We review the literature and examine the effects of shocks on bitcoin returns. We assess the effects of factors such as stock market returns, exchange rates, gold and oil returns, FED's and ECB's rates and internet trends on bitcoin returns. Alternative VAR and FAVAR models are employed and generalized as well as local impulse response functions are produced. Our results reveal (i) a significant interaction between bitcoin and traditional stock markets, (ii) a weaker interaction with FX markets and the macroeconomy and (iii) an anemic importance of popularity measures. Lastly, we reveal the increased impact of Asian markets on bitcoin compared to other geographically-defined markets, which however appears to have waned in the last two years after the Chinese regulatory interventions and the sudden contraction of CNY's share in bitcoin trading volume.
Chih‐Hung Wu, Chih-Chiang Lu, Yu-Feng Ma, Ruei-Shan Lu
Long short-term memory (LSTM) networks are a state-of-the-art sequence learning in deep learning for time series forecasting. However, less study applied to financial time series forecasting especially in cryptocurrency prediction. Therefore, we propose a new forecasting framework with LSTM model to forecasting bitcoin daily price with two various LSTM models (conventional LSTM model and LSTM with AR(2) model). The performance of the proposed models are evaluated using daily bitcoin price data during 2018/1/1 to 2018/7/28 in total 208 records. The results confirmed the excellent forecasting accuracy of the proposed model with AR(2). The test mean squared error (MSE), root mean square error (RMSE), mean absolute percentage error (MAPE), and mean absolute error (MAE) for bitcoin price prediction, respectively. The our proposed LSTM with AR(2) model outperformed than conventional LSTM model. The contribution of this study is providing a new forecasting framework for bitcoin price prediction can overcome and improve the problem of input variables selection in LSTM without strict assumptions of data assumption. The results revealed its possible applicability in various cryptocurrencies prediction, industry instances such as medical data or financial time-series data.
Emmanuelle Anceaume, Antoine Guellier, Romaric Ludinard, Bruno Séricola
We propose a new way to organise both transactions and blocks in a distributed ledger to address the performance issues of permissionless ledgers. In contrast to most of the existing solutions in which the ledger is a chain of blocks extracted from a tree or a graph of chains, we present a distributed ledger whose structure is a balanced directed acyclic graph of blocks. We call this specific graph a SYC-DAG. We show that a SYC-DAG allows us to keep all the remarkable properties of the Bitcoin blockchain in terms of security, immutability, and transparency, while enjoying higher throughput and self-adaptivity to transactions demand. To the best of our knowledge, such a design has never been proposed so far.
George Suciu, Carmen Nădrag, Cristiana Istrate, Alexandru Vulpe · 6 authors
Distributed Ledger Technology (DLT) refers to a digital method for registering virtual transactions and other similar data in multiple locations simultaneously. The main characteristic of distributed ledgers is that they do not have a central administration component, due to advanced algorithms and methods used for record-keeping. Thus, transactions are faster and reasonable, as they do not require a central authority to validate them. The network is formed by multiple nodes through which the participant can access recordings, making the network become less vulnerable when referring to cyberattacks. After several years of technological development in this area, different distributed ledger technologies are available. This article presents Blockchain and Tangle technologies along with their main characteristics, in order to make an extended comparison of their approaches. In addition to this, the paper contains experimentation details and results for each technology presented.
The Blockchain is the newest and perspective technology in modern economy. This technology can help to solve different kind of problems in the industrial sphere, such as trust, transparency, security and reliability of data processing. In theory, the use of Blockchain technology shows great and positive results, but what can say about practice? In this paper the description of the Blockchain technology, and it advantages and disadvantages are analyzed. Many already implemented applications of Blockchain technology were studied, as well as affected success or problems factors during the implementations. This paper aim is to analyze conveniences and difficulties, related to the Blockchain integration and implementation in the different fields of modern industry.
