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Blockchain-based cryptocurrencies secure a decentralized consensus protocol by incentives. The protocol participants, called miners, generate (mine) a series of blocks, each containing monetary transactions created by system users. As…

Cryptography and Security · Computer Science 2018-11-14 Itay Tsabary , Ittay Eyal

Conventional double-spending attack models ignore the revenue losses stemming from the orphan blocks. On the other hand, selfish mining literature usually ignores the chance of the attacker to double-spend at no-cost in each attack cycle.…

Cryptography and Security · Computer Science 2026-03-23 Mustafa Doger , Sennur Ulukus

Proof-of-Work blockchain, despite its numerous benefits, is still not an entirely secure technology due to the existence of Selfish Mining (SM) strategies that can disrupt the system and its mining economy. While the effect of SM has been…

Cryptography and Security · Computer Science 2019-10-08 Tin Leelavimolsilp , Long Tran-Thanh , Sebastian Stein , Viet Hung Nguyen

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

Cryptographic Self-Selection is a common primitive underlying leader-selection for Proof-of-Stake blockchain protocols. The concept was first popularized in Algorand [CM19], who also observed that the protocol might be manipulable. [FHWY22]…

Computer Science and Game Theory · Computer Science 2024-07-25 Linda Cai , Jingyi Liu , S. Matthew Weinberg , Chenghan Zhou

Bandit learning is characterized by the tension between long-term exploration and short-term exploitation. However, as has recently been noted, in settings in which the choices of the learning algorithm correspond to important decisions…

Machine Learning · Computer Science 2018-01-11 Sampath Kannan , Jamie Morgenstern , Aaron Roth , Bo Waggoner , Zhiwei Steven Wu

The value of proof-of-work cryptocurrencies critically depends on miners having incentives to follow the protocol. However, the Bitcoin mining protocol proposed by Nakamoto (2008) and implemented in practice is well known not to constitute…

Cryptography and Security · Computer Science 2026-04-08 Manuel Mueller-Frank , Minghao Pan , Omer Tamuz

Tendermint-core blockchains (e.g. Cosmos) are considered today one of the most viable alternatives for the highly energy consuming proof-of-work blockchains such as Bitcoin and Ethereum. Their particularity is that they aim at offering…

Distributed, Parallel, and Cluster Computing · Computer Science 2018-12-14 Yackolley Amoussou-Guenou , Antonella Del Pozzo , Maria Potop-Butucaru , Sara Tucci-Piergiovanni

Blockchain systems often employ proof-of-work consensus protocols to validate and add transactions into hashchains. These protocols stimulate competition among miners in solving cryptopuzzles (e.g. SHA-256 hash computation in Bitcoin) in…

Computer Science and Game Theory · Computer Science 2020-05-13 Venkata Sriram Siddhardh Nadendla , Lav R. Varshney

Mining in the blockchain requires high computing power to solve the hash puzzle for example proof-of-work puzzle. It takes high cost to achieve the calculation of this problem in devices of IOT, especially the mobile devices of IOT. It…

Computer Science and Game Theory · Computer Science 2020-07-02 Liya Xu , Mingzhu Ge , Weili Wu

Incentive mechanisms are central to the functionality of permissionless blockchains: they incentivize participants to run and secure the underlying consensus protocol. Designing incentive-compatible incentive mechanisms is notoriously…

Cryptography and Security · Computer Science 2020-08-06 Charlie Hou , Mingxun Zhou , Yan Ji , Phil Daian , Florian Tramer , Giulia Fanti , Ari Juels

Financial fraud cases are on the rise even with the current technological advancements. Due to the lack of inter-organization synergy and because of privacy concerns, authentic financial transaction data is rarely available. On the other…

In this paper, we review the undercutting attacks in the transaction-fee-based regime of proof-of-work (PoW) blockchains with the longest chain fork-choice rule. Next, we focus on the problem of fluctuations in mining revenue and the mining…

Cryptography and Security · Computer Science 2023-02-13 Rastislav Budinský , Ivan Homoliak , Ivana Stančíková

We present and validate a novel mathematical model of the blockchain mining process and use it to conduct an economic evaluation of the double-spend attack, which is fundamental to all blockchain systems. Our analysis focuses on the value…

Cryptography and Security · Computer Science 2016-11-22 George Bissias , Brian Neil Levine , A. Pinar Ozisik , Gavin Andresen

Cryptocurrencies employ auction-esque transaction fee mechanisms (TFMs) to allocate transactions to blocks, and to determine how much fees miners can collect from transactions. Several impossibility results show that TFMs that satisfy a…

Computer Science and Game Theory · Computer Science 2024-05-24 Yotam Gafni , Aviv Yaish

In the Bitcoin system, participants are rewarded for solving cryptographic puzzles. In order to receive more consistent rewards over time, some participants organize mining pools and split the rewards from the pool in proportion to each…

Cryptography and Security · Computer Science 2023-09-14 Yujin Kwon , Dohyun Kim , Yunmok Son , Eugene Vasserman , Yongdae Kim

Graph neural networks (GNNs) offer promising learning methods for graph-related tasks. However, GNNs are at risk of adversarial attacks. Two primary limitations of the current evasion attack methods are highlighted: (1) The current…

Machine Learning · Computer Science 2023-02-08 He Zhang , Xingliang Yuan , Chuan Zhou , Shirui Pan

This paper proposes a conceptual framework for the analysis of reward sharing schemes in mining pools, such as those associated with Bitcoin. The framework is centered around the reported shares in a pool instead of agents and results in…

Computer Science and Game Theory · Computer Science 2021-07-13 Burak Can , Jens Leth Hougaard , Mohsen Pourpouneh

Systems and blockchains often have security vulnerabilities and can be attacked by adversaries, with potentially significant negative consequences. Therefore, infrastructure providers increasingly rely on bug bounty programs, where external…

Theoretical Economics · Economics 2023-09-06 Hans Gersbach , Akaki Mamageishvili , Fikri Pitsuwan

Cryptocurrency achieves distributed consensus using proof of work (PoW). Prior research in blockchain security identified financially incentivized attacks based on withholding blocks which have the attacker compromise a victim pool and pose…

Cryptography and Security · Computer Science 2020-09-01 Sang-Yoon Chang