A Distributed Computation Marketplace over Blockchain

Abstract

We describe a Blockchain-based, peer-to-peer network of distributed computers solving arbitrary, strictly- defined problems for a financial incentive in the form of a cryptographic currency. The computational problems are signed and posted to the blockchain in a contract describing the minimal computational unit (MCU) of the problem, the price per MCU, a method for joining the results of different Solvers, and a test for the validity of a solution. The Solver will transmit the solutions to the Bidder off the blockchain to avoid any space-complexity issues and eliminate the potential for network flooding with bogus or trivial solutions. The Bidder will transmit the Solver a signature for a payout transaction upon validation. A solution for a single MCU is used as a handshake between Bidders and Solvers, and for each following solution message, the Solver will increase the number of MCUs on a logarithmic scale. A Bidder can delegate the validation and signing process to Validators who place a significant monetary stake for this privilege and are rewarded by the network with a dynamic fee correlating to the number of open contracts. Once the Bidder receives a satisfactory amount of work, they can close the contract by submitting a signed message to the blockchain.