Intelligent Transaction Techniques for Blockchain Platforms

Abstract

This paper describes a new way to create a pre-authorized transaction on the blockchain so that the transaction is less likely to have errors. Currently, cryptocurrency transactions do not allow a sender to modify or cancel a transaction that has been sent to a wrong address or person. There is no way for the user to retrieve the funds, and the receiver may not return any coins or data. Thus, if a user sends a coin or data to a wrong or non-existent party the coin or data is permanently lost once the transaction is accepted in the blockchain. Current blockchain frameworks such as Bitcoin and Ethereum share this unidirectional technical standard. It is also possible to make it appear that a recipient is taking a bribe by sending them cryptocurrency without their permission. We define a new protocol of pre-authorization in which all parties agree and sign, and the blockchain ratifies the resulting agreement. While nothing will eliminate all risk of error and fraud, this proposal will prevent these kinds of losses.