With the widespread digitization of finance and the increasing popularity of cryptocurrencies, the sophistication of fraud schemes devised by cybercriminals is growing. Money laundering -- the movement of illicit funds to conceal their origins -- can cross bank and national boundaries, producing complex transaction patterns. The UN estimates 2-5\% of global GDP or \$0.8 - \$2.0 trillion dollars are laundered globally each year. Unfortunately, real data to train machine learning models to detect laundering is generally not available, and previous synthetic data generators have had significant shortcomings. A realistic, standardized, publicly-available benchmark is needed for comparing models and for the advancement of the area. To this end, this paper contributes a synthetic financial transaction dataset generator and a set of synthetically generated AML (Anti-Money Laundering) datasets. We have calibrated this agent-based generator to match real transactions as closely as possible and made the datasets public. We describe the generator in detail and demonstrate how the datasets generated can help compare different machine learning models in terms of their AML abilities. In a key way, using synthetic data in these comparisons can be even better than using real data: the ground truth labels are complete, whilst many laundering transactions in real data are never detected.
We focus on the problem of market making in high-frequency trading. Market making is a critical function in financial markets that involves providing liquidity by buying and selling assets. However, the increasing complexity of financial markets and the high volume of data generated by tick-level trading makes it challenging to develop effective market making strategies. To address this challenge, we propose a deep reinforcement learning approach that fuses tick-level data with periodic prediction signals to develop a more accurate and robust market making strategy. Our results of market making strategies based on different deep reinforcement learning algorithms under the simulation scenarios and real data experiments in the cryptocurrency markets show that the proposed framework outperforms existing methods in terms of profitability and risk management.
Semantic representation is a key enabler for several application domains, and the multi-agent systems realm makes no exception. Among the methods for semantically representing agents, one has been essentially achieved by taking a behaviouristic vision, through which one can describe how they operate and engage with their peers. The approach essentially aims at defining the operational capabilities of agents through the mental states related with the achievement of tasks. The OASIS ontology -- An Ontology for Agent, Systems, and Integration of Services, presented in 2019 -- pursues the behaviouristic approach to deliver a semantic representation system and a communication protocol for agents and their commitments. This paper reports on the main modeling choices concerning the representation of agents in OASIS 2, the latest major upgrade of OASIS, and the achievement reached by the ontology since it was first introduced, in particular in the context of ontologies for blockchains.
Rasoul Amirzadeh, Dhananjay Thiruvady, Asef Nazari, Mong Shan Ee
Abstract Cryptocurrencies have gained widespread attention, particularly in finance and investment sectors. Despite their growing popularity, cryptocurrencies can be a high-risk investment due to their price volatility. The inherent volatility in cryptocurrency prices, coupled with the effects of external global economic factors, makes predicting their price movements challenging. To address this challenge, we propose a dynamic Bayesian network (DBN)-based approach to uncover potential causal relationships among various features including social media data, traditional financial market factors, and technical indicators. This study focuses on six major cryptocurrencies, including Bitcoin, Binance Coin, Ethereum, Litecoin, Ripple, and Tether. The proposed model’s performance is compared to five baseline models of auto-regressive integrated moving average, support vector regression, long short-term memory, random forests, support vector machines, and a large language model. Results demonstrate that while DBN performance varies across cryptocurrencies, with some cryptocurrencies exhibiting higher predictive accuracy than others, the DBN significantly outperforms the baseline models.
Seonmi Kim, Y. C. Lee, Yejin Kim, Joohwan Hong · 5 authors
Recommender systems have become essential tools for enhancing user experiences across various domains. While extensive research has been conducted on recommender systems for movies, music, and e-commerce, the rapidly growing and economically significant Non-Fungible Token (NFT) market remains underexplored. The unique characteristics and increasing prominence of the NFT market highlight the importance of developing tailored recommender systems to cater to its specific needs and unlock its full potential. In this paper, we examine the distinctive characteristics of NFTs and propose the first recommender system specifically designed to address NFT market challenges. In specific, we develop a Multi-Attention Recommender System for NFTs (NFT-MARS) with three key characteristics: (1) graph attention to handle sparse user-item interactions, (2) multi-modal attention to incorporate feature preference of users, and (3) multi-task learning to consider the dual nature of NFTs as both artwork and financial assets. We demonstrate the effectiveness of NFT-MARS compared to various baseline models using the actual transaction data of NFTs collected directly from blockchain for four of the most popular NFT collections. The source code and data are available at https://anonymous.4open.science/r/RecSys2023-93ED.
