Blockchain Papers

Follow blockchain research across journals, conferences, and preprint repositories.

846 papersLast indexed Aug 31, 2026
Search papers

Paper index

846 results · page 6 of 36

Clear filters
Oct 30, 2025·arXiv
0 cites
Towards Explainable and Reliable AI in Finance

Albi Isufaj, Pablo Mollá, Helmut Prendinger

Financial forecasting increasingly uses large neural network models, but their opacity raises challenges for trust and regulatory compliance. We present several approaches to explainable and reliable AI in finance. \emph{First}, we describe how Time-LLM, a time series foundation model, uses a prompt to avoid a wrong directional forecast. \emph{Second}, we show that combining foundation models for time series forecasting with a reliability estimator can filter our unreliable predictions. \emph{Third}, we argue for symbolic reasoning encoding domain rules for transparent justification. These approaches shift emphasize executing only forecasts that are both reliable and explainable. Experiments on equity and cryptocurrency data show that the architecture reduces false positives and supports selective execution. By integrating predictive performance with reliability estimation and rule-based reasoning, our framework advances transparent and auditable financial AI systems.

Open access
cs.LG
Original source
Oct 30, 2025·arXiv
0 cites
PVMark: Enabling Public Verifiability for LLM Watermarking Schemes

Haohua Duan, Liyao Xiang, Xin Zhang

Watermarking schemes for large language models (LLMs) have been proposed to identify the source of the generated text, mitigating the potential threats emerged from model theft. However, current watermarking solutions hardly resolve the trust issue: the non-public watermark detection cannot prove itself faithfully conducting the detection. We observe that it is attributed to the secret key mostly used in the watermark detection -- it cannot be public, or the adversary may launch removal attacks provided the key; nor can it be private, or the watermarking detection is opaque to the public. To resolve the dilemma, we propose PVMark, a plugin based on zero-knowledge proof (ZKP), enabling the watermark detection process to be publicly verifiable by third parties without disclosing any secret key. PVMark hinges upon the proof of `correct execution' of watermark detection on which a set of ZKP constraints are built, including mapping, random number generation, comparison, and summation. We implement multiple variants of PVMark in Python, Rust and Circom, covering combinations of three watermarking schemes, three hash functions, and four ZKP protocols, to show our approach effectively works under a variety of circumstances. By experimental results, PVMark efficiently enables public verifiability on the state-of-the-art LLM watermarking schemes yet without compromising the watermarking performance, promising to be deployed in practice.

Open access
cs.CR
cs.CL
cs.LG
Original source
Oct 28, 2025·arXiv
0 cites
DynBERG: Dynamic BERT-based Graph neural network for financial fraud detection

Omkar Kulkarni, Rohitash Chandra

Financial fraud detection is critical for maintaining the integrity of financial systems, particularly in decentralised environments such as cryptocurrency networks. Although Graph Convolutional Networks (GCNs) are widely used for financial fraud detection, graph Transformer models such as Graph-BERT are gaining prominence due to their Transformer-based architecture, which mitigates issues such as over-smoothing. Graph-BERT is designed for static graphs and primarily evaluated on citation networks with undirected edges. However, financial transaction networks are inherently dynamic, with evolving structures and directed edges representing the flow of money. To address these challenges, we introduce DynBERG, a novel architecture that integrates Graph-BERT with a Gated Recurrent Unit (GRU) layer to capture temporal evolution over multiple time steps. Additionally, we modify the underlying algorithm to support directed edges, making DynBERG well-suited for dynamic financial transaction analysis. We evaluate our model on the Elliptic dataset, which includes Bitcoin transactions, including all transactions during a major cryptocurrency market event, the Dark Market Shutdown. By assessing DynBERG's resilience before and after this event, we analyse its ability to adapt to significant market shifts that impact transaction behaviours. Our model is benchmarked against state-of-the-art dynamic graph classification approaches, such as EvolveGCN and GCN, demonstrating superior performance, outperforming EvolveGCN before the market shutdown and surpassing GCN after the event. Additionally, an ablation study highlights the critical role of incorporating a time-series deep learning component, showcasing the effectiveness of GRU in modelling the temporal dynamics of financial transactions.

