Bitcoin Mining with Transaction Fees: A Game on the Block Size

Jiang, Suhan; Wu, Jie

doi:10.1109/blockchain.2019.00023

Cited by 25 publications

(14 citation statements)

References 5 publications

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“…As claimed by the studies of Khan et al and Scherer, block size has a crucial role in determining the overall performance of the proposed system [1,8]. Furthermore, Jiang and Wu claimed that higher block size increases the transaction fee but it reduces the probability representing successfully mined blocks [9].…”

Section: Introductionmentioning

confidence: 95%

Block size optimization for PoW consensus algorithm based blockchain applications by using whale optimization algorithm

AYGÜN,

ARSLAN

2022

Turkish Journal of Electrical Engineering and Computer Sciences

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Blockchain-based applications come up with cryptocurrencies, especially Bitcoin, introducing a distributed ledger technologies for peer-to-peer networks and essentially records the transactions in blocks containing hash value of the previous blocks. Block generation constitutes the basis of this technology, and the optimization of such systems is among the most crucial concerns. Determining either the block size or the number of transactions in the block brings out a remarkable problem that has been solved by the miners in recent years. First, higher block size results in higher transaction time, on the other hand, smaller block size has many disadvantages such as security, lower transaction fees, lower transaction numbers in a given time interval which makes it unable to compete with other currency systems due to this bulky structure and higher block generation time. In this study, multi-objective optimization problem (OP) is proposed by minimizing block generation and transmission time. This multi-objective OP is transformed into a single OP by applying weighted sum method. To determine the optimal block size, particle swarm optimization (PSO) algorithm and whale optimization evolutionary algorithm (WOA) are employed. Although both algorithms have capability to reach optimum block size and corresponding time, WOA achieves better performance than PSO in terms of the convergence speed and output fluctuation. Moreover, analysis of the prediction of optimum block size is carried out under different weights which creates many optimization functions. Experimental results indicate that if higher weight is assigned to the transmission time, then block size decreases sharply. Furthermore, the experimental results reveal that design of the blockchain network and number of nodes in network profoundly affect the block size selection due to the time constraints.

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Section: Introductionmentioning

confidence: 95%

Block size optimization for PoW consensus algorithm based blockchain applications by using whale optimization algorithm

AYGÜN,

ARSLAN

2022

Turkish Journal of Electrical Engineering and Computer Sciences

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“…The most popular way of minting coins in blockchain network is the process of mining. The miners are the powerful computers executing the software defined by blockchain protocol and they are incentivized with a fee (eg: bitcoins or Wei) for the computational effort committed to the transaction verification in the blockchain [28]. Miners select the set of transactions from the pool of unconfirmed transactions to create a block.…”

Section: Digital Currency and Mintingmentioning

confidence: 99%

Blockchain-based Roaming and Offload Service Platform for Local 5G Operators

Weerasinghe

Hewa

Dissanayake

et al. 2021

2021 IEEE 18th Annual Consumer Communications &Amp; Networking Conference (CCNC)

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5G is the latest generation of mobile networks which will be deployed based on network softwarization concept. It will enable Local 5G Operator (L5GO) concept which is one of the most prominent versatile applications of the 5G in the near future. The unique locality features of L5GOs will be useful in many use cases such as smart cities, industrial internet and healthcare. The popularity of L5GOs will trigger more and more number of roaming and offloading opportunities between mobile users. However, existing static and the operator-assisted roaming and offloading procedures are inefficient for L5GO ecosystem. To address these challenges, we propose a blockchain / Distributed Ledger Technology (DLT) based service platform for the L5GOs to facilitate efficient roaming and offload services. We introduce several novel features, namely, universal wallet for subscribers, service quality based L5GO rating system, user-initiated roaming process and the roaming fraud prevention system. Blockchain-based smart contract scheme is proposed to establish dynamic and automated agreements between operators. A prototype of the proposed platform is emulated with the Ethereum blockchain platform and Rinkeby Testnet to evaluate the performance and justify the feasibility of the proposal.

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“…The occurrence of mining a valid block can be well approximated by a random variable following a Poisson process [8]. That means the interval between two valid blocks is exponentially distributed with mean t i in the i th DAA period.…”

Section: The Influence Of Difficulty Adjustment Periodmentioning

confidence: 99%

Blockchain Mining with Multiple Selfish Miners

Bai¹,

Xu²,

Liu³

et al. 2021

Preprint

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This paper studies a fundamental problem regarding the security of blockchain on how the existence of different numbers of misbehaving pools with different selfish mining strategies influences the profitability. Each selfish miner maintains a private chain and makes it public opportunistically for the purpose of acquiring more rewards incommensurate to his Hashrate. We establish a novel Markov chain model to characterize all the state transitions of public and private chains under basic selfish mining. The minimum requirement of Hashrate together with the minimum delay of being profitable is derived in close-form. The former reduces to 21.48% with the symmetric selfish miners, while the profitable threshold decreases with the increases of the number of attackers. The profitable delay increases with the decrease of the Hashrate of selfish miners, making the mining pools more cautious on performing selfish mining. We further investigate the profitability of selfish mining when one of the selfish miners performs the optimal attack based on Partially Observable Markov Decision Process (POMDP). An online search method is presented to compute the approximate optimal policy efficiently. Experimental results show that the optimal strategy significantly improves the revenue of the attacker.

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Bitcoin Mining with Transaction Fees: A Game on the Block Size

Cited by 25 publications

References 5 publications

Block size optimization for PoW consensus algorithm based blockchain applications by using whale optimization algorithm

Block size optimization for PoW consensus algorithm based blockchain applications by using whale optimization algorithm

Blockchain-based Roaming and Offload Service Platform for Local 5G Operators

Blockchain Mining with Multiple Selfish Miners

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