Blockchains have shown great promise as peer-to-peer digital currency systems over the past 10 years. However, with increased popularity, the demand for processing transactions has also grown leading to increased costs, confirmation times, and limited blockchain utility. There have been a number of proposals on how to scale blockchains, such as Plasma, Polkadot, Elastico, RapidChain, Bitcoin-NG, and OmniLedger. These solutions all propose the segmentation of every function of a blockchain, namely consensus, permanent data storage, transaction processing, and consistency, which significantly increases the complexity and difficulty of implementation. BlockReduce is a new blockchain structure which only segments consistency, allowing it to scale to handle tens of thousands of transactions per second without impacting fault tolerance or decentralization. Moreover, BlockReduce will significantly decrease node bandwidth requirements and network latency through incentives while simultaneously minimizing other resource demands in order to prevent centralization of nodes.
Purpose The purpose of this paper is to examine the blockchain as a trusted computing platform. Understanding the strengths and limitations of this platform is essential to execute large-scale real-world applications in blockchains. Design/methodology/approach This paper proposes several modifications to conventional blockchain networks to improve the scale and scope of applications. Findings Simple modifications to cryptographic protocols for constructing blockchain ledgers, and digital signatures for authentication of transactions, are sufficient to realize a scalable blockchain platform. Originality/value The original contributions of this paper are concrete steps to overcome limitations of current blockchain networks.
In January 2009, the whole world was introduced to a new financial invention called Bitcoin. This coin is intended to accelerate globalisation of the financial market. Significantly, the inventor is credited as the first to succeed in solving the double-spending challenges associated with digital currency. Prior to the invention, a white paper about the bitcoin was authored and released in 2008under the name, Satoshi Nakamoto. However, the name, Satoshi Nakamoto, remains a mystery; the original inventor of the bitcoin remains a mirage to the financial world. Some analysts believe a pseudonym, rather than an original name, was used in creating the bitcoin. The main purpose of this research was to assess the financial impact of crypto currency, specifically bitcoin, on the Ghanaian and other economies across the globe. The systematic exploratory technique, an example of the mixed methods approach to scientific inquiry, was adapted for this research. Data required for the conduct of this research were obtained mainly from secondary sources. These included text books, journals, newspaper publications, and digital currency markets.Findings from the research revealed divergent views on the prospects of bitcoins in the medium- and long-term: some experts believed a bitcoin would soon trade at 1BTC: US$12,000 while others believed the future of the digital currency cannot be predicted with relative ease, what would become of the bitcoin in the medium- and long-term. The findings revealed some price volatilities in the bitcoin market. This notwithstanding, the digital currency has made remarkable strides in value since 2009 till date. The study recommended the need for governments to introduce measures that would ensure anti-money laundering, and "know-your-customer” controls; reduce the level of anonymity and privacy to eventually minimise use of bitcoins in criminal activities. There is the need for intelligence agencies of governments to engage the services of individuals who are technologically savvy to understand, operate and control the bitcoin system, which is technologically more complex than most of the computer systems used in day-to-day operations in various organisations. Institutions of higher learning and professional bodies could integrate the study of crypto currency into individual business related programmes.
The Internet of Things (IoT) is increasingly part of daily life. However, the development of IoT applications still faces many problems, such as heterogeneity, complex management, and other difficulties. In this paper, first, the open source technologies of IoT are surveyed. We compare these technologies from the point of view of different levels of technical requirements, such as device management, data management, communication, intelligent data processing, security and privacy protection; we also look at requirements of application development and deployment. Second, an IoT integrated development platform architecture for IoT applications based on open source ecosystem is proposed and evaluated in an industrial setting. We applied P2P technology to distributed resource management and blockchain-based smart contract mechanics for resource billing management. The results show that the IoT gateway based on an open source ecosystem had a stable and reliable system performance with a certain data size and concurrency scale. These conditions satisfy the application requirements of the IoT in most sensing environments.
R. Sujeetha A.P., Sarthak Haldar, Bijoy Krishna Saha, Pranjal Katyayan
International Journal of Computer Sciences and Engineering (A UGC Approved and indexed with DOI, ICI and Approved, DPI Digital Library) is one of the leading and growing open access, peer-reviewed, monthly, and scientific research journal for scientists, engineers, research scholars, and academicians, which gains a foothold in Asia and opens to the world, aims to publish original, theoretical and practical advances in Computer Science,Information Technology, Engineering (Software, Mechanical, Civil, Electronics & Electrical), and all interdisciplinary streams of Computing Sciences. It intends to disseminate original, scientific, theoretical or applied research in the field of Computer Sciences and allied fields. It provides a platform for publishing results and research with a strong empirical component. It aims to bridge the significant gap between research and practice by promoting the publication of original, novel, industry-relevant research.