Open access
cs.LG
cs.AI
cs.CE
Original source
Oct 22, 2025·Appl Intell 55, 1030 (2025)
0 cites
Collaborative penetration testing suite for emerging generative AI algorithms

Petar Radanliev

Problem Space: AI Vulnerabilities and Quantum Threats Generative AI vulnerabilities: model inversion, data poisoning, adversarial inputs. Quantum threats Shor Algorithm breaking RSA ECC encryption. Challenge Secure generative AI models against classical and quantum cyberattacks. Proposed Solution Collaborative Penetration Testing Suite Five Integrated Components: DAST SAST OWASP ZAP, Burp Suite, SonarQube, Fortify. IAST Contrast Assess integrated with CI CD pipeline. Blockchain Logging Hyperledger Fabric for tamper-proof logs. Quantum Cryptography Lattice based RLWE protocols. AI Red Team Simulations Adversarial ML & Quantum-assisted attacks. Integration Layer: Unified workflow for AI, cybersecurity, and quantum experts. Key Results 300+ vulnerabilities identified across test environments. 70% reduction in high-severity issues within 2 weeks. 90% resolution efficiency for blockchain-logged vulnerabilities. Quantum-resistant cryptography maintained 100% integrity in tests. Outcome: Quantum AI Security Protocol integrating Blockchain Quantum Cryptography AI Red Teaming.

Open access
cs.CR
cs.AI
cs.LG
Original source
Oct 22, 2025·arXiv
0 cites
News-Aware Direct Reinforcement Trading for Financial Markets

Qing-Yu Lan, Zhan-He Wang, Jun-Qian Jiang, Yu-Tong Wang · 5 authors

The financial market is known to be highly sensitive to news. Therefore, effectively incorporating news data into quantitative trading remains an important challenge. Existing approaches typically rely on manually designed rules and/or handcrafted features. In this work, we directly use the news sentiment scores derived from large language models, together with raw price and volume data, as observable inputs for reinforcement learning. These inputs are processed by sequence models such as recurrent neural networks or Transformers to make end-to-end trading decisions. We conduct experiments using the cryptocurrency market as an example and evaluate two representative reinforcement learning algorithms, namely Double Deep Q-Network (DDQN) and Group Relative Policy Optimization (GRPO). The results demonstrate that our news-aware approach, which does not depend on handcrafted features or manually designed rules, can achieve performance superior to market benchmarks. We further highlight the critical role of time-series information in this process.

Open access
q-fin.CP
cs.AI
cs.LG
Original source
Oct 22, 2025·arXiv
0 cites
DyPBP: Dynamic Peer Beneficialness Prediction for Cryptocurrency P2P Networking

Nazmus Sakib, Simeon Wuthier, Amanul Islam, Xiaobo Zhou · 7 authors

Distributed peer-to-peer (P2P) networking delivers the new blocks and transactions and is critical for the cryptocurrency blockchain system operations. Having poor P2P connectivity reduces the financial rewards from the mining consensus protocol. Previous research defines beneficalness of each Bitcoin peer connection and estimates the beneficialness based on the observations of the blocks and transactions delivery, which are after they are delivered. However, due to the infrequent block arrivals and the sporadic and unstable peer connections, the peers do not stay connected long enough to have the beneficialness score to converge to its expected beneficialness. We design and build Dynamic Peer Beneficialness Prediction (DyPBP) which predicts a peer's beneficialness by using networking behavior observations beyond just the block and transaction arrivals. DyPBP advances the previous research by estimating the beneficialness of a peer connection before it delivers new blocks and transactions. To achieve such goal, DyPBP introduces a new feature for remembrance to address the dynamic connectivity issue, as Bitcoin's peers using distributed networking often disconnect and re-connect. We implement DyPBP on an active Bitcoin node connected to the Mainnet and use machine learning for the beneficialness prediction. Our experimental results validate and evaluate the effectiveness of DyPBP; for example, the error performance improves by 2 to 13 orders of magnitude depending on the machine-learning model selection. DyPBP's use of the remembrance feature also informs our model selection. DyPBP enables the P2P connection's beneficialness estimation from the connection start before a new block arrives.

