Alexander Mühle, Andreas Grüner, Tatiana Gayvoronskaya, Christoph Meinel
This paper provides an overview of the Self-Sovereign Identity (SSI) concept, focusing on four different components that we identified as essential to the architecture. Self-Sovereign Identity is enabled by the new development of blockchain technology. Through the trustless, decentralised database that is provided by a blockchain, classic Identity Management registration processes can be replaced. We start off by giving a simple overview of blockchain based SSI, introducing an architecture overview as well as relevant actors in such a system. We further distinguish two major approaches, namely the Identifier Registry Model and its extension the Claim Registry Model. Subsequently we discuss identifiers in such a system, presenting past research in the area and current approaches in SSI in the context of Zooko's Triangle. As the user of an SSI has to be linked with his digital identifier we also discuss authentication solutions. Most central to the concept of an SSI are the verifiable claims that are presented to relying parties. Resources in the field are only losely connected. We will provide a more coherent view of verifiable claims in regards to blockchain based SSI and clarify differences in the used terminology. Storage solutions for the verifiable claims, both on- and off-chain, are presented with their advantages and disadvantages.
Information from surveillance video is essential for situational awareness (SAW). Nowadays, a prohibitively large amount of surveillance data is being generated continuously by ubiquitously distributed video sensors. It is very challenging to immediately identify the objects of interest or zoom in suspicious actions from thousands of video frames. Making the big data indexable is critical to tackle this problem. It is ideal to generate pattern indexes in a real-time, on-site manner on the video streaming instead of depending on the batch processing at the cloud centers. The modern edge-fog-cloud computing paradigm allows implementation of time sensitive tasks at the edge of the network. The on-site edge devices collect the information sensed in format of frames and extracts useful features. The near-site fog nodes conduct the contextualization and classification of the features. The remote cloud center is in charge of more data intensive and computing intensive tasks. However, exchanging the index information among devices in different layers raises security concerns where an adversary can capture or tamper with features to mislead the surveillance system. In this paper, a blockchain enabled scheme is proposed to protect the index data through an encrypted secure channel between the edge and fog nodes. It reduces the chance of attacks on the small edge and fog devices. The feasibility of the proposal is validated through intensive experimental analysis.
The present paper attempts to look into the nuances of the direct funding of local government from a vantage point of fiscal federalism in India and also the dynamics of financial decentralization. The reports of finance commissions regarding the devolution of tax powers to local governments in order to make them financially autonomous has been looked into with a incisive constitutional mindset. The impact of centrally sponsored scheme in this regard has been looked into by the researcher in order to get the exposer of current federal implications of the same where the party politics and an attempt to create loyal vote bank is driving the pace of CSS which is affecting the fiscal federalism. The GST has also affected the tax structure of country in many aspects and in paper the impact of it on local government has been contemplated.
Abstract Externalised service provision is now an embedded feature of Australia's service delivery architecture. However, the lessons drawn from two decades of contracted service delivery suggest that “competition” is an imperfect platform for the delivery of public services, especially where issues of trust in government come into play. Could the concept of a “social license to operate” (SLO), which has been in use in the natural resources sector for over two decades, help to facilitate the conferral of greater trust, credibility and legitimacy upon governments, and externalised service providers in social policy spaces?
The public key infrastructure (PKI) based authentication protocol provides the basic security services for vehicular ad-hoc networks (VANETs). However, trust and privacy are still open issues due to the unique characteristics of vehicles. It is crucial for VANETs to prevent internal vehicles from broadcasting forged messages while simultaneously protecting the privacy of each vehicle against tracking attacks. In this paper, we propose a blockchain-based anonymous reputation system (BARS) to break the linkability between real identities and public keys to preserve privacy. The certificate and revocation transparency is implemented efficiently using two blockchains. We design a trust model to improve the trustworthiness of messages relying on the reputation of the sender based on both direct historical interactions and indirect opinions about the sender. Experiments are conducted to evaluate BARS in terms of security and performance and the results show that BARS is able to establish distributed trust management, while protecting the privacy of vehicles.
