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We propose a bitcoin generalization as a solution to the problem of scalability. The block is redefined as a sequence of sub-blocks of increasing sizes that coexist as different levels of compromise between decentralization and transactions…

Cryptography and Security · Computer Science 2018-05-15 Santi J. Vives

Proof of Stake (PoS) protocols rely on voting mechanisms to reach consensus on the current state. If an enhanced majority of staking nodes, also called validators, agree on a proposed block, then this block is appended to the blockchain.…

Computer Science and Game Theory · Computer Science 2021-07-20 Stefanos Leonardos , Daniel Reijsbergen , Georgios Piliouras

The choice of the consensus method ultimately determines throughput, scalability, tamper resistance, and consistency of a blockchain system. However, across all the types of blockchain (private, semi-private, consortium, or public), there…

Cryptography and Security · Computer Science 2018-11-14 Ernst-Georg Schmid

We propose a proof-of-work algorithm that rewards blockchain miners for using computational resources to solve NP-complete puzzles. The resulting blockchain will publicly store and improve solutions to problems with real world applications…

Distributed, Parallel, and Cluster Computing · Computer Science 2017-09-05 Carlos G. Oliver , Alessandro Ricottone , Pericles Philippopoulos

In recent years decentralized currencies developed through Blockchains are increasingly becoming popular because of their transparent nature and absence of a central controlling authority. Though a lot of computation power, disk space, and…

Databases · Computer Science 2023-05-15 Anirudha Paul

Bitcoin uses blockchain technology and proof-of-work (PoW) mechanism where nodes spend computing resources and earn rewards in return for spending these resources. This incentive system has caused power to be significantly biased towards a…

Cryptography and Security · Computer Science 2019-09-04 Yujin Kwon , Jian Liu , Minjeong Kim , Dawn Song , Yongdae Kim

Decentralization has been touted as the principal security advantage which propelled blockchain systems at the forefront of developments in the financial technology space. Its exact semantics nevertheless remain highly contested and…

Cryptography and Security · Computer Science 2024-04-16 Christina Ovezik , Dimitris Karakostas , Aggelos Kiayias

We analyze the economic incentives generated by the proof-of-stake mechanism discussed in the Ethereum Casper upgrade proposal. Compared with proof-of-work, proof-of-stake has a different cost structure for attackers. In Budish (2018),…

Cryptography and Security · Computer Science 2018-07-26 George Gui , Ali Hortacsu , Jose Tudon

We study long-term equilibria that arise in the token monetary policy, or tokenomics, design of proof-of-stake (PoS) blockchain systems that engage utility maximizing users and validators. Validators are system maintainers who get rewarded…

Computer Science and Game Theory · Computer Science 2025-02-13 Aggelos Kiayias , Philip Lazos , Paolo Penna

Ethereum 2.0, as the preeminent smart contract blockchain platform, guarantees the precise execution of applications without third-party intervention. At its core, this system leverages the Proof-of-Stake (PoS) consensus mechanism, which…

General Economics · Economics 2025-08-11 Tao Yan , Shengnan Li , Benjamin Kraner , Luyao Zhang , Claudio J. Tessone

Decentralisation is one of the promises introduced by blockchain technologies: fair and secure interaction amongst peers with no dominant positions, single points of failure or censorship. Decentralisation, however, appears difficult to be…

Distributed, Parallel, and Cluster Computing · Computer Science 2019-11-20 Andrea Bracciali , Davide Grossi , Ronald de Haan

Blockchain (BC), the technology behind the Bitcoin cryptocurrency system, is starting to be adopted for ensuring enhanced security and privacy in the Internet of Things (IoT) ecosystem. Fervent research is currently being focused in both…

Cryptography and Security · Computer Science 2018-06-15 Mahdi H. Miraz , Maaruf Ali

Researchers have discovered a series of theoretical attacks against Bitcoin's Nakamoto consensus; the most damaging ones are selfish mining, double-spending, and consistency delay attacks. These attacks have one common cause: block…

Cryptography and Security · Computer Science 2023-12-04 Jianyu Niu , Fangyu Gai , Runchao Han , Ren Zhang , Yinqian Zhang , Chen Feng

Thousands of cryptocurrencies have been issued and publicly exchanged since Bitcoin was invented in 2008. The total cryptocurrency market value exceeds 300 billion US dollars as of 2019. This paper analyzes the prices, volumes, blockchain…

Statistical Finance · Quantitative Finance 2022-04-21 Xiao Fan Liu , Zeng-Xian Lin , Xiao-Pu Han

Proof-of-Work (PoW) consensus is traditionally analyzed under the assumption that all miners incur similar costs per unit of computational effort. In reality, costs vary due to factors such as regional electricity cost differences and…

Computer Science and Game Theory · Computer Science 2025-05-29 Yogev Bar-On , Ilan Komargodski , Omri Weinstein

This research study focuses primarily on Block-Chain-based voting systems, which facilitate participation in and administration of voting for voters, candidates, and officials. Because we used Block-Chain in the backend, which enables…

Machine Learning · Computer Science 2023-03-14 Jagbeer Singh , Utkarsh Rastogi , Yash Goel , Brijesh Gupta , Utkarsh

Bitcoin stands as a groundbreaking development in decentralized exchange throughout human history, enabling transactions without the need for intermediaries. By leveraging cryptographic proof mechanisms, Bitcoin eliminates the reliance on…

Cryptography and Security · Computer Science 2024-04-09 Han Song , Yihao Wei , Zhongche Qu , Weihan Wang

In cryptocurrencies, the block reward is meant to serve as the incentive mechanism for miners to commit resources to create blocks and in effect secure the system. Existing systems primarily divide the reward in proportion to expended…

Computer Science and Game Theory · Computer Science 2021-03-24 Lucianna Kiffer , Rajmohan Rajaraman

The transition to post-quantum cryptography in blockchain systems such as Bitcoin and Ethereum is often framed as a purely cryptographic problem. In practice, it also presents significant economic and infrastructural challenges: in globally…

Cryptography and Security · Computer Science 2026-05-11 Keir Finlow-Bates , Markus Jakobsson , Hossein Siadati

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