Open access
cs.NI
cs.LG
Original source
Oct 20, 2025·arXiv
0 cites
PrivaDE: Privacy-preserving Data Evaluation for Blockchain-based Data Marketplaces

Wan Ki Wong, Sahel Torkamani, Michele Ciampi, Rik Sarkar

Evaluating the usefulness of data before purchase is essential when obtaining data for high-quality machine learning models, yet both model builders and data providers are often unwilling to reveal their proprietary assets. We present PrivaDE, a privacy-preserving protocol that allows a model owner and a data owner to jointly compute a utility score for a candidate dataset without fully exposing model parameters, raw features, or labels. PrivaDE provides strong security against malicious behavior and can be integrated into blockchain-based marketplaces, where smart contracts enforce fair execution and payment. To make the protocol practical, we propose optimizations to enable efficient secure model inference, and a model-agnostic scoring method that uses only a small, representative subset of the data while still reflecting its impact on downstream training. Evaluation shows that PrivaDE performs data evaluation effectively, achieving online runtimes within 15 minutes even for models with millions of parameters. Our work lays the foundation for fair and automated data marketplaces in decentralized machine learning ecosystems.

Open access
cs.CR
cs.LG
Original source
Oct 16, 2025·arXiv
0 cites
Incentive-Based Federated Learning: Architectural Elements and Future Directions

Chanuka A. S. Hewa Kaluannakkage, Rajkumar Buyya

Federated learning promises to revolutionize machine learning by enabling collaborative model training without compromising data privacy. However, practical adaptability can be limited by critical factors, such as the participation dilemma. Participating entities are often unwilling to contribute to a learning system unless they receive some benefits, or they may pretend to participate and free-ride on others. This chapter identifies the fundamental challenges in designing incentive mechanisms for federated learning systems. It examines how foundational concepts from economics and game theory can be applied to federated learning, alongside technology-driven solutions such as blockchain and deep reinforcement learning. This work presents a comprehensive taxonomy that thoroughly covers both centralized and decentralized architectures based on the aforementioned theoretical concepts. Furthermore, the concepts described are presented from an application perspective, covering emerging industrial applications, including healthcare, smart infrastructure, vehicular networks, and blockchain-based decentralized systems. Through this exploration, this chapter demonstrates that well-designed incentive mechanisms are not merely optional features but essential components for the practical success of federated learning. This analysis reveals both the promising solutions that have emerged and the significant challenges that remain in building truly sustainable, fair, and robust federated learning ecosystems.

Open access
cs.LG
cs.DC
Original source
Oct 15, 2025·Proceedings of the 21st European Conference on Computer Systems, (2026) 1515-1532
0 cites
TAO: Tolerance-Aware Optimistic Verification for Floating-Point Neural Networks

Jianzhu Yao, Hongxu Su, Taobo Liao, Zerui Cheng · 7 authors

Neural networks increasingly run on hardware outside the user's control (cloud GPUs, inference marketplaces). Yet ML-as-a-Service reveals little about what actually ran or whether returned outputs faithfully reflect the intended inputs. Users lack recourse against service downgrades (model swaps, quantization, graph rewrites, or discrepancies like altered ad embeddings). Verifying outputs is hard because floating-point(FP) execution on heterogeneous accelerators is inherently nondeterministic. Existing approaches are either impractical for real FP neural networks or reintroduce vendor trust. We present TAO: a Tolerance Aware Optimistic verification protocol that accepts outputs within principled operator-level acceptance regions rather than requiring bitwise equality. TAO combines two error models: (i) sound per-operator IEEE-754 worst-case bounds and (ii) tight empirical percentile profiles calibrated across hardware. Discrepancies trigger a Merkle-anchored, threshold-guided dispute game that recursively partitions the computation graph until one operator remains, where adjudication reduces to a lightweight theoretical-bound check or a small honest-majority vote against empirical thresholds. Unchallenged results finalize after a challenge window, without requiring trusted hardware or deterministic kernels. We implement TAO as a PyTorch-compatible runtime and a contract layer currently deployed on Ethereum Holesky testnet. The runtime instruments graphs, computes per-operator bounds, and runs unmodified vendor kernels in FP32 with negligible overhead (0.3% on Qwen3-8B). Across CNNs, Transformers and diffusion models on A100, H100, RTX6000, RTX4090, empirical thresholds are $10^2-10^3$ times tighter than theoretical bounds, and bound-aware adversarial attacks achieve 0% success. Together, TAO reconciles scalability with verifiability for real-world heterogeneous ML compute.