Parth Daxesh Modi, Kamyar Arshi, Pertami J. Kunz, Abdelhak M. Zoubir
Bitcoin as a cryptocurrency has been one of the most important digital coins and the first decentralized digital currency. Deep neural networks, on the other hand, has shown promising results recently; however, we require huge amount of high-quality data to leverage their power. There are some techniques such as augmentation that can help us with increasing the dataset size, but we cannot exploit them on historical bitcoin data. As a result, we propose a shallow Bidirectional-LSTM (Bi-LSTM) model, fed with feature engineered data using our proposed method to forecast bitcoin closing prices in a daily time frame. We compare the performance with that of other forecasting methods, and show that with the help of the proposed feature engineering method, a shallow deep neural network outperforms other popular price forecasting models.
AI requires heavy amounts of storage and compute with assets that are commonly stored in AI Hubs. AI Hubs have contributed significantly to the democratization of AI. However, existing implementations are associated with certain benefits and limitations that stem from the underlying infrastructure and governance systems with which they are built. These limitations include high costs, lack of monetization and reward, lack of control and difficulty of reproducibility. In the current work, we explore the potential of decentralized technologies - such as Web3 wallets, peer-to-peer marketplaces, storage and compute, and DAOs - to address some of these issues. We suggest that these infrastructural components can be used in combination in the design and construction of decentralized AI Hubs.
Alexander Shevtsov, Despoina Antonakaki, Ioannis Lamprou, Ioannis Kontogiorgakis · 6 authors
On 24 February 2022, Russia invaded Ukraine, starting what is now known as the Russo-Ukrainian War, initiating an online discourse on social media. Twitter as one of the most popular SNs, with an open and democratic character, enables a transparent discussion among its large user base. Unfortunately, this often leads to Twitter's policy violations, propaganda, abusive actions, civil integrity violation, and consequently to user accounts' suspension and deletion. This study focuses on the Twitter suspension mechanism and the analysis of shared content and features of the user accounts that may lead to this. Toward this goal, we have obtained a dataset containing 107.7M tweets, originating from 9.8 million users, using Twitter API. We extract the categories of shared content of the suspended accounts and explain their characteristics, through the extraction of text embeddings in junction with cosine similarity clustering. Our results reveal scam campaigns taking advantage of trending topics regarding the Russia-Ukrainian conflict for Bitcoin and Ethereum fraud, spam, and advertisement campaigns. Additionally, we apply a machine learning methodology including a SHapley Additive explainability model to understand and explain how user accounts get suspended.
Most people around the globe are dying due to heart disease. The main reason behind the rapid increase in the death rate due to heart disease is that there is no infrastructure developed for the healthcare department that can provide a secure way of data storage and transmission. Due to redundancy in the patient data, it is difficult for cardiac Professionals to predict the disease early on. This rapid increase in the death rate due to heart disease can be controlled by monitoring and eliminating some of the key attributes in the early stages such as blood pressure, cholesterol level, body weight, and addiction to smoking. Patient data can be monitored by cardiac Professionals (Cp) by using the advanced framework in the healthcare departments. Blockchain is the world's most reliable provider. The use of advanced systems in the healthcare departments providing new ways of dealing with diseases has been developed as well. In this article Machine Learning (ML) algorithm known as a sine-cosine weighted k-nearest neighbor (SCA-WKNN) is used for predicting the Hearth disease with the maximum accuracy among the existing approaches. Blockchain technology has been used in the research to secure the data throughout the session and can give more accurate results using this technology. The performance of the system can be improved by using this algorithm and the dataset proposed has been improved by using different resources as well.
As blockchain technology becomes more and more popular, a typical financial scam, the Ponzi scheme, has also emerged in the blockchain platform Ethereum. This Ponzi scheme deployed through smart contracts, also known as the smart Ponzi scheme, has caused a lot of economic losses and negative impacts. Existing methods for detecting smart Ponzi schemes on Ethereum mainly rely on bytecode features, opcode features, account features, and transaction behavior features of smart contracts, which are unable to truly characterize the behavioral features of Ponzi schemes, and thus generally perform poorly in terms of detection accuracy and false alarm rates. In this paper, we propose SourceP, a method to detect smart Ponzi schemes on the Ethereum platform using pre-trained models and data flow, which only requires using the source code of smart contracts as features. SourceP reduces the difficulty of data acquisition and feature extraction of existing detection methods. Specifically, we first convert the source code of a smart contract into a data flow graph and then introduce a pre-trained model based on learning code representations to build a classification model to identify Ponzi schemes in smart contracts. The experimental results show that SourceP achieves 87.2% recall and 90.7% F-score for detecting smart Ponzi schemes within Ethereum's smart contract dataset, outperforming state-of-the-art methods in terms of performance and sustainability. We also demonstrate through additional experiments that pre-trained models and data flow play an important contribution to SourceP, as well as proving that SourceP has a good generalization ability.
