Blockchain Papers

Usman Chohan

No abstract is available for this record.

Saman Jafari, Tien Dang Vo-Huu, Bahruz Jabiyev, Alejandro Mera · 5 authors

No abstract is available for this record.

Lara Mauri, Stelvio Cimato, Ernesto Damiani

Blockchain technology is having a deep impact on the financial and technical sectors providing a mechanism for the creation of decentralized currencies and a number of applications in different fields.At the core of the technology there is a consensus protocol enabling the maintenance of a distributed ledger.In general current systems are complex schemes that implement a combination of cryptographic algorithm, distributed techniques, and incentive driven behaviour.In this paper we focus on three of the most diffused platforms, i.e.Bitcoin, Ripple, and Ethereum, and provide a comparative analysis of their most important features such as the architecture, the scripting language, the economic and security properties.

Usman Chohan

No abstract is available for this record.

Valerio Celeste, Shaen Corbet, Constantin Gurdgiev

No abstract is available for this record.

Seied Hoseini

Blockchain is a technology to exchange digital assets including cryptocurrencies, data, software, patents etc. Blockchain is designed in various types depending on different architectures and configurations for different purposes. The mathematical and cryptographic mechanisms and consensus algorithms, implemented in the Blockchain, guarantee trust, security, integrity and availability of transactions between participants.
\nThis thesis is aimed to consider mathematical foundation and algorithmic aspects of Ethereum from the base network to high level of its functionality with the comparison to mathematical mechanisms of Bitcoin. In this thesis we describe Ethereum as stack of layers. Our mission is to extract cryptographic and mathematical mechanisms implemented in each layer.
\nWe present how hash function is utilized to construct cost function and Hashcash protocol. Hashcash protocol is implemented in Proof of Work (PoW) mechanism. Also, we explain how hash function is used to connect blocks in the chain of blocks and how hash function is used to organize transactions in a Merkle tree and in a Merkle-Patricia-trie.
\nThis thesis describes how Elliptic Curve Digital Signature Algorithm (ECDSA) and Lamport signing algorithm provide integrity of transactions. Elliptic Curve Integrated Encryption Scheme (ECIES) is hybrid encryption scheme which is utilized to provide confidentiality of transactions. The Elliptic Curve Cryptography (ECC) is used to disguise identities in both Bitcoin and Ethereum network. The new approaches to provide privacy are Ring signatures and Zk-Snarks.
\nThis thesis also explains Bloom filter structure in Ethereum. The Bloom filter is a probabilistic data structure to test membership of elements in big data bases.

Κωνσταντίνος Γκίλλας, François Longin

No abstract is available for this record.

John Taskinsoy

No abstract is available for this record.

Nicole Jonker

Decentralised issued crypto "currencies", like bitcoin, have the potential to drastically change the existing retail payment system and even the monetary system. Insights into the factors that influence their adoption are therefore crucial. Using a large representative sample of retailers that sell their products online, we find that acceptance of crypto payments is currently modest (2%), but there is substantial interest among retailers to adopt crypto payments in the near future. Consumer demand, net transactional benefits and perceived adoption effort influence adoption intention and actual acceptance by retailers. Regarding non-financial factors, our findings suggest that service providers who act as intermediaries between retailers, their customers, and providers of payment instruments play a crucial role as facilitators of competition and innovation in the online retail payments market by lowering such barriers. The most serious barrier for crypto acceptance seems to be a lack of consumer demand. Information from consumers indicate that those who possess cryptos, don't use it for online payments. It seems therefore unlikely that the adoption of cryptos by retailers will increase substantially, making it highly unlikely that cryptos like bitcoin will drastically change the existing retail payment system.

Stephen Williamson

Do Bitcoin and other cryptocurrencies play a useful social role, or do they represent a social waste? Bitcoin is a decentralized recordkeeping system, with updating of the record of transactions in the blockchain.