Open access
cs.CR
cs.AI
cs.LG
Original source
Oct 15, 2025·arXiv
0 cites
Provenance of AI-Generated Images: A Vector Similarity and Blockchain-based Approach

Jitendra Sharma, Arthur Carvalho, Suman Bhunia

Rapid advancement in generative AI and large language models (LLMs) has enabled the generation of highly realistic and contextually relevant digital content. LLMs such as ChatGPT with DALL-E integration and Stable Diffusion techniques can produce images that are often indistinguishable from those created by humans, which poses challenges for digital content authentication. Verifying the integrity and origin of digital data to ensure it remains unaltered and genuine is crucial to maintaining trust and legality in digital media. In this paper, we propose an embedding-based AI image detection framework that utilizes image embeddings and a vector similarity to distinguish AI-generated images from real (human-created) ones. Our methodology is built on the hypothesis that AI-generated images demonstrate closer embedding proximity to other AI-generated content, while human-created images cluster similarly within their domain. To validate this hypothesis, we developed a system that processes a diverse dataset of AI and human-generated images through five benchmark embedding models. Extensive experimentation demonstrates the robustness of our approach, and our results confirm that moderate to high perturbations minimally impact the embedding signatures, with perturbed images maintaining close similarity matches to their original versions. Our solution provides a generalizable framework for AI-generated image detection that balances accuracy with computational efficiency.

Open access
cs.CV
cs.CR
cs.LG
Original source
Oct 15, 2025·arXiv (Cornell University)
0 cites
NoisePrints: Distortion-Free Watermarks for Authorship in Private Diffusion Models

Nir Goren, Oren Katzir, Abhinav Nakarmi, Eyal Ronen · 6 authors

With the rapid adoption of diffusion models for visual content generation, proving authorship and protecting copyright have become critical. This challenge is particularly important when model owners keep their models private and may be unwilling or unable to handle authorship issues, making third-party verification essential. A natural solution is to embed watermarks for later verification. However, existing methods require access to model weights and rely on computationally heavy procedures, rendering them impractical and non-scalable. To address these challenges, we propose NoisePrints, a lightweight watermarking scheme that utilizes the random seed used to initialize the diffusion process as a proof of authorship without modifying the generation process. Our key observation is that the initial noise derived from a seed is highly correlated with the generated visual content. By incorporating a hash function into the noise sampling process, we further ensure that recovering a valid seed from the content is infeasible. We also show that sampling an alternative seed that passes verification is infeasible, and demonstrate the robustness of our method under various manipulations. Finally, we show how to use cryptographic zero-knowledge proofs to prove ownership without revealing the seed. By keeping the seed secret, we increase the difficulty of watermark removal. In our experiments, we validate NoisePrints on multiple state-of-the-art diffusion models for images and videos, demonstrating efficient verification using only the seed and output, without requiring access to model weights.

Open access
2 source records
cs.CV
cs.CR
cs.LG
Original source
Oct 8, 2025·arXiv
0 cites
DGTEN: A Robust Deep Gaussian based Graph Neural Network for Dynamic Trust Evaluation with Uncertainty-Quantification Support

Muhammad Usman, Yugyung Lee

Dynamic trust evaluation in large, rapidly evolving graphs demands models that capture changing relationships, express calibrated confidence, and resist adversarial manipulation. DGTEN (Deep Gaussian-Based Trust Evaluation Network) introduces a unified graph-based framework that does all three by combining uncertainty-aware message passing, expressive temporal modeling, and built-in defenses against trust-targeted attacks. It represents nodes and edges as Gaussian distributions so that both semantic signals and epistemic uncertainty propagate through the graph neural network, enabling risk-aware trust decisions rather than overconfident guesses. To track how trust evolves, it layers hybrid absolute-Gaussian-hourglass positional encoding with Kolmogorov-Arnold network-based unbiased multi-head attention, then applies an ordinary differential equation-based residual learning module to jointly model abrupt shifts and smooth trends. Robust adaptive ensemble coefficient analysis prunes or down-weights suspicious interactions using complementary cosine and Jaccard similarity, curbing reputation laundering, sabotage, and on-off attacks. On two signed Bitcoin trust networks, DGTEN delivers standout gains where it matters most: in single-timeslot prediction on Bitcoin-OTC, it improves MCC by +12.34% over the best dynamic baseline; in the cold-start scenario on Bitcoin-Alpha, it achieves a +25.00% MCC improvement, the largest across all tasks and datasets; while under adversarial on-off attacks, it surpasses the baseline by up to +10.23% MCC. These results endorse the unified DGTEN framework.

