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Following the recent literature on make take fees policies, we consider an exchange wishing to set a suitable contract with several market makers in order to improve trading quality on its platform. To do so, we use a principal-agent…

Trading and Market Microstructure · Quantitative Finance 2021-03-09 Bastien Baldacci , Dylan Possamaï , Mathieu Rosenbaum

This study explores the design of an efficient rebate policy in auction markets, focusing on a continuous-time setting with competition among market participants. In this model, a stock exchange collects transaction fees from auction…

Trading and Market Microstructure · Quantitative Finance 2025-01-23 Thibaut Mastrolia , Tianrui Xu

Blockchain consensus is a state whereby each node in a network agrees on the current state of the blockchain. Existing protocols achieve consensus via a contest or voting procedure to select one node as a dictator to propose new blocks.…

Theoretical Economics · Economics 2022-06-22 Joshua S. Gans , Richard Holden

In cryptocurrencies, transaction fees are typically exclusively paid in the native platform currency. This restriction causes a wide range of challenges, such as deteriorated user experience, mandatory rent payments by decentralized…

Computers and Society · Computer Science 2020-04-20 István András Seres

According to the proportional allocation mechanism from the network optimization literature, users compete for a divisible resource -- such as bandwidth -- by submitting bids. The mechanism allocates to each user a fraction of the resource…

Computer Science and Game Theory · Computer Science 2014-02-17 Ioannis Caragiannis , Alexandros A. Voudouris

Trading on decentralized exchanges has been one of the primary use cases for permissionless blockchains with daily trading volume exceeding billions of U.S.~dollars. In the status quo, users broadcast transactions and miners are responsible…

Computer Science and Game Theory · Computer Science 2023-10-31 Matheus V. X. Ferreira , David C. Parkes

We investigate the welfare loss of continuous and discrete order matching models in blockchain-based decentralized exchanges (DEX) that utilize order books to record outstanding orders. Continuous processing matches each incoming…

Cryptography and Security · Computer Science 2025-02-18 Tiantian Gong , Zeyu Liu , Aniket Kate

We describe a mechanism to create fair and explainable incentives for software developers to reward contributions to security of a product. We use cooperative game theory to model the actions of the developer team inside a risk management…

Software Engineering · Computer Science 2023-09-12 Stefan Rass , Martin Pinzger

Blockchains are widely used for secure transaction processing, but their scalability remains limited, and existing multichain designs are typically static even as demand and capacity shift. We cast blockchain configuration as a multiagent…

Cryptography and Security · Computer Science 2026-02-27 Nimrod Talmon , Haim Zysberg

We are interested in mechanisms that maximize social welfare. In [1] this problem was studied for multi-unit auctions with unit demand bidders and for the public project problem, and in each case social welfare undominated mechanisms in the…

Computer Science and Game Theory · Computer Science 2008-10-20 Krzysztof R. Apt , Vangelis Markakis

Blockchains have witnessed widespread adoption in the past decade in various fields. The growing demand makes their scalability and sustainability challenges more evident than ever. As a result, more and more blockchains have begun to adopt…

Computer Science and Game Theory · Computer Science 2021-07-12 Shashank Motepalli , Hans-Arno Jacobsen

This paper focuses on the coordination of a large population of dynamic agents with private information over multiple periods. Each agent maximizes the individual utility, while the coordinator determines the market rule to achieve group…

Systems and Control · Computer Science 2015-10-05 Sen Li , Wei Zhang

The cross-blockchain transaction remains one of the most challenging problems in blockchains. The root cause of the challenge lies in the nondeterministic nature of blockchains: A $n$-party transaction across multiple blockchains might be…

Cryptography and Security · Computer Science 2020-04-17 Dongfang Zhao

Transaction Fee Mechanisms (TFMs) study auction design in the Blockchain context, and emphasize robustness against miner and user collusion, moreso than traditional auction theory. \cite{chung2023foundations} introduce the notion of a…

Computer Science and Game Theory · Computer Science 2025-12-30 Yotam Gafni

Proof-of-stake (PoS) is a promising approach for designing efficient blockchains, where block proposers are randomly chosen with probability proportional to their stake. A primary concern with PoS systems is the "rich getting richer"…

Cryptography and Security · Computer Science 2018-10-17 Giulia Fanti , Leonid Kogan , Sewoong Oh , Kathleen Ruan , Pramod Viswanath , Gerui Wang

Blockchain-based federated learning (BCFL) has recently gained tremendous attention because of its advantages such as decentralization and privacy protection of raw data. However, there has been few research focusing on the allocation of…

Cryptography and Security · Computer Science 2022-02-23 Zhilin Wang , Qin Hu , Ruinian Li , Minghui Xu , Zehui Xiong

Blockchains have block-size limits to ensure the entire cluster can keep up with the tip of the chain. These block-size limits are usually single-dimensional, but richer multidimensional constraints allow for greater throughput. The…

Computer Science and Game Theory · Computer Science 2025-04-23 Nir Lavee , Noam Nisan , Mallesh Pai , Max Resnick

We study data exchange among strategic agents without monetary transfers, motivated by domains such as research consortia and healthcare collaborations where payments are infeasible or restricted. The central challenge is to reap the…

Computer Science and Game Theory · Computer Science 2026-02-13 Rashida Hakim , Christos Papadimitriou , Mihalis Yannakakis

Blockchain, an emerging decentralized security system, has been applied in many applications, such as bitcoin, smart grid, and Internet-of-Things. However, running the mining process may cost too much energy consumption and computing…

Computer Science and Game Theory · Computer Science 2017-11-21 Yutao Jiao , Ping Wang , Dusit Niyato , Zehui Xiong

Data valuation is an essential task in a data marketplace. It aims at fairly compensating data owners for their contribution. There is increasing recognition in the machine learning community that the Shapley value -- a foundational…

Cryptography and Security · Computer Science 2023-02-20 Zhihua Tian , Jian Liu , Jingyu Li , Xinle Cao , Ruoxi Jia , Jun Kong , Mengdi Liu , Kui Ren