to be included by asset managers. Although they have…

Trading and Market Microstructure · Quantitative Finance 2022-01-31 Fan Fang , Carmine Ventre , Michail Basios , Leslie Kanthan , Lingbo Li , David Martinez-Regoband , Fan Wu

Cybercrime markets support the development and diffusion of new attack technologies, vulnerability exploits, and malware. Whereas the revenue streams of cyber attackers have been studied multiple times in the literature, no quantitative…

Cryptography and Security · Computer Science 2018-01-08 Luca Allodi

Cryptocurrency refers to a type of digital asset that uses distributed ledger, or blockchain, technology to enable a secure transaction. Although the technology is widely misunderstood, many central banks are considering launching their own…

Computational Finance · Quantitative Finance 2020-07-30 Wolfgang Karl Härdle , Campbell R. Harvey , Raphael C. G. Reule

Multiple works have leveraged the public Bitcoin ledger to estimate the revenue cybercriminals obtain from their victims. Estimations focusing on the same target often do not agree, due to the use of different methodologies, seed addresses,…

Cryptography and Security · Computer Science 2023-11-29 Gibran Gomez , Kevin van Liebergen , Juan Caballero

Marketplaces specializing in malicious hacking products - including malware and exploits - have recently become more prominent on the darkweb and deepweb. We scrape 17 such sites and collect information about such products in a unified…

Cryptography and Security · Computer Science 2016-07-28 Ericsson Marin , Ahmad Diab , Paulo Shakarian

The bitcoin peer-to-peer network has drawn significant attention from researchers, but so far has mostly focused on publicly visible portions of the network, i.e., publicly reachable peers. This mostly ignores the hidden parts of the…

Networking and Internet Architecture · Computer Science 2017-09-21 Liang Wang , Ivan Pustogarov

We study selfish mining in Ethereum. The problem is combinatorially more complex than in Bitcoin because of major differences in the reward system and a different difficulty adjustment formula. Equivalent strategies in Bitcoin do have…

Cryptography and Security · Computer Science 2019-05-01 Cyril Grunspan , Ricardo Pérez-Marco
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