Open access
cs.LG
cs.AI
Original source
Oct 8, 2025·arXiv (Cornell University)
0 cites
Pseudo-MDPs: A Novel Framework for Efficiently Optimizing Last Revealer Seed Manipulations in Blockchains

Maxime Reynouard

This study tackles the computational challenges of solving Markov Decision Processes (MDPs) for a restricted class of problems. It is motivated by the Last Revealer Attack (LRA), which undermines fairness in some Proof-of-Stake (PoS) blockchains such as Ethereum (\$400B market capitalization). We introduce pseudo-MDPs (pMDPs) a framework that naturally models such problems and propose two distinct problem reductions to standard MDPs. One problem reduction provides a novel, counter-intuitive perspective, and combining the two problem reductions enables significant improvements in dynamic programming algorithms such as value iteration. In the case of the LRA which size is parameterized by $κ$ (in Ethereum's case $κ$= 325), we reduce the computational complexity from $O(2^κκ^{2^{κ+2}})$ to $O(κ^4)$ (per iteration). This solution also provide the usual benefits from Dynamic Programming solutions: exponentially fast convergence toward the optimal solution is guaranteed. The dual perspective also simplifies policy extraction, making the approach well-suited for resource-constrained agents who can operate with very limited memory and computation once the problem has been solved. Furthermore, we generalize those results to a broader class of MDPs, enhancing their applicability. The framework is validated through two case studies: a fictional card game and the LRA on the Ethereum random seed consensus protocol. These applications demonstrate the framework's ability to solve large-scale problems effectively while offering actionable insights into optimal strategies. This work advances the study of MDPs and contributes to understanding security vulnerabilities in blockchain systems.

Open access
2 source records
Blockchain Technology Applications and Security
Cloud Computing and Resource Management
Caching and Content Delivery
Original source
Sep 29, 2025·arXiv
0 cites
Enhancing Split Learning with Sharded and Blockchain-Enabled SplitFed Approaches

Amirreza Sokhankhosh, Khalid Hassan, Sara Rouhani

Collaborative and distributed learning techniques, such as Federated Learning (FL) and Split Learning (SL), hold significant promise for leveraging sensitive data in privacy-critical domains. However, FL and SL suffer from key limitations -- FL imposes substantial computational demands on clients, while SL leads to prolonged training times. To overcome these challenges, SplitFed Learning (SFL) was introduced as a hybrid approach that combines the strengths of FL and SL. Despite its advantages, SFL inherits scalability, performance, and security issues from SL. In this paper, we propose two novel frameworks: Sharded SplitFed Learning (SSFL) and Blockchain-enabled SplitFed Learning (BSFL). SSFL addresses the scalability and performance constraints of SFL by distributing the workload and communication overhead of the SL server across multiple parallel shards. Building upon SSFL, BSFL replaces the centralized server with a blockchain-based architecture that employs a committee-driven consensus mechanism to enhance fairness and security. BSFL incorporates an evaluation mechanism to exclude poisoned or tampered model updates, thereby mitigating data poisoning and model integrity attacks. Experimental evaluations against baseline SL and SFL approaches show that SSFL improves performance and scalability by 31.2% and 85.2%, respectively. Furthermore, BSFL increases resilience to data poisoning attacks by 62.7% while maintaining superior performance under normal operating conditions. To the best of our knowledge, BSFL is the first blockchain-enabled framework to implement an end-to-end decentralized SplitFed Learning system.