Falls among the elderly are a major health concern, frequently resulting in serious injuries and a reduced quality of life. In this paper, we propose "BlockTheFall," a wearable device-based fall detection framework which detects falls in real time by using sensor data from wearable devices. To accurately identify patterns and detect falls, the collected sensor data is analyzed using machine learning algorithms. To ensure data integrity and security, the framework stores and verifies fall event data using blockchain technology. The proposed framework aims to provide an efficient and dependable solution for fall detection with improved emergency response, and elderly individuals' overall well-being. Further experiments and evaluations are being carried out to validate the effectiveness and feasibility of the proposed framework, which has shown promising results in distinguishing genuine falls from simulated falls. By providing timely and accurate fall detection and response, this framework has the potential to substantially boost the quality of elderly care.
Artificial Intelligence Generated Content (AIGC) is one of the latest achievements in AI development. The content generated by related applications, such as text, images and audio, has sparked a heated discussion. Various derived AIGC applications are also gradually entering all walks of life, bringing unimaginable impact to people's daily lives. However, the rapid development of such generative tools has also raised concerns about privacy and security issues, and even copyright issues in AIGC. We note that advanced technologies such as blockchain and privacy computing can be combined with AIGC tools, but no work has yet been done to investigate their relevance and prospect in a systematic and detailed way. Therefore it is necessary to investigate how they can be used to protect the privacy and security of data in AIGC by fully exploring the aforementioned technologies. In this paper, we first systematically review the concept, classification and underlying technologies of AIGC. Then, we discuss the privacy and security challenges faced by AIGC from multiple perspectives and purposefully list the countermeasures that currently exist. We hope our survey will help researchers and industry to build a more secure and robust AIGC system.
The Metaverse is gaining attention among academics as maturing technologies empower the promises and envisagements of a multi-purpose, integrated virtual environment. An interactive and immersive socialization experience between people is one of the promises of the Metaverse. In spite of the rapid advancements in current technologies, the computation required for a smooth, seamless and immersive socialization experience in the Metaverse is overbearing, and the accumulated user experience is essential to be considered. The computation burden calls for computation offloading, where the integration of virtual and physical world scenes is offloaded to an edge server. This paper introduces a novel Quality-of-Service (QoS) model for the accumulated experience in multi-user socialization on a multichannel wireless network. This QoS model utilizes deep reinforcement learning approaches to find the near-optimal channel resource allocation. Comprehensive experiments demonstrate that the adoption of the QoS model enhances the overall socialization experience.
Cryptocurrency forensics became standard tools for law enforcement. Their basic idea is to deanonymise cryptocurrency transactions to identify the people behind them. Cryptocurrency deanonymisation techniques are often based on premises that largely remain implicit, especially in legal practice. On the one hand, this implicitness complicates investigations. On the other hand, it can have far-reaching consequences for the rights of those affected. Argumentation schemes could remedy this untenable situation by rendering underlying premises transparent. Additionally, they can aid in critically evaluating the probative value of any results obtained by cryptocurrency deanonymisation techniques. In the argumentation theory and AI community, argumentation schemes are influential as they state implicit premises for different types of arguments. Through their critical questions, they aid the argumentation participants in critically evaluating arguments. We specialise the notion of argumentation schemes to legal reasoning about cryptocurrency deanonymisation. Furthermore, we demonstrate the applicability of the resulting schemes through an exemplary real-world case. Ultimately, we envision that using our schemes in legal practice can solidify the evidential value of blockchain investigations as well as uncover and help address uncertainty in underlying premises - thus contributing to protect the rights of those affected by cryptocurrency forensics.
Sin Kit Lo, Yue Liu, Guangsheng Yu, Qinghua Lu · 6 authors
Distributed trust is a nebulous concept that has evolved from different perspectives in recent years. While one can attribute its current prominence to blockchain and cryptocurrency, the distributed trust concept has been cultivating progress in federated learning, trustworthy and responsible AI in an ecosystem setting, data sharing, privacy issues across organizational boundaries, and zero trust cybersecurity. This paper will survey the concept of distributed trust in multiple disciplines. It will take a system/software architecture point of view to look at trust redistribution/shift and the associated tradeoffs in systems and applications enabled by distributed trust technologies.