Michiel Van Beirendonck, Louis-Charles Trudeau, Pascal Giard, Alexios Balatsoukas‐Stimming
Lyra2REv2 is a hashing algorithm that consists of a chain of individual hashing algorithms and it is used as a proof-of-work function in several cryptocurrencies that aim to be ASIC-resistant. The most crucial hashing algorithm in the Lyra2REv2 chain is a specific instance of the general Lyra2 algorithm. In this work we present the first FPGA implementation of the aforementioned instance of Lyra2 and we explain how several properties of the algorithm can be exploited in order to optimize the design.
One of the most important components in a public blockchain like Bitcoin and Ethereum is the authenticated data structure that keeps track of all block data, transactions, and the world state (account balance, smart contract states, etc.) Thanks to authenticated data structures, lightweight nodes only need to store authentication information and can delegate queries to those nodes with a full replica of data and the authenticated data structure. The lightweight nodes can trust the query results after verifying against the authentication information. It is also critical to have enough nodes in the network that are equipped with the authenticated data structure to ensure scalability and availability, which is especially important for public blockchains. Therefore, every public blockchain highly encourages users to download the authenticated data structure as the first step.\n\nFetching all elements from the entire authenticated data structure is a novel query type that has not gathered attention in the past. We describe this new emerging query type in the three-party authenticated data structure (ADS). We improve the design and implementation of the authenticated data structure so that the new query type is well-supported. We specifically apply the improvements to the Ethereum blockchain network. With our proposed ADS system in Ethereum, we improve Ethereum state synchronization performance by 216 times.
In this paper, we revisit the fundamental question of Bitcoins security against selfish-mine attack introduced by I. Eyal and E. G. Sirer in We study the state machine of Bitcoin's network under the influence of one pool miner adopting the selfish mine strategy while the rest of the community following the standard protocol. We prove that the process following by the states of Bitcoin's system is a irreducible, positive-recurrent, aperiodic, and discrete Markov chain. We give an invariant (stationary) distribution for this Markov chain and deduce easily the rate of convergence towards the stationary equilibrium situation.
Francesco Bortolussi, Zeger Hoogeboom, Frank W. Takes
Cryptocurrencies such as Bitcoin and Ethereum have recently gained a lot of popularity, not only as a digital form of currency but also as an investment vehicle. Online marketplaces and exchanges allow users across the world to convert between dozens of different cryptocurrencies and regular currencies such as euros or dollars. Due to the novelty of this concept, the volatility of these markets and the differences in maturity and usage of particular marketplaces, currency pairs may appear at multiple marketplaces but at different trading prices. This paper proposes a novel algorithmic approach to take advantage of these mispricings and capitalize upon the pricing differences that exist between exchanges and currency pairs. To do so, we model each combination of a currency and a market as one node in a graph. A directed link between two nodes indicates that a conversion between these two currency/market pairs is possible. The weight of the link relates to the exchange rate of executing this particular currency exchange. To leverage the mispricings, we seek for cycles in the graph such that upon multiplying the weights of the links in the cycle, a value greater than 1 is found and thus a profit can be made. Our goal is to do this efficiently, without exhaustively enumerating all possible cycles in the graph. Therefore, we convert our data and address the problem in terms of finding minimum weight triangles in graphs with integer weights, for which efficient algorithms can be utilized. We experiment with parameter settings (heuristics) related to the conversion of exchange rate data into integer weight values. We show that our approach improves upon a reasonable baseline algorithm in terms of computation time. Furthermore, using a real-world dataset, we demonstrate how the obtained minimal weight cycles indeed unveil a number of currency exchange cycles that result in a net profit.
Mic Bowman, Andrea Miele, Michael Steiner, Bruno Vavala
We present Private Data Objects (PDOs), a technology that enables mutually untrusted parties to run smart contracts over private data. PDOs result from the integration of a distributed ledger and Intel Secure Guard Extensions (SGX). In particular, contracts run off-ledger in secure enclaves using Intel SGX, which preserves data confidentiality, execution integrity and enforces data access policies (as opposed to raw data access). A distributed ledger verifies and records transactions produced by PDOs, in order to provide a single authoritative instance of such objects. This allows contracting parties to retrieve and check data related to contract and enclave instances, as well as to serialize and commit contract state updates. The design and the development of PDOs is an ongoing research effort, and open source code is available and hosted by Hyperledger Labs [5, 7].