Open access
cs.DC
cs.LG
Original source
Sep 29, 2025·arXiv (Cornell University)
0 cites
Optimizing Privacy-Preserving Primitives to Support LLM-Scale Applications

Yaman Jandali, Ruisi Zhang, Nojan Sheybani, Farinaz Koushanfar

Privacy-preserving technologies have introduced a paradigm shift that allows for realizable secure computing in real-world systems. The significant barrier to the practical adoption of these primitives is the computational and communication overhead that is incurred when applied at scale. In this paper, we present an overview of our efforts to bridge the gap between this overhead and practicality for privacy-preserving learning systems using multi-party computation (MPC), zero-knowledge proofs (ZKPs), and fully homomorphic encryption (FHE). Through meticulous hardware/software/algorithm co-design, we show progress towards enabling LLM-scale applications in privacy-preserving settings. We demonstrate the efficacy of our solutions in several contexts, including DNN IP ownership, ethical LLM usage enforcement, and transformer inference.

Open access
2 source records
cs.CR
cs.AI
cs.LG
Original source
Sep 28, 2025·arXiv
0 cites
Curriculum-Guided Reinforcement Learning for Synthesizing Gas-Efficient Financial Derivatives Contracts

Maruf Ahmed Mridul, Oshani Seneviratne

Smart contract-based automation of financial derivatives offers substantial efficiency gains, but its real-world adoption is constrained by the complexity of translating financial specifications into gas-efficient executable code. In particular, generating code that is both functionally correct and economically viable from high-level specifications, such as the Common Domain Model (CDM), remains a significant challenge. This paper introduces a Reinforcement Learning (RL) framework to generate functional and gas-optimized Solidity smart contracts directly from CDM specifications. We employ a Proximal Policy Optimization (PPO) agent that learns to select optimal code snippets from a pre-defined library. To manage the complex search space, a two-phase curriculum first trains the agent for functional correctness before shifting its focus to gas optimization. Our empirical results show the RL agent learns to generate contracts with significant gas savings, achieving cost reductions of up to 35.59% on unseen test data compared to unoptimized baselines. This work presents a viable methodology for the automated synthesis of reliable and economically sustainable smart contracts, bridging the gap between high-level financial agreements and efficient on-chain execution.

Open access
cs.LG
Original source
Sep 27, 2025·In Proceedings of the IEEE Conference on Blockchain Computing and Applications (BCCA 2025), IEEE, 2025
0 cites
Towards Quantum-Ready Blockchain Fraud Detection via Ensemble Graph Neural Networks

M. Z. Haider, Tayyaba Noreen, M. Salman

Blockchain Business applications and cryptocurrencies such as enable secure, decentralized value transfer, yet their pseudonymous nature creates opportunities for illicit activity, challenging regulators and exchanges in anti money laundering (AML) enforcement. Detecting fraudulent transactions in blockchain networks requires models that can capture both structural and temporal dependencies while remaining resilient to noise, imbalance, and adversarial behavior. In this work, we propose an ensemble framework that integrates Graph Convolutional Networks (GCN), Graph Attention Networks (GAT), and Graph Isomorphism Networks (GIN) to enhance blockchain fraud detection. Using the real-world Elliptic dataset, our tuned soft voting ensemble achieves high recall of illicit transactions while maintaining a false positive rate below 1%, beating individual GNN models and baseline methods. The modular architecture incorporates quantum-ready design hooks, allowing seamless future integration of quantum feature mappings and hybrid quantum classical graph neural networks. This ensures scalability, robustness, and long-term adaptability as quantum computing technologies mature. Our findings highlight ensemble GNNs as a practical and forward-looking solution for real-time cryptocurrency monitoring, providing both immediate AML utility and a pathway toward quantum-enhanced financial security analytics.

Open access
cs.LG
cs.AI
cs.CR
Original source
Sep 21, 2025·arXiv
0 cites
LEMs: A Primer On Large Execution Models

Remi Genet, Hugo Inzirillo

This paper introduces Large Execution Models (LEMs), a novel deep learning framework that extends transformer-based architectures to address complex execution problems with flexible time boundaries and multiple execution constraints. Building upon recent advances in neural VWAP execution strategies, LEMs generalize the approach from fixed-duration orders to scenarios where execution duration is bounded between minimum and maximum time horizons, similar to share buyback contract structures. The proposed architecture decouples market information processing from execution allocation decisions: a common feature extraction pipeline using Temporal Kolmogorov-Arnold Networks (TKANs), Variable Selection Networks (VSNs), and multi-head attention mechanisms processes market data to create informational context, while independent allocation networks handle the specific execution logic for different scenarios (fixed quantity vs. fixed notional, buy vs. sell orders). This architectural separation enables a unified model to handle diverse execution objectives while leveraging shared market understanding across scenarios. Through comprehensive empirical evaluation on intraday cryptocurrency markets and multi-day equity trading using DOW Jones constituents, we demonstrate that LEMs achieve superior execution performance compared to traditional benchmarks by dynamically optimizing execution paths within flexible time constraints. The unified model architecture enables deployment across different execution scenarios (buy/sell orders, varying duration boundaries, volume/notional targets) through a single framework, providing significant operational advantages over asset-specific approaches.