Financial settlement systems have long depended on batch-oriented processing pipelines that introduce substantial operational latency, delayed reconciliation cycles, and significant infrastructure overhead, limiting their ability to support increasingly real-time financial ecosystems. With the rapid growth of digital payments, algorithmic trading, and instantaneous fund transfers, financial institutions now require settlement architectures capable of sustaining high throughput, low-latency execution while ensuring correctness, durability, auditability, and strict regulatory compliance. This paper proposes a fully streaming-based settlement architecture built on Apache Kafka Streams, which provides distributed, stateful stream processing with exactly-once semantics, deterministic event ordering, and fault-tolerant recovery, combined with Apache Cassandra as a linearly scalable, highly available distributed state store for ledger materialization and durable transaction history. We outline essential design patterns such as idempotent event handling, monotonic ordering within partitions, ledger versioning strategies, and continuous reconciliation pipelines and examine how these patterns have been validated through publicly available prototypes and industrial implementations across the financial sector. Experimental findings demonstrate that integrating Kafka Streams with Cassandra enables near-real-time settlement processing with millisecond-range end-to-end latency and predictable fault recovery while preserving strong application-level consistency, ultimately offering a resilient and future-ready foundation for modern financial settlement infrastructures.
Ankush Pathak, Abdul Wasay, C Bhavana Singh, Ritvik Bhavan · 5 authors
In recent times, numerous accusations have been raised on the integrity of the EVMs used in the Indian elections. These accusations demand the need for a newer system that is in line with the present modern era and addresses these accusations. This new system must be an amalgamation of technology and trust, of modernity and tradition. It must be secure, auditable, transparent and should reinforce the confidence of the voters in the democratic election process. Blockchain technology allows for the development of a decentralized distributed open ledger. It offers features like immutability of data, the integrity of data and resistance of data to modifications. We aim to use these features of Blockchain to build a voting machine that will solve existing issues with EVMs and will be sufficiently automated.
Blockchain Technology or known as the Distributed Ledger Technology (DLT) is becoming the game changer in the business industry because of its disruptive and transformative ability. The study aimed to determine the factors that influence the professional accountants to accept to use blockchain technology. Data were from 30 professional accountants working in the Kingdom of Bahrain as respondents using descriptive method of research. They were chosen using a non-probabilistic sampling.
Bitcoin is the leading cryptocurrency in the world with a total marketcap of nearly USD 33 billion, [1] with 370,000 transactions recorded daily[2]. Pseudo-anonymous, decentralized peer-to-peer electronic cash systems such as Bitcoin have caused a paradigm shift in the way that people conduct financial transactions and purchase goods. Although cryptocurrencies enable users to securely and anonymously exchange money, they can also facilitate illegal criminal activities. Therefore, it is imperative that law enforcement agencies develop appropriate analytical processes that will allow them to identify and investigate criminal activities in the Blockchain (a distributed ledger). In this paper, INTERPOL, through the INTERPOL Global Complex for Innovation, proposes a Bitcoin analytical framework and a software system that will assist law enforcement agencies in the real-time analysis of the Blockchain while providing digital crime analysts with tracing and visualization capabilities. By doing so, it is feasible to render transactions decipherable and comprehensible for law enforcement investigators and prosecutors. The proposed solution is evaluated against three criminal case studies linked to Darknet markets, ransomware and DDoS extortion.
The key features of the blockchain databases, such as decentralization, distribution, security, and record of the history of all transactions, create significant prospects for their application in the field of cadastre and real estate registration activities, including creation of the global real estate cadastre infrastructure, which will be able to go beyond national legal systems and jurisdictions. The conceptual approach to registration of land plots as spatial objects using blockchain technology is proposed. The land plot should be considered as a combination of smart contracts between landowners, surveyors, appraisers, notaries and other persons. The subject of such contracts will be the description and establishment of spatial (plot boundaries, territorial zones, etc.) and other (property rights and encumbrances, monetary valuation, soil bonitet, etc.) characteristics of land plots. The classification of such smart contracts reliability is also presented.
