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In this paper, we consider the problem of cross-chain payment whereby customers of different escrows -- implemented by a bank or a blockchain smart contract -- successfully transfer digital assets without trusting each other. Prior to this…

Distributed, Parallel, and Cluster Computing · Computer Science 2019-12-11 Rob van Glabbeek , Vincent Gramoli , Pierre Tholoniat

Cryptocurrencies such as Bitcoin and Ethereum have made payment transactions possible without a trusted third party, but they have a scalability issue due to their consensus mechanisms. Payment networks have emerged to overcome this…

Cryptography and Security · Computer Science 2025-03-25 Junmo Lee , Seongjun Kim , Sanghyeon Park , Soo-Mook Moon

Banking as an essential service can be hard to access in remote, rural regions where the network connectivity is intermittent. Although micro-banking has been made possible by SMS or USSD messages in some places, their security flaws and…

Payment channel networks are supposed to overcome technical scalability limitations of blockchain infrastructure by employing a special overlay network with fast payment confirmation and only sporadic settlement of netted transactions on…

Computational Engineering, Finance, and Science · Computer Science 2017-11-08 Felix Engelmann , Florian Glaser , Henning Kopp , Frank Kargl , Christof Weinhardt

Blockchain-based cryptocurrencies received a lot of attention recently for their applications in many domains. IoT domain is one of such applications, which can utilize cryptocur-rencies for micro payments without compromising their payment…

Cryptography and Security · Computer Science 2020-12-15 Suat Mercan , Enes Erdin , Kemal Akkaya

Cross-chain technology facilitates the interoperability among isolated blockchains on which users can freely communicate and transfer values. Existing cross-chain protocols suffer from the scalability problem when processing on-chain…

Cryptography and Security · Computer Science 2022-12-15 Yihao Guo , Minghui Xu , Dongxiao Yu , Yong Yu , Rajiv Ranjan , Xiuzhen Cheng

Decentralized payment systems such as Bitcoin have become massively popular in the last few years, yet there is still much to be done in understanding their formal properties. The vast majority of decentralized payment systems work by…

Distributed, Parallel, and Cluster Computing · Computer Science 2022-06-22 Thomas Orton

We introduce a geometric theory of payment channel networks that centers the polytope $W_G$ of feasible wealth distributions; liquidity states $L_G$ project onto $W_G$ via strict circulations. A payment is feasible iff the post-transfer…

Networking and Internet Architecture · Computer Science 2026-01-09 Rene Pickhardt

A payment channel network is a blockchain-based overlay mechanism that allows parties to transact more efficiently than directly using the blockchain. These networks are composed of payment channels that carry transactions between pairs of…

Networking and Internet Architecture · Computer Science 2026-03-10 Suryanarayana Sankagiri , Bruce Hajek

Bitcoin, Ethereum and other blockchain-based cryptocurrencies, as deployed today, cannot scale for wide-spread use. A leading approach for cryptocurrency scaling is a smart contract mechanism called a payment channel which enables two…

Cryptography and Security · Computer Science 2017-12-04 Andrew Miller , Iddo Bentov , Ranjit Kumaresan , Christopher Cordi , Patrick McCorry

Blockchains use peer-to-peer networks for disseminating information among peers, but these networks currently do not have any provable guarantees for desirable properties such as Byzantine fault tolerance, good connectivity and small…

Distributed, Parallel, and Cluster Computing · Computer Science 2022-02-01 Vijeth Aradhya , Seth Gilbert , Aquinas Hobor

Payment channel networks provide a fast and scalable solution to relay funds, acting as a second layer to slower and less scalable blockchain protocols. In this paper, we present an accessible, low-cost attack in which the attacker…

Cryptography and Security · Computer Science 2021-02-02 Ayelet Mizrahi , Aviv Zohar

Cryptocurrencies came to the world in the recent decade and attempted to offer a new order where the financial system is not governed by a centralized entity, and where you have complete control over your account without the need to trust…

Distributed, Parallel, and Cluster Computing · Computer Science 2019-09-26 Asa Dan

While the original purpose of blockchains was to realize a payment system, it has been shown that, in fact, such systems do not require consensus and can be implemented deterministically in asynchronous networks. State-of-the-art payment…

Distributed, Parallel, and Cluster Computing · Computer Science 2023-05-12 Andrew Lewis-Pye , Oded Naor , Ehud Shapiro

A typical blockchain protocol uses consensus to make sure that mutually mistrusting users agree on the order in which their operations on shared data are executed. However, it is known that asset transfer systems, by far the most popular…

Distributed, Parallel, and Cluster Computing · Computer Science 2023-04-28 Andrei Tonkikh , Pavel Ponomarev , Petr Kuznetsov , Yvonne-Anne Pignolet

Payment networks were introduced to address the limitation on the transaction throughput of popular blockchains. To open a payment channel one has to publish a transaction on-chain and pay the appropriate transaction fee. A transaction can…

Computer Science and Game Theory · Computer Science 2019-08-06 Georgia Avarikioti , Rolf Scheuner , Roger Wattenhofer

Payment protocols developed to realize off-chain transactions in Payment channel network (PCN) assumes the underlying routing algorithm transfers the payment via a single path. However, a path may not have sufficient capacity to route a…

Cryptography and Security · Computer Science 2022-02-08 Subhra Mazumdar , Sushmita Ruj

Payment channel networks use off-chain transactions to provide virtually arbitrary transaction rates. In this paper, we provide a new perspective on payment channels and consider them as a flow network. We propose an extended push-relabel…

Networking and Internet Architecture · Computer Science 2017-09-27 Elias Rohrer , Jann-Frederik Laß , Florian Tschorsch

As blockchains continue to seek to scale to a larger number of nodes, the communication complexity of protocols has become a significant priority as the network can quickly become overburdened. Several schemes have attempted to address…

Information Theory · Computer Science 2023-05-11 Ilan Tennenhouse , Netanel Raviv

A blockchain facilitates secure and atomic transactions between mutually untrusting parties on that chain. Today, there are multiple blockchains with differing interfaces and security properties. Programming in this multi-blockchain world…

Cryptography and Security · Computer Science 2024-03-13 Huaixi Lu , Akshay Jajoo , Kedar S. Namjoshi