The Non-Fungible-Token (NFT) market has experienced explosive growth in recent years. According to DappRadar, the total transaction volume on OpenSea, the largest NFT marketplace, reached 34.7 billion dollars in February 2023. However, the NFT market is mostly unregulated and there are significant concerns about money laundering, fraud and wash trading. The lack of industry-wide regulations, and the fact that amateur traders and retail investors comprise a significant fraction of the NFT market, make this market particularly vulnerable to fraudulent activities. Therefore it is essential to investigate and highlight the relevant risks involved in NFT trading. In this paper, we attempted to uncover common fraudulent behaviors such as wash trading that could mislead other traders. Using market data, we designed quantitative features from the network, monetary, and temporal perspectives that were fed into K-means clustering unsupervised learning algorithm to sort traders into groups. Lastly, we discussed the clustering results' significance and how regulations can reduce undesired behaviors. Our work can potentially help regulators narrow down their search space for bad actors in the market as well as provide insights for amateur traders to protect themselves from unforeseen frauds.
Federated learning (FL) allows multiple parties to cooperatively learn a federated model without sharing private data with each other. The need of protecting such federated models from being plagiarized or misused, therefore, motivates us to propose a provable secure model ownership verification scheme using zero-knowledge proof, named FedZKP. It is shown that the FedZKP scheme without disclosing credentials is guaranteed to defeat a variety of existing and potential attacks. Both theoretical analysis and empirical studies demonstrate the security of FedZKP in the sense that the probability for attackers to breach the proposed FedZKP is negligible. Moreover, extensive experimental results confirm the fidelity and robustness of our scheme.
As artificial intelligence (AI) continues to permeate various domains, concerns surrounding trust and transparency in AI-driven inference and training processes have emerged, particularly with respect to potential biases and traceability challenges. Decentralized solutions such as blockchain have been proposed to tackle these issues, but they often struggle when dealing with large-scale models, leading to time-consuming inference and inefficient training verification. To overcome these limitations, we introduce BRAIN, a Blockchain-based Reliable AI Network, a novel platform specifically designed to ensure reliable inference and training of large models. BRAIN harnesses a unique two-phase transaction mechanism, allowing real-time processing via pipelining by separating request and response transactions. Each randomly-selected inference committee commits and reveals the inference results, and upon reaching an agreement through a smart contract, then the requested operation is executed using the consensus result. Additionally, BRAIN carries out training by employing a randomly-selected training committee. They submit commit and reveal transactions along with their respective scores, enabling local model aggregation based on the median value of the scores. Experimental results demonstrate that BRAIN delivers considerably higher inference throughput at reasonable gas fees. In particular, BRAIN's tasks-per-second performance is 454.4293 times greater than that of a naive single-phase implementation.
With the widespread attention and application of artificial intelligence (AI) and blockchain technologies, privacy protection techniques arising from their integration are of notable significance. In addition to protecting privacy of individuals, these techniques also guarantee security and dependability of data. This paper initially presents an overview of AI and blockchain, summarizing their combination along with derived privacy protection technologies. It then explores specific application scenarios in data encryption, de-identification, multi-tier distributed ledgers, and k-anonymity methods. Moreover, the paper evaluates five critical aspects of AI-blockchain-integration privacy protection systems, including authorization management, access control, data protection, network security, and scalability. Furthermore, it analyzes the deficiencies and their actual cause, offering corresponding suggestions. This research also classifies and summarizes privacy protection techniques based on AI-blockchain application scenarios and technical schemes. In conclusion, this paper outlines the future directions of privacy protection technologies emerging from AI and blockchain integration, including enhancing efficiency and security to achieve a more comprehensive privacy protection of privacy.
The Fourth Industrial Revolution (4IR) is transforming the way we live and work, and education is no exception. To cope with the challenges of 4IR, there is a need for innovative and sustainable teaching and learning tools. AI and block chain technologies hold great promise in this regard, with potential benefits such as personalized learning, secure credentialing, and decentralized learning networks. This paper presents a review of existing research on AI and block chain in education, analyzing case studies and exploring the potential benefits and challenges of these technologies. The paper also suggests a unique model for integrating AI and block chain into sustainable teaching and learning practices. Future research directions are discussed, including the need for more empirical studies and the exploration of ethical and social implications. The key summary of this discussion is that, by enhancing accessibility, efficacy, and security in education, AI and blockchain have the potential to revolutionise the field. In order to ensure that students can benefit from these potentially game-changing technologies as technology develops, it will be crucial to find ways to harness its power while minimising hazards. Overall, this paper highlights the potential of AI and block chain as sustainable tools for teaching and learning in the 4IR era and their respective advantages, issues and future prospects have been discussed in this writing.