Massimo Bartoletti, Roberto Zunino

A landmark security property of smart contracts is liquidity: in a non-liquid contract, it may happen that some funds remain frozen. The relevance of this issue is witnessed by a recent liquidity attack to the Ethereum Parity Wallet, which has frozen $${\sim }160M$$ USD within the contract, making this sum unredeemable by any user. We address the problem of verifying liquidity of Bitcoin contracts. Focussing on BitML, a contracts DSL with a computationally sound compiler to Bitcoin, we study various notions of liquidity. Our main result is that liquidity of BitML contracts is decidable, in all the proposed variants. To prove this, we first transform the infinite-state semantics of BitML into a finite-state one, which focusses on the behaviour of any given set of contracts, abstracting the context moves. With respect to the chosen contracts, this abstraction is sound and complete. Our decision procedure for liquidity is then based on model-checking the finite space of states of the abstraction.

S. N. Borisova

The article is devoted to research of reliability and security of distributed ledger technology.A distributed ledger is a replicated database operating on the basis of decentralized networks.A vivid example of using distributed ledger technology is blockchain technology.Data protection against spoofing in using distributed ledgers is ensured by sequential hashing, asymmetric cryptography, and a decentralized network.

Md. Abdur Rahman, M. Shamim Hossain, George Loukas, Elham Hassanain · 7 authors

Mobile edge computing (MEC) is being introduced and leveraged in many domains, but few studies have addressed MEC for secure in-home therapy management. To this end, this paper presents an in-home therapy management framework, which leverages the IoT nodes and the blockchain-based decentralized MEC paradigm to support low-latency, secure, anonymous, and always-available spatiotemporal multimedia therapeutic data communication within an on-demand data-sharing scenario. To the best of our knowledge, this non-invasive, MEC-based IoT therapy platform is first done by our group. This platform can provide a full-body joint range of motion data for physically challenged individuals in a decentralized manner. With MEC, the framework can provide therapy diagnostic and analytical data on demand to a large portion of humanity who are either born with disabilities or became disabled due to accidents, war-time injuries, or old age. For security, the framework uses blockchain–Tor-based distributed transactions to preserve the therapeutic data privacy, ownership, generation, storage, and sharing. Our initial test results from a complete implementation of the framework show that it can support a sufficiently large number of users without considerable increase in mean processing time.

Chao Liu, Kok Keong Chai, Xiaoshuai Zhang, Eng Tseng Lau · 5 authors

The electric vehicle (EV) charging scheme can reduce the power generation costs and improve the smart grid resilience. However, the huge penetrations of EVs can impact the voltage stability and operating costs. In this paper, a novel EV participation charging scheme is proposed for a decentralized blockchain-enabled smart grid system. Our objectives are to minimize the power fluctuation level in the grid network and the overall charging cost for EV users. We first formulate the power fluctuation level problem of the smart grid system that take into accounts of EV battery capacities, charging rates, and EV users charging behavior. And then, we propose a novel adaptive blockchain-based electric vehicle participation (AdBEV) scheme that uses the Iceberg order execution algorithm to obtain an improved EV charging and discharging schedule. The simulation results show the proposed scheme outperforms the scheme that applying genetic algorithm approach in term of lowering the power fluctuation level and overall charging costs.

Wei Yin, Qiaoyan Wen, Wenmin Li, Hua Zhang · 5 authors

Blockchain is a new distributed and decentralized technology, and gradually attracts worldwide attention, but it is vulnerable to quantum attacks that would solve elliptic curve digital logarithm problem, which is mainly used for transaction authentication in blockchain. The key needed for authentication comes from the wallet. To ensure that the size of the wallet is fixed and easy to manage, deterministic wallets are required to be used. But if existing anti-quantum signature schemes, such as lattice-based signature are used directly in blockchain to solve the problem, it would have made the wallet bloat. In this paper, we present a novel anti-quantum transaction authentication scheme in the blockchain. In order to construct lightweight nondeterministic wallets, the key point is that public and private keys are generated from a set of master public and private key(Seed Key). We leverage on Bonsai Trees technology and propose a new authentication method which can extend a lattice space to multiple lattice spaces accompanied by the corresponding key. Every signature of a transaction uses a lattice space so as to ensure the randomness and the security of the master private key. And we give the complete security proof and analysis. This paper provides the theoretical support for the application of blockchain in the post quantum age.