Ethereum is the second most valuable cryptocurrency today, with a current market cap of over $68B. What sets Ethereum apart from other cryptocurrencies is that it uses the blockchain to not only store a record of transactions, but also smart contracts and a history of calls made to those contracts. Thus, Ethereum represents a new form of distributed system: one where users can implement contracts that can provide functionality such as voting protocols, crowdfunding projects, betting agreements, and many more. However, despite the massive investment, little is known about how contracts in Ethereum are actually created and used.
Ankur Sharma, Felix Schuhknecht, Divya Agrawal, Jens Dittrich
Within the last few years, a countless number of blockchain systems have emerged on the market, each one claiming to revolutionize the way of distributed transaction processing in one way or the other. Many blockchain features, such as byzantine fault tolerance (BFT), are indeed valuable additions in modern environments. However, despite all the hype around the technology, many of the challenges that blockchain systems have to face are fundamental transaction management problems. These are largely shared with traditional database systems, which have been around for decades already. These similarities become especially visible for systems, that blur the lines between blockchain systems and classical database systems. A great example of this is Hyperledger Fabric, an open-source permissioned blockchain system under development by IBM. By having a relaxed view on BFT, the transaction pipeline of Fabric highly resembles the workflow of classical distributed databases systems. This raises two questions: (1) Which conceptual similarities and differences do actually exist between a system such as Fabric and a classical distributed database system? (2) Is it possible to improve on the performance of Fabric by transitioning technology from the database world to blockchains and thus blurring the lines between these two types of systems even further? To tackle these questions, we first explore Fabric from the perspective of database research, where we observe weaknesses in the transaction pipeline. We then solve these issues by transitioning well-understood database concepts to Fabric, namely transaction reordering as well as early transaction abort. Our experimental evaluation shows that our improved version Fabric++ significantly increases the throughput of successful transactions over the vanilla version by up to a factor of 3x.
Ethereum, the second-largest cryptocurrency valued at a peak of $138 billion in 2018, is a decentralized, Turing-complete computing platform. Although the stability and security of Ethereum---and blockchain systems in general---have been widely-studied, most analysis has focused on application level features of these systems such as cryptographic mining challenges, smart contract semantics, or block mining operators. Little attention has been paid to the underlying peer-to-peer (P2P) networks that are responsible for information propagation and that enable blockchain consensus. In this work, we develop NodeFinder to measure this previously opaque network at scale and illuminate the properties of its nodes. We analyze the Ethereum network from two vantage points: a three-month long view of nodes on the P2P network, and a single day snapshot of the Ethereum Mainnet peers. We uncover a noisy DEVp2p ecosystem in which fewer than half of all nodes contribute to the Ethereum Mainnet. Through a comparison with other previously studied P2P networks including BitTorrent, Gnutella, and Bitcoin, we find that Ethereum differs in both network size and geographical distribution.
International Journal of Computer Sciences and Engineering (A UGC Approved and indexed with DOI, ICI and Approved, DPI Digital Library) is one of the leading and growing open access, peer-reviewed, monthly, and scientific research journal for scientists, engineers, research scholars, and academicians, which gains a foothold in Asia and opens to the world, aims to publish original, theoretical and practical advances in Computer Science,Information Technology, Engineering (Software, Mechanical, Civil, Electronics & Electrical), and all interdisciplinary streams of Computing Sciences. It intends to disseminate original, scientific, theoretical or applied research in the field of Computer Sciences and allied fields. It provides a platform for publishing results and research with a strong empirical component. It aims to bridge the significant gap between research and practice by promoting the publication of original, novel, industry-relevant research.
Mark C. Ballandies, Marcus M. Dapp, Evangelos Pournaras
More than 1000 distributed ledger technology (DLT) systems raising $600 billion in investment in 2016 feature the unprecedented and disruptive potential of blockchain technology. A systematic and data-driven analysis, comparison and rigorous evaluation of the different design choices of distributed ledgers and their implications is a challenge. The rapidly evolving nature of the blockchain landscape hinders reaching a common understanding of the techno-socio-economic design space of distributed ledgers and the cryptoeconomies they support. To fill this gap, this paper makes the following contributions: (i) A conceptual architecture of DLT systems with which (ii) a taxonomy is designed and (iii) a rigorous classification of DLT systems is made using real-world data and wisdom of the crowd. (iv) A DLT design guideline is the end result of applying machine learning methodologies on the classification data. Compared to related work and as defined in earlier taxonomy theory, the proposed taxonomy is highly comprehensive, robust, explanatory and extensible. The findings of this paper can provide new insights and better understanding of the key design choices evolving the modeling complexity of DLT systems, while identifying opportunities for new research contributions and business innovation. Supplementary Information: The online version contains supplementary material available at 10.1007/s10586-021-03256-w.
