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The number of attacks and accidents leading to significant losses of crypto-assets is growing. According to Chainalysis, in 2021, approx. $14 billion has been lost due to various incidents, and this number is dominated by Decentralized…

Logic in Computer Science · Computer Science 2022-03-16 Eske Hoy Nielsen , Danil Annenkov , Bas Spitters

Transaction selection in parallel or DAG-based distributed ledger technologies (DLTs) is a crucial challenge that directly impacts throughput, fairness, and validator incentives. In these systems, validators independently choose…

Computer Science and Game Theory · Computer Science 2026-05-11 Sebastian Müller , Alexandre Reiffers-Masson

We study the accuracy of differentially private mechanisms in the continual release model. A continual release mechanism receives a sensitive dataset as a stream of $T$ inputs and produces, after receiving each input, an accurate output on…

Data Structures and Algorithms · Computer Science 2022-01-12 Palak Jain , Sofya Raskhodnikova , Satchit Sivakumar , Adam Smith

Decentralized blockchain platforms have enabled the secure exchange of crypto-assets without the intermediation of trusted authorities. To this purpose, these platforms rely on a peer-to-peer network of byzantine nodes, which…

Cryptography and Security · Computer Science 2023-06-22 Massimo Bartoletti , Letterio Galletta , Maurizio Murgia

Exchanges acquire excess processing capacity to accommodate trading activity surges associated with zero-sum high-frequency trader (HFT) "duels." The idle capacity's opportunity cost is an externality of low-latency trading. We build a…

Trading and Market Microstructure · Quantitative Finance 2019-07-26 Michael Brolley , Marius Zoican

User transactions on Ethereum's peer-to-peer network are at risk of being attacked. The smart contracts building decentralized finance (DeFi) have introduced a new transaction ordering dependency to the Ethereum blockchain. As a result,…

Cryptography and Security · Computer Science 2022-09-23 Lioba Heimbach , Roger Wattenhofer

We investigate the most common type of blockchain-based decentralized exchange, which are known as constant function market makers (CFMMs). We examine the the market microstructure around CFMMs and present a model for valuing the liquidity…

Cryptography and Security · Computer Science 2023-06-21 Richard Dewey , Craig Newbold

Cloud computing has been an emerging model which aims at allowing customers to utilize computing resources hosted by Cloud Service Providers (CSPs). More and more consumers rely on CSPs to supply computing and storage service on the one…

Distributed, Parallel, and Cluster Computing · Computer Science 2013-07-24 Xuelin Shi , Ke Xu , JiangChuan Liu , Yong Wang

Research in transaction processing has made significant progress in improving the performance of multi-core in-memory transactional systems. However, the focus has mainly been on low-contention workloads. Modern transactional systems…

Databases · Computer Science 2018-10-05 Guna Prasaad , Alvin Cheung , Dan Suciu

Public blockchains implement a fee mechanism to allocate scarce computational resources across competing transactions. Most existing fee market designs utilize a joint, fungible unit of account (e.g., gas in Ethereum) to price otherwise…

Optimization and Control · Mathematics 2022-11-04 Theo Diamandis , Alex Evans , Tarun Chitra , Guillermo Angeris

In this work, we propose an order book model with herd behavior. The proposed model is built upon two distinct approaches: a recent empirical study of the detailed order book records by Kanazawa et al. [Phys. Rev. Lett. 120, 138301] and…

Statistical Finance · Quantitative Finance 2019-04-09 Aleksejus Kononovicius , Julius Ruseckas

In this paper, we investigate two methods that allow us to automatically create profitable DeFi trades, one well-suited to arbitrage and the other applicable to more complicated settings. We first adopt the Bellman-Ford-Moore algorithm with…

Cryptography and Security · Computer Science 2021-03-04 Liyi Zhou , Kaihua Qin , Antoine Cully , Benjamin Livshits , Arthur Gervais

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

Many classical blockchains are known to have an embarrassingly low transaction throughput, down to Bitcoin's notorious seven transactions per second limit.Various proposals and implementations for increasing throughput emerged in the first…

Cryptography and Security · Computer Science 2023-03-08 Lioba Heimbach , Quentin Kniep , Yann Vonlanthen , Roger Wattenhofer

Improving transaction throughput is one of the main challenges in decentralized payment systems. Attempts to improve transaction throughput in cryptocurrencies are usually a trade-off between throughput and security or introduce a central…

Distributed, Parallel, and Cluster Computing · Computer Science 2019-10-16 Rowel Gündlach , Jaap-Henk Hoepman , Remco van der Hofstad , Tommy Koens , Stijn Meijer

Flaws of a continuous limit order book mechanism raise the question of whether a continuous trading session and a periodic auction session would bring better efficiency. This paper wants to go further in designing a periodic auction when…

Trading and Market Microstructure · Quantitative Finance 2024-10-17 Thibaut Mastrolia , Tianrui Xu

Many researchers have proposed replacing the aggregation server in federated learning with a blockchain system to improve privacy, robustness, and scalability. In this approach, clients would upload their updated models to the blockchain…

Distributed, Parallel, and Cluster Computing · Computer Science 2023-11-15 Yongding Tian , Zhuoran Guo , Jiaxuan Zhang , Zaid Al-Ars

We study the statistical regularities of opening call auction using the ultra-high-frequency data of 22 liquid stocks traded on the Shenzhen Stock Exchange in 2003. The distribution of the relative price, defined as the relative difference…

Statistical Finance · Quantitative Finance 2009-10-07 Gao-Feng Gu , Fei Ren , Xiao-Hui Ni , Wei Chen , Wei-Xing Zhou

We present a measurement study on compositions of Decentralized Finance protocols, which aim to disrupt traditional finance and offer services on top of distributed ledgers, such as Ethereum. DeFi compositions may impact the development of…

Cryptography and Security · Computer Science 2022-10-03 Stefan Kitzler , Friedhelm Victor , Pietro Saggese , Bernhard Haslhofer

The need for data trading promotes the emergence of data market. However, in conventional data markets, both data buyers and data sellers have to use a centralized trading platform which might be dishonest. A dishonest centralized trading…

Cryptography and Security · Computer Science 2020-07-15 Guoxiong Su , Wenyuan Yang , Zhengding Luo , Yinghong Zhang , Zhiqiang Bai , Yuesheng Zhu