Konstantin D. Pandl, Chun-Yin Huang, Ivan Beschastnikh, Xiaoxiao Li · 6 authors
Existing research on data valuation in federated and swarm learning focuses on valuing client contributions and works best when data across clients is independent and identically distributed (IID). In practice, data is rarely distributed IID. We develop an approach called DDVal for decentralized data valuation, capable of valuing individual data points in federated and swarm learning. DDVal is based on sharing deep features and approximating Shapley values through a k-nearest neighbor approximation method. This allows for novel applications, for example, to simultaneously reward institutions and individuals for providing data to a decentralized machine learning task. The valuation of data points through DDVal allows to also draw hierarchical conclusions on the contribution of institutions, and we empirically show that the accuracy of DDVal in estimating institutional contributions is higher than existing Shapley value approximation methods for federated learning. Specifically, it reaches a cosine similarity in approximating Shapley values of 99.969 % in both, IID and non-IID data distributions across institutions, compared with 99.301 % and 97.250 % for the best state of the art methods. DDVal scales with the number of data points instead of the number of clients, and has a loglinear complexity. This scales more favorably than existing approaches with an exponential complexity. We show that DDVal is especially efficient in data distribution scenarios with many clients that have few data points - for example, more than 16 clients with 8,000 data points each. By integrating DDVal into a decentralized system, we show that it is not only suitable for centralized federated learning, but also decentralized swarm learning, which aligns well with the research on emerging internet technologies such as web3 to reward users for providing data to algorithms.
The aim of this paper is to investigate the effect of a novel method called linear law-based feature space transformation (LLT) on the accuracy of intraday price movement prediction of cryptocurrencies. To do this, the 1-minute interval price data of Bitcoin, Ethereum, Binance Coin, and Ripple between 1 January 2019 and 22 October 2022 were collected from the Binance cryptocurrency exchange. Then, 14-hour nonoverlapping time windows were applied to sample the price data. The classification was based on the first 12 hours, and the two classes were determined based on whether the closing price rose or fell after the next 2 hours. These price data were first transformed with the LLT, then they were classified by traditional machine learning algorithms with 10-fold cross-validation. Based on the results, LLT greatly increased the accuracy for all cryptocurrencies, which emphasizes the potential of the LLT algorithm in predicting price movements.
With blockchain technology rapidly progress, the smart contracts have become a common tool in a number of industries including finance, healthcare, insurance and gaming. The number of smart contracts has multiplied, and at the same time, the security of smart contracts has drawn considerable attention due to the monetary losses brought on by smart contract vulnerabilities. Existing analysis techniques are capable of identifying a large number of smart contract security flaws, but they rely too much on rigid criteria established by specialists, where the detection process takes much longer as the complexity of the smart contract rises. In this paper, we propose HyMo as a multi-modal hybrid deep learning model, which intelligently considers various input representations to consider multimodality and FastText word embedding technique, which represents each word as an n-gram of characters with BiGRU deep learning technique, as a sequence processing model that consists of two GRUs to achieve higher accuracy in smart contract vulnerability detection. The model gathers features using various deep learning models to identify the smart contract vulnerabilities. Through a series of studies on the currently publicly accessible dataset such as ScrawlD, we show that our hybrid HyMo model has excellent smart contract vulnerability detection performance. Therefore, HyMo performs better detection of smart contract vulnerabilities against other approaches.
It is difficult to identify anomalies in time series, especially when there is a lot of noise. Denoising techniques can remove the noise but this technique can cause a significant loss of information. To detect anomalies in the time series we have proposed an attention free conditional autoencoder (AF-CA). We started from the autoencoder conditional model on which we added an Attention-Free LSTM layer \cite{inzirillo2022attention} in order to make the anomaly detection capacity more reliable and to increase the power of anomaly detection. We compared the results of our Attention Free Conditional Autoencoder with those of an LSTM Autoencoder and clearly improved the explanatory power of the model and therefore the detection of anomaly in noisy time series.