Lijing Zhou, Licheng Wang, Yiru Sun, Pin Lv

Currently, Internet of Things (IoT) and blockchain technologies are experiencing exponential growth in academia and industry. Generally, IoT is a centralized system whose security and performance mainly rely on centralized servers. Therefore, users have to trust the centralized servers; in addition, it is difficult to coordinate external computing resources to improve the performance of IoT. Fortunately, the blockchain may provide this decentralization, high credibility and high security. Consequently, blockchain-based IoT may become a reasonable choice for the design of a decentralized IoT system. In this paper, we propose a novel blockchain-based threshold IoT service system: BeeKeeper. In the BeeKeeper system, servers can process a user's data by performing homomorphic computations on the data without learning anything from them. Furthermore, any node can become a leader's server if the node and the leader desire so. In this way, BeeKeeper's performance can continually increase by attracting external computing resources to join in it. Moreover, malicious nodes can be scrutinized. In addition, BeeKeeper is fault tolerant since a user's BeeKeeper protocol may work smoothly as long as a threshold number of its servers are active and honest. Finally, we deploy BeeKeeper on the Ethereum blockchain and give the corresponding performance evaluation. In our experiments, servers can generate their response with about 107 ms. Moreover, the performance of BeeKeeper mainly depends on the blockchain platform. For instance, the response time is about 22.5 s since the block interval of Ethereum blockchain is about 15 s. In fact, if we use some other blockchain with short block interval, the response time may be obviously short.

Baocheng Wang, Jiawei Sun, Yunhua He, Dandan Pang · 5 authors

Based on the blockchain, homomorphic ElGamal encryption and ring signature, an electronic voting scheme based on blockchain is proposed for large-scale voting, which has the properties of decentralization, self-management, non-interactive and free-receipt, furthermore the one-time ring signature ensures the anonymity of the vote trading in the blockchain. The public verifiable billboards guarantee the voting fair, and the miner nodes provides ciphertext ballot counting service makes large-scale voting feasible. Finally, we analysis the security of the blockchain voting system and present the performance in large-scale nodes.

Christopher D. Clack, Gabriel Vanca

Implementing smart contracts to automate the performance of high-value over-the-counter (OTC) financial derivatives is a formidable challenge. Due to the regulatory framework and the scale of financial risk if a contract were to go wrong, the performance of these contracts must be enforceable in law and there is an absolute requirement that the smart contract will be faithful to the intentions of the parties as expressed in the original legal documentation. Formal methods provide an attractive route for validation and assurance, and here we present early results from an investigation of the semantics of industry-standard legal documentation for OTC derivatives. We explain the need for a formal representation that combines temporal, deontic and operational aspects, and focus on the requirements for the temporal aspects as derived from the legal text. The relevance of this work extends beyond OTC derivatives and is applicable to understanding the temporal semantics of a wide range of legal documentation.

Atin Angrish, Benjamin Craver, Mahmud Hasan, Binil Starly

With product customization an emerging business opportunity, organizations must find ways to collaborate and enable sharing of information in an inherently trust-less network. In this paper, we propose – “FabRec”: a decentralized approach to handle manufacturing information generated by various organizations using blockchain technology. We propose a system in which a decentralized network of manufacturing machines and computing nodes can enable automated transparency of an organization’s capability, third party verification of such capability through a trail of past historic events and automated mechanisms to drive paperless contracts between participants using ‘smart contracts’. Our system decentralizes critical information about the manufacturer and makes it available on a peer-to-peer network composed of fiduciary nodes to ensure transparency and data provenance through a verifiable audit trail. We present a testbed platform through a combination of manufacturing machines, system-on-chip platforms and computing nodes to demonstrate mechanisms through which a consortium of disparate organizations can communicate through a decentralized network. Our prototype testbed demonstrates the value of computer code residing on a decentralized network for verification of information on the blockchain and ways in which actions can be autonomously initiated in the physical world. This paper intends to expose system elements in preparation for much larger field tests through the working prototype and discusses the future potential of blockchain for manufacturing IT.