Open access
cs.LG
q-fin.CP
Original source
Sep 21, 2025·arXiv
0 cites
Quantum Adaptive Self-Attention for Financial Rebalancing: An Empirical Study on Automated Market Makers in Decentralized Finance

Chi-Sheng Chen, Aidan Hung-Wen Tsai

We formulate automated market maker (AMM) \emph{rebalancing} as a binary detection problem and study a hybrid quantum--classical self-attention block, \textbf{Quantum Adaptive Self-Attention (QASA)}. QASA constructs quantum queries/keys/values via variational quantum circuits (VQCs) and applies standard softmax attention over Pauli-$Z$ expectation vectors, yielding a drop-in attention module for financial time-series decision making. Using daily data for \textbf{BTCUSDC} over \textbf{Jan-2024--Jan-2025} with a 70/15/15 time-series split, we compare QASA against classical ensembles, a transformer, and pure quantum baselines under Return, Sharpe, and Max Drawdown. The \textbf{QASA-Sequence} variant attains the \emph{best single-model risk-adjusted performance} (\textbf{13.99\%} return; \textbf{Sharpe 1.76}), while hybrid models average \textbf{11.2\%} return (vs.\ 9.8\% classical; 4.4\% pure quantum), indicating a favorable performance--stability--cost trade-off.

Open access
2 source records
Financial Markets and Investment Strategies
quant-ph
cs.LG
Original source
Sep 18, 2025·arXiv
0 cites
From Patterns to Predictions: A Shapelet-Based Framework for Directional Forecasting in Noisy Financial Markets

Juwon Kim, Hyunwook Lee, Hyotaek Jeon, Seungmin Jin · 5 authors

Directional forecasting in financial markets requires both accuracy and interpretability. Before the advent of deep learning, interpretable approaches based on human-defined patterns were prevalent, but their structural vagueness and scale ambiguity hindered generalization. In contrast, deep learning models can effectively capture complex dynamics, yet often offer limited transparency. To bridge this gap, we propose a two-stage framework that integrates unsupervised pattern extracion with interpretable forecasting. (i) SIMPC segments and clusters multivariate time series, extracting recurrent patterns that are invariant to amplitude scaling and temporal distortion, even under varying window sizes. (ii) JISC-Net is a shapelet-based classifier that uses the initial part of extracted patterns as input and forecasts subsequent partial sequences for short-term directional movement. Experiments on Bitcoin and three S&P 500 equities demonstrate that our method ranks first or second in 11 out of 12 metric--dataset combinations, consistently outperforming baselines. Unlike conventional deep learning models that output buy-or-sell signals without interpretable justification, our approach enables transparent decision-making by revealing the underlying pattern structures that drive predictive outcomes.

Open access
cs.LG
cs.AI
Original source
Sep 18, 2025·2nd International Conference on Electrical and Computer Engineering Researches (ICECER), 2025
0 cites
Blockchain-Enabled Explainable AI for Trusted Healthcare Systems

Md Talha Mohsin

This paper introduces a Blockchain-Integrated Explainable AI Framework (BXHF) for healthcare systems to tackle two essential challenges confronting health information networks: safe data exchange and comprehensible AI-driven clinical decision-making. Our architecture incorporates blockchain, ensuring patient records are immutable, auditable, and tamper-proof, alongside Explainable AI (XAI) methodologies that yield transparent and clinically relevant model predictions. By incorporating security assurances and interpretability requirements into a unified optimization pipeline, BXHF ensures both data-level trust (by verified and encrypted record sharing) and decision-level trust (with auditable and clinically aligned explanations). Its hybrid edge-cloud architecture allows for federated computation across different institutions, enabling collaborative analytics while protecting patient privacy. We demonstrate the framework's applicability through use cases such as cross-border clinical research networks, uncommon illness detection and high-risk intervention decision support. By ensuring transparency, auditability, and regulatory compliance, BXHF improves the credibility, uptake, and effectiveness of AI in healthcare, laying the groundwork for safer and more reliable clinical decision-making.