This paper deals with the design of the secure blockchain network framework to prevent damages from an attacker. The decentralized network design called the Blockchain Governance Game is a new hybrid theoretical model and it provides the stochastic game framework to find best strategies towards preparation for preventing a network malfunction by an attacker. Analytically tractable results are obtained by using the fluctuation theory and the mixed strategy game theory. These results enable to predict the moment for operations and deliver the optimal portion of backup nodes to protect the blockchain network. This research helps for whom considers the initial coin offering or launching new blockchain based services with enhancing the security features.
Digital currency became a relevant topic lately, with the central banks contemplating the idea of issuing their own virtual currencies. Central banks may issue their virtual currencies to simplify interbank cross-border settlements and make them cheaper. In order to achieve this, both commercial and central banks recognize these virtual currencies as means of payments. In these projects blockchain could be used to store information about the digital currencies, instead of fiat money. We have identified the risks associated with the virtual currencies issued by the central banks: conversion and volatility risks. We have looked at different approaches to the distributed ledger, principles for decentralized virtual currencies, possibility of these technologies being used by the central banks, various risks and their mitigation strategies. We also formulated the technological and legal principles that may guide the issuance of the digital currency by the central banks. And reviewed the practicability of issuing virtual currencies by the central banks, based on exogenous and endogenous factors.
The recent emergence of cryptocurrencies such as Bitcoin and Ethereum has posed possible alternatives to global payments as well as financial assets around the globe, making investors and financial regulators aware of the importance of modeling them correctly. The Lvy's stable distribution is one of the attractive distributions that well describes the fat tails and scaling phenomena in economic systems. In this paper, we show that the behaviors of price fluctuations in emerging cryptocurrency markets can be characterized by a non-Gaussian Lvy's stable distribution with ' 1:4 under certain conditions on time intervals ranging roughly from 30 min to 4 h. Our arguments are developed under quantitative valuation defined as a distance function using the Parseval's relation in addition to the theoretical background of the General Central Limit Theorem (GCLT). We also discuss the model-fitting for returns by employing the method based on likelihood ratios. Even though the cubic power-law model is a better fitting model than the Lvy's stable model in the tail part of returns, the Lvy's stable model outperforms the fit for the entire and wider range of returns. Our approach can be extended for further analysis of statistical properties and contribute to developing proper applications for financial modeling.
A multiplicity of spatial plans in a planning system can have different ways of co-existing under different institutional organizations. Having a highly centralized government like China, the phenomenon of a multitude of national-level plans dominating at the same time has its own unique characteristics. Much literature emphasizes only the lacking of coordination between governmental institutes. However, this research finds that the current constitution of the Chinese planning system profoundly reflects the relations between central and local governments. This paper first examines the characteristics of the Chinese political system, briefly reviewing the iterative process of "centralization-decentralization-selective centralization", showing the rise and fall of spatial planning as an administrative tool of local governments. Especially since the 1990s, the central government has raised revenue from the local level, which leads to local governments depending more on selling land for quick money. But as the urban expansion accelerates, the state asserts its control on local development by the National Mainfunction Plan and National Land-use Plan, which seriously impedes the coordination of spatial plans at different levels. Therefore, this study argues that spatial planning reform in China requires not only generating integrated information platforms and technical standards, but more importantly, establishing new relations between central and local government. In the end, some suggestions are made on central authorities reducing the constraints of a planning censorship system and rebalancing the responsibility and the public finance of local government on planning matters.
Taisiia Bondaruk, О. S. Bondaruk, Oksana Vinnytska
Administrative reforms in Ukraine focused on decentralization of governance system, change in the administrative and territorial system by consolidating communities and redistribution of authorities and financing sources at local governance level are expected to be implemented in keeping with European standards. The need to achieve positive dynamics of the economic system in Ukraine raises the importance of studies covering the array of problems related with the operation of local budgets, including European practices of local budget formation in the conditions of decentralization and their applicability for Ukraine. The purpose of the article is to investigate foreign practices of budget decentralization and their implementation perspectives in Ukraine.