Blockchains is a special type of distributed systems that operates in unsafe networks. In most blockchains, all nodes should reach consensus on all state transitions with Byzantine fault tolerant algorithms, which creates bottlenecks in performance. In this paper, we propose a new type of blockchains, namely Value-Centric Blockchains (VCBs), in which the states are specified as values (or more comprehensively, coins) with owners and the state transition records are then specified as proofs of the ownerships of individual values. We then formalize the "rational" assumptions that have been used in most blockchains. We further propose a VCB, VAPOR, that guarantees secure value transfers if all nodes are rational and keep the proofs of the values they owned, which is merely parts of the whole state transition record. As a result, we show that VAPOR enjoys significant benefits in throughput, decentralization, and flexibility without compromising security.
Mohammed Almukaynizi, Vivin Paliath, Malay Shah, Malav Shah · 5 authors
With the recent prevalence of darkweb/deepweb (D2web) sites specializing in the trade of exploit kits and malware, malicious actors have easy-access to a wide-range of tools that can empower their offensive capability. In this study, we apply concepts from causal reasoning, itemset mining, and logic programming on historical cryptocurrency-related cyber incidents with intelligence collected from over 400 D2web hacker forums. Our goal was to find indicators of cyber threats targeting cryptocurrency traders and exchange platforms from hacker activity. Our approach found interesting activities that, when observed together in the D2web, subsequent cryptocurrency-related incidents are at least twice as likely to occur than they would if no activity was observed. We also present an algorithmic extension to a previously-introduced algorithm called APT-Extract that allows to model new semantic structures that are specific to our application.
Son zamanlarda; blok zinciri tabanlı kripto para ödeme sistemleri(bitcoin, ethereum) oldukça popüler olmuştur. Merkezi olmayan eşler arası(P2P) ağ yapısına sahip olan bu sistemde tüm işlemler, sadece ekleme yapılabilen bir ana defterde(ledger) tutulmaktadır. Madenciler ise bu ağ yapısındaki düğümleri oluşturmaktadır, her madenci defterin yerel kopyasına sahiptir. Blok zincirinde, PoW uzlaşma protokolü işlemi onaylamakta ve zincire yeni blok eklenmesine izin vermektedir. Ödülü almak için, madenciler eşler arası ağda işlemi tamamlamak için birbirleriyle yarışırlar. Ödül sistemi, blok zinciri kullanan bitcoin’i popülerleştirmiş, fakat aynı zamanda saldırganların blok zincirine ilgisini artırmıştır. Saldırganlar tarafından blok zincirinin madenci havuzuna ve ağ yapısının güvenliğine farklı saldırılar yapılmıştır. Bu makalede, blok zinciri alt yapısına karşı mevcut saldırılar sunulmuştur. İlk bölümlerde, P2P mimarisine, uzlaşma protokolüne ve işlemlere yönelik saldırı tipleri araştırılmıştır. Bu bölümde, %51 saldırısı, Çift harcama, Finney, Vector76, Kaba Kuvvet, Sybil, Eclipse, Denge gibi saldırılar açıklanmış ve çözümler önerilmiştir. Daha sonra, Bencil madencilik ve Blok Atma, Blok Tutma(BWH), Blok Tutma Sonrası Çatallanma(FAW), Havuz sıçrama saldırısı, Cezalandırıcı Çatallanma ile Kara Listeye Alma, Köpük saldırısı ve Rüşvet Saldırısı gibi madencilik havuzuna karşı saldırılar incelenmiş ve savunma stratejileri sunulmuştur. Son bölümde de blok zinciri altyapısında kullanılan kriptografi’nin geleceği üzerinde tartışılmış ve Post Kuantum Kriptografi’nin etkilerinden bahsedilmiştir
Open access
Blockchain Technology Applications and Security
Advanced Steganography and Watermarking Techniques