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Proof of Stake (PoS) is a burgeoning Sybil resistance mechanism that aims to have a digital asset ("token") serve as security collateral in crypto networks. However, PoS has so far eluded a comprehensive threat model that encompasses both…

General Finance · Quantitative Finance 2020-02-05 Tarun Chitra

Proof-of-work blockchains reward each miner for one completed block by an amount that is, in expectation, proportional to the number of hashes the miner contributed to the mining of the block. Is this proportional allocation rule optimal?…

Computer Science and Game Theory · Computer Science 2019-09-25 Xi Chen , Christos Papadimitriou , Tim Roughgarden

Envisioned to be the future of secured distributed systems, blockchain networks have received increasing attention from both the industry and academia in recent years. However, blockchain mining processes demand high hardware costs and…

Cryptography and Security · Computer Science 2020-02-28 Minghong Fang , Jia Liu

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

In the white book of Bitcion, Satoshi Nakamoto described a bitcoin system that can realize point-to-point online payment without a third-party organization. After supporting this magical application scenario and subverting the traditional…

Cryptography and Security · Computer Science 2022-09-26 Shi Yan

The idea of security sharing goes back to Nakamoto's introduction of merge mining, a technique that enables Bitcoin miners to reuse their hash power to bootstrap and secure other Proof-of-Work (PoW) blockchains. However, with the rise of…

Cryptography and Security · Computer Science 2026-05-20 Xinshu Dong , Orfeas Stefanos Thyfronitis Litos , Ertem Nusret Tas , David Tse , Robin Linus Woll , Lei Yang , Mingchao Yu

Blockchains rely on a consensus among participants to achieve decentralization and security. However, reaching consensus in an online, digital world where identities are not tied to physical users is a challenging problem. Proof-of-work…

Cryptography and Security · Computer Science 2020-11-16 Hjalmar Turesson , Henry M. Kim , Marek Laskowski , Alexandra Roatis

Blockchain introduces decentralized trust in peer-to-peer networks, advancing security and democratizing systems. Yet, a unified definition for decentralization remains elusive. Our Systematization of Knowledge (SoK) seeks to bridge this…

General Economics · Economics 2023-08-21 Luyao Zhang , Xinshi Ma , Yulin Liu

One decade ago, Bitcoin was introduced, becoming the first cryptocurrency and establishing the concept of "blockchain" as a distributed ledger. As of today, there are many different implementations of cryptocurrencies working over a…

Neural and Evolutionary Computing · Computer Science 2019-07-26 Alejandro Baldominos , Yago Saez

Permissionless blockchains such as Bitcoin have long been criticized for their high computational and storage overhead. Unfortunately, while a number of proposals address the energy consumption of existing Proof-of-Work deployments, little…

Cryptography and Security · Computer Science 2022-07-01 Alessandro Sforzin , Matteo Maso , Claudio Soriente , Ghassan Karame

Bitcoin is the most secure blockchain in the world, supported by the immense hash power of its Proof-of-Work miners, but consumes huge amount of energy. Proof-of-Stake chains are energy-efficient, have fast finality and accountability, but…

Cryptography and Security · Computer Science 2022-01-21 Ertem Nusret Tas , David Tse , Fisher Yu , Sreeram Kannan

Proof-of-work (PoW) cryptocurrencies rely on a balance of security and fairness in order to maintain a sustainable ecosystem of miners and users. Users demand fast and consistent transaction confirmation, and in exchange drive the adoption…

Cryptography and Security · Computer Science 2023-06-22 Patrik Keller , Ben Glickenhaus , George Bissias , Gregory Griffith

We study Nash-dynamics in the context of blockchain protocols. We introduce a formal model, within which one can assess whether the Nash dynamics can lead utility-maximizing participants to defect from the "honest" protocol operation,…

Cryptography and Security · Computer Science 2022-03-24 Dimitris Karakostas , Aggelos Kiayias , Thomas Zacharias

Bitcoin is a "crypto currency", a decentralized electronic payment scheme based on cryptography which has recently gained excessive popularity. Scientific research on bitcoin is less abundant. A paper at Financial Cryptography 2012…

Cryptography and Security · Computer Science 2014-04-11 Nicolas T. Courtois , Marek Grajek , Rahul Naik

We study game-theoretic models for capturing participation in blockchain systems. Permissionless blockchains can be naturally viewed as games, where a set of potentially interested users is faced with the dilemma of whether to engage with…

Computer Science and Game Theory · Computer Science 2023-12-06 Pyrros Chaidos , Aggelos Kiayias , Evangelos Markakis

Blockchains revolutionized centralized sectors like banking and finance by promoting decentralization and transparency. In a blockchain, information is transmitted through transactions issued by participants or applications. Miners…

Cryptography and Security · Computer Science 2024-05-30 Johnnatan Messias Peixoto Afonso

Blockchains and peer-to-peer systems are part of a trend towards computer systems that are "radically decentralised", by which we mean that they 1) run across many participants, 2) without central control, and 3) are such that qualities 1…

Cryptography and Security · Computer Science 2025-04-24 Murdoch J. Gabbay

Proof-of-Stake blockchains based on a longest-chain consensus protocol are an attractive energy-friendly alternative to the Proof-of-Work paradigm. However, formal barriers to "getting the incentives right" were recently discovered, driven…

Computer Science and Game Theory · Computer Science 2023-10-31 Matheus V. X. Ferreira , S. Matthew Weinberg

This paper studies a fundamental problem regarding the security of blockchain PoW consensus on how the existence of multiple misbehaving miners influences the profitability of selfish mining. Each selfish miner (or attacker interchangeably)…

Cryptography and Security · Computer Science 2023-04-04 Qianlan Bai , Yuedong Xu , Nianyi Liu , Xin Wang

We argue that recent developments in proof-of-work consensus mechanisms can be used in accordance with advancements in formal verification techniques to build a distributed payment protocol that addresses important economic drawbacks from…

Cryptography and Security · Computer Science 2020-05-14 Assimakis Kattis , Fabian Trottner