Krishnendu Chatterjee, Amir Kafshdar Goharshady, Yaron Velner

Smart contracts are computer programs that are executed by a network of mutually distrusting agents, without the need of an external trusted authority. Smart contracts handle and transfer assets of considerable value (in the form of crypto-currency like Bitcoin). Hence, it is crucial that their implementation is bug-free. We identify the utility (or expected payoff) of interacting with such smart contracts as the basic and canonical quantitative property for such contracts. We present a framework for such quantitative analysis of smart contracts. Such a formal framework poses new and novel research challenges in programming languages, as it requires modeling of game-theoretic aspects to analyze incentives for deviation from honest behavior and modeling utilities which are not specified as standard temporal properties such as safety and termination. While game-theoretic incentives have been analyzed in the security community, their analysis has been restricted to the very special case of stateless games. However, to analyze smart contracts, stateful analysis is required as it must account for the different program states of the protocol. Our main contributions are as follows: we present (i)~a simplified programming language for smart contracts; (ii)~an automatic translation of the programs to state-based games; (iii)~an abstraction-refinement approach to solve such games; and (iv)~experimental results on real-world-inspired smart contracts.

Marian Gidea, Daniel Goldsmith, Yuri Katz, Pablo Roldan · 5 authors

We analyze the time series of four major cryptocurrencies (Bitcoin, Ethereum, Litecoin, and Ripple) before the digital market crash at the end of 2017 - beginning 2018. We introduce a methodology that combines topological data analysis with a machine learning technique -- $k$-means clustering -- in order to automatically recognize the emerging chaotic regime in a complex system approaching a critical transition. We first test our methodology on the complex system dynamics of a Lorenz-type attractor, and then we apply it to the four major cryptocurrencies. We find early warning signals for critical transitions in the cryptocurrency markets, even though the relevant time series exhibit a highly erratic behavior.

Zheng Yang, Hang Lei

In recent publications, we presented a novel formal symbolic process virtual machine (FSPVM) framework that combined higher-order theorem proving and symbolic execution for verifying the reliability and security of smart contracts developed in the Ethereum blockchain system without suffering the standard issues surrounding reusability, consistency, and automation. A specific FSPVM, denoted as FSPVM-E, was developed in Coq based on a general, extensible, and reusable formal memory (GERM) framework, an extensible and universal formal intermediate programming language, denoted as Lolisa, which is a large subset of the Solidity programming language that uses generalized algebraic datatypes, and a corresponding formally verified interpreter for Lolisa, denoted as FEther, which serves as a crucial component of FSPVM-E. However, our past work has demonstrated that the execution efficiency of the standard development of FEther is extremely low. As a result, FSPVM-E fails to achieve its expected verification effect. The present work addresses this issue by first identifying three root causes of the low execution efficiency of formal interpreters. We then build abstract models of these causes, and present respective optimization schemes for rectifying the identified conditions. Finally, we apply these optimization schemes to FEther, and demonstrate that its execution efficiency has been improved significantly.

Zheng Yang

This paper reports on the development and verification of a novel formal symbolic process virtual machine (FSPVM) for verifying the reliability and security of Ethereum smart contracts, denoted as FSPVM-E, completely in Coq proof assistant. It adopts execution-verification isomorphism (EVI), an extension of Curry-Howard isomorphism (CHI), as its fundamental theoretical framework. The current version of FSPVM-E is constructed on a general, extensible, and reusable formal memory (GERM) framework, an extensible and universal formal intermediate programming language Lolisa, which is a large subset of the Solidity programming language using generalized algebraic datatypes, and the corresponding formally verified interpreter of Lolisa, denoted as FEther. It supports the ERC20 standard and can automatically simultaneously symbolically execute the smart contract programs of Ethereum and verify their reliability and security properties using Hoare logic in Coq. In addition, this work, contributes to solving the problems of automation, inconsistency and reusability in higher-order logic theorem proving.

Bruno Tavares, Filipe Figueiredo Correia, André Restivo, João Pascoal Faria · 5 authors

The applications of the blockchain technology are still being discov-ered. When a new potential disruptive technology emerges, there is a tendency to try to solve every problem with that technology. However, it is still necessary to determine what approach is the best for each type of application. To find how distributed ledgers solve existing problems, this study looks for blockchain frameworks in the academic world. Identifying the existing frameworks can demonstrate where the interest in the technology exists and where it can be miss-ing. This study encountered several blockchain frameworks in development. However, there are few references to operational needs, testing, and deploy of the technology. With the widespread use of the technology, either integrating with pre-existing solutions, replacing legacy systems, or new implementations, the need for testing, deploying, exploration, and maintenance is expected to in-tensify.