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We consider the problem of finding model-independent bounds on the price of an Asian option, when the call prices at the maturity date of the option are known. Our methods differ from most approaches to model-independent pricing in that we…

Pricing of Securities · Quantitative Finance 2016-07-21 Alexander M. G. Cox , Sigrid Källblad

Price stability has often been cited as a key reason that cryptocurrencies have not gained widespread adoption as a medium of exchange and continue to prove incapable of powering the economy of decentralized applications (DApps)…

Cryptography and Security · Computer Science 2018-08-13 Jaehyung Lee , Minhyung Cho

We propose a model in which dividend payments occur at regular, deterministic intervals in an otherwise continuous model. This contrasts traditional models where either the payment of continuous dividends is controlled or the dynamics are…

Optimization and Control · Mathematics 2019-07-24 Jussi Keppo , Max Reppen , H. Mete Soner

Traditionally, the electric distribution system operates with uniform energy prices across all system nodes. However, as the adoption of distributed energy resources (DERs) propels a shift from passive to active distribution network (ADN)…

Systems and Control · Electrical Eng. & Systems 2023-11-21 Xiaofei Wang , Fangxing Li , Linquan Bai , Xin Fang

The evolving landscape of Decentralized Finance (DeFi) has raised critical security concerns, especially pertaining to Protocols for Loanable Funds (PLFs) and their dependency on price oracles, which are susceptible to manipulation. The…

Cryptography and Security · Computer Science 2024-01-17 Sanidhay Arora , Yingjiu Li , Yebo Feng , Jiahua Xu

This paper presents a decentralized methodology for detecting and mitigating flapping phenomena in power systems, primarily caused by the operation of discrete devices. The proposed approach applies moving-window autocorrelation to local…

Systems and Control · Electrical Eng. & Systems 2025-11-05 Angel Vaca , Federico Milano

This paper presents a new dynamic pricing model (a.k.a. real-time pricing) that reflects startup costs of generators. Dynamic pricing, which is a method to control demand by pricing electricity at hourly (or more often) intervals, has been…

Optimization and Control · Mathematics 2014-03-06 Naoki Ito , Akiko Takeda , Toru Namerikawa

This paper considers the day-ahead operational planning problem of radial distribution networks hosting Distributed Energy Resources, such as Solar Photovoltaic (PV) and Electric Vehicles (EVs). We present an enhanced AC Optimal Power Flow…

Optimization and Control · Mathematics 2020-12-25 Panagiotis Andrianesis , Michael Caramanis

Decentralized federated learning (DFL) has emerged as a transformative server-free paradigm that enables collaborative learning over large-scale heterogeneous networks. However, it continues to face fundamental challenges, including data…

Machine Learning · Computer Science 2026-03-03 Shan Sha , Shenglong Zhou , Xin Wang , Lingchen Kong , Geoffrey Ye Li

Marginal emissions rates -- the sensitivity of carbon emissions to electricity demand -- are important for evaluating the impact of emissions mitigation measures. Like locational marginal prices, locational marginal emissions rates (LMEs)…

Systems and Control · Electrical Eng. & Systems 2024-08-21 Anthony Degleris , Lucas Fuentes Valenzuela , Ram Rajagopal , Marco Pavone , Abbas El Gamal

In decentralized exchanges (DEXs), the arbitrage paths exist abundantly in the form of both arbitrage loops (e.g. the arbitrage path starts from token A and back to token A again in the end, A, B,..., A) and non-loops (e.g. the arbitrage…

Computational Finance · Quantitative Finance 2024-06-25 Yu Zhang , Tao Yan , Jianhong Lin , Benjamin Kraner , Claudio Tessone

The asset trading volume on blockchain-based exchanges (DEX) increased substantially since the advent of Automated Market Makers (AMM). Yet, AMMs and their forks compete on the same blockchain, incurring unnecessary network and block-space…

Cryptography and Security · Computer Science 2021-06-21 Liyi Zhou , Kaihua Qin , Arthur Gervais

We consider the impact of trading fees on the profits of arbitrageurs trading against an automated market maker (AMM) or, equivalently, on the adverse selection incurred by liquidity providers (LPs) due to arbitrage. We extend the model of…

Mathematical Finance · Quantitative Finance 2025-07-24 Jason Milionis , Ciamac C. Moallemi , Tim Roughgarden

We consider the use of pricing as a regulatory mechanism when an unknown number of autonomous agents compete for access to a shared resource (possibly limited in volume or capacity). In standard dynamic pricing control systems, an…

Optimization and Control · Mathematics 2025-11-24 Christopher King , Homayoun Hamedmoghadam , Christos G. Cassandras , Fabian R. Wirth , Robert N. Shorten

Imitation Learning (IL) has proven highly effective for robotic and control tasks where manually designing reward functions or explicit controllers is infeasible. However, standard IL methods implicitly assume that the environment dynamics…

Machine Learning · Computer Science 2025-11-12 Rishabh Agrawal , Yusuf Alvi , Rahul Jain , Ashutosh Nayyar

In decentralized federated learning (DFL), the presence of abnormal clients, often caused by noisy or poisoned data, can significantly disrupt the learning process and degrade the overall robustness of the model. Previous methods on this…

Machine Learning · Computer Science 2025-12-04 Shuyuan Wu , Feifei Wang , Yuan Gao , Rui Wang , Hansheng Wang

DEX, or decentralized exchange, is a prominent class of decentralized finance (DeFi) applications on blockchains, attracting a total locked value worth tens of billions of USD today. This paper presents the first large-scale empirical study…

Cryptography and Security · Computer Science 2024-01-23 Jiaqi Chen , Yibo Wang , Yuxuan Zhou , Wanning Ding , Yuzhe Tang , XiaoFeng Wang , Kai Li

Lending within decentralized finance (DeFi) has facilitated over \$100 billion of loans since 2020. A long-standing inefficiency in DeFi lending protocols such as Aave is the use of static pricing mechanisms for loans. These mechanisms have…

Computer Science and Game Theory · Computer Science 2025-03-25 Tarun Chitra

We construct an utility-based dynamic asset pricing model for a limit order market. The price is nonlinear in volume and subject to market impact. We solve an optimal hedging problem under the market impact and derive the dynamics of the…

Pricing of Securities · Quantitative Finance 2014-10-31 Masaaki Fukasawa

Lending protocols are one of the main applications of Decentralized Finance (DeFi), enabling crypto-assets loan markets with a total value estimated in the tens of billions of dollars. Unlike traditional lending systems, these protocols…

Computer Science and Game Theory · Computer Science 2025-06-19 Massimo Bartoletti , Enrico Lipparini