 The essence of budget decentralization is highlighted; main indicators measuring budget decentralization and financial autonomy of local self-governance bodies are shown. As three models of local self-governance financing are distinguished by main criteria of financial decentralization (Scandinavian, Latin, and Hannover), peculiarities of the local budget formation in three countries belonging to the above models are analyzed: Finland (Scandinavian model), Spain (Latin model), and Poland (Hannover model). Results of the study show that while in countries of Scandinavian and Latin model taxation of consumption and residents’ incomes prevails, with fiscal importance of taxation of real estate, in countries of Hannover model taxation of consumption has minor significance.
Mark Braverman, Klim Efremenko, Ran Gelles, Michael A. Yitayew
We consider fault-tolerant boolean formulas in which the output of a faulty gate is short-circuited to one of the gate's inputs. A recent result by Kalai et al. (FOCS 2012) converts any boolean formula into a resilient formula of polynomial size that works correctly if less than a fraction $1/6$ of the gates (on every input-to-output path) are faulty. We improve the result of Kalai et al., and show how to efficiently fortify any boolean formula against a fraction $1/5$ of short-circuit gates per path, with only a polynomial blowup in size. We additionally show that it is impossible to obtain formulas with higher resilience and sub-exponential growth in size. Towards our results, we consider interactive coding schemes when noiseless feedback is present; these produce resilient boolean formulas via a Karchmer-Wigderson relation. We develop a coding scheme that resists up to a fraction $1/5$ of corrupted transmissions in each direction of the interactive channel. We further show that such a level of noise is maximal for coding schemes with sub-exponential blowup in communication. Our coding scheme takes a surprising inspiration from Blockchain technology.
The paper presents Tendermint, a new protocol for ordering events in a distributed network under adversarial conditions. More commonly known as Byzantine Fault Tolerant (BFT) consensus or atomic broadcast, the problem has attracted significant attention in recent years due to the widespread success of blockchain-based digital currencies, such as Bitcoin and Ethereum, which successfully solved the problem in a public setting without a central authority. Tendermint modernizes classic academic work on the subject and simplifies the design of the BFT algorithm by relying on a peer-to-peer gossip protocol among nodes.
A blockchain is a decentralized, distributed peer-to-peer network that allows one node to communicate with other nodes. When using blockchain technology in education, data or records can be stored permanently without fear of hacking du e to the secure hashing algorithms in blockchain techn
The Distributed nature of Bitcoin introduces security issues that necessitate security-specific enhancements in Bitcoin protocol. Therefore, proposing a method of incorporating criteria check and verification process for miners to participate in the mining process and join the mining pool respective
Blockchain is an emerging technology that gained a lot of attention in the last years. Many different consensus protocols have been proposed to improve both the scalability and the resilience of existing blockchain. However, all these solutions have been defined for rather static settings. We propose a modular approach for analysing and comparing different consensus protocols used in blockchain under churn.
While Internet of Things (IoT) technology has been widely recognized as an essential part of Smart Cities, it also brings new challenges in terms of privacy and security. Access control (AC) is among the top security concerns, which is critical in resource and information protection over IoT devices. Traditional access control approaches, like Access Control Lists (ACL), Role-based Access Control (RBAC) and Attribute-based Access Control (ABAC), are not able to provide a scalable, manageable and efficient mechanism to meet the requirements of IoT systems. Another weakness in today’s AC is the centralized authorization server, which can cause a performance bottleneck or be the single point of failure. Inspired by the smart contract on top of a blockchain protocol, this paper proposes BlendCAC, which is a decentralized, federated capability-based AC mechanism to enable effective protection for devices, services and information in large-scale IoT systems. A federated capability-based delegation model (FCDM) is introduced to support hierarchical and multi-hop delegation. The mechanism for delegate authorization and revocation is explored. A robust identity-based capability token management strategy is proposed, which takes advantage of the smart contract for registration, propagation, and revocation of the access authorization. A proof-of-concept prototype has been implemented on both resources-constrained devices (i.e., Raspberry PI nodes) and more powerful computing devices (i.e., laptops) and tested on a local private blockchain network. The experimental results demonstrate the feasibility of the BlendCAC to offer a decentralized, scalable, lightweight and fine-grained AC solution for IoT systems.