Open access
cs.CR
cs.AI
cs.LG
Original source
Sep 17, 2025·IEEE Internet of Things Journal
2 cites
Secure UAV-Assisted Federated Learning: A Digital Twin-Driven Approach With Zero-Knowledge Proofs

Md Bokhtiar Al Zami, Md Raihan Uddin, Dinh C. Nguyen

Federated learning (FL) has gained popularity as a privacy-preserving method of training machine learning models on decentralized networks. However to ensure reliable operation of UAV-assisted FL systems, issues like as excessive energy consumption, communication inefficiencies, and security vulnerabilities must be solved. This paper proposes an innovative framework that integrates Digital Twin (DT) technology and Zero-Knowledge Federated Learning (zkFed) to tackle these challenges. UAVs act as mobile base stations, allowing scattered devices to train FL models locally and upload model updates for aggregation. By incorporating DT technology, our approach enables real-time system monitoring and predictive maintenance, improving UAV network efficiency. Additionally, Zero-Knowledge Proofs (ZKPs) strengthen security by allowing model verification without exposing sensitive data. To optimize energy efficiency and resource management, we introduce a dynamic allocation strategy that adjusts UAV flight paths, transmission power, and processing rates based on network conditions. Using block coordinate descent and convex optimization techniques, our method significantly reduces system energy consumption by up to 29.6% compared to conventional FL approaches. Simulation results demonstrate improved learning performance, security, and scalability, positioning this framework as a promising solution for next-generation UAV-based intelligent networks.

Open access
3 source records
UAV Applications and Optimization
IoT and Edge/Fog Computing
Advanced Neural Network Applications
Original source
Sep 14, 2025·arXiv (Cornell University)
0 cites
Quantum and Classical Machine Learning in Decentralized Finance: Comparative Evidence from Multi-Asset Backtesting of Automated Market Makers

Chen, Chi-Sheng, Aidan Hung-Wen Tsai

This study presents a comprehensive empirical comparison between quantum machine learning (QML) and classical machine learning (CML) approaches in Automated Market Makers (AMM) and Decentralized Finance (DeFi) trading strategies through extensive backtesting on 10 models across multiple cryptocurrency assets. Our analysis encompasses classical ML models (Random Forest, Gradient Boosting, Logistic Regression), pure quantum models (VQE Classifier, QNN, QSVM), hybrid quantum-classical models (QASA Hybrid, QASA Sequence, QuantumRWKV), and transformer models. The results demonstrate that hybrid quantum models achieve superior overall performance with 11.2\% average return and 1.42 average Sharpe ratio, while classical ML models show 9.8\% average return and 1.47 average Sharpe ratio. The QASA Sequence hybrid model achieves the highest individual return of 13.99\% with the best Sharpe ratio of 1.76, demonstrating the potential of quantum-classical hybrid approaches in AMM and DeFi trading strategies.

Open access
2 source records
Stock Market Forecasting Methods
Quantum Computing Algorithms and Architecture
Blockchain Technology Applications and Security
Original source
Sep 12, 2025·arXiv
0 cites
Proof of AutoML: SDN based Secure Energy Trading with Blockchain in Disaster Case

Salih Toprak, Muge Erel-Ozcevik

In disaster scenarios where conventional energy infrastructure is compromised, secure and traceable energy trading between solar-powered households and mobile charging units becomes a necessity. To ensure the integrity of such transactions over a blockchain network, robust and unpredictable nonce generation is vital. This study proposes an SDN-enabled architecture where machine learning regressors are leveraged not for their accuracy, but for their potential to generate randomized values suitable as nonce candidates. Therefore, it is newly called Proof of AutoML. Here, SDN allows flexible control over data flows and energy routing policies even in fragmented or degraded networks, ensuring adaptive response during emergencies. Using a 9000-sample dataset, we evaluate five AutoML-selected regression models - Gradient Boosting, LightGBM, Random Forest, Extra Trees, and K-Nearest Neighbors - not by their prediction accuracy, but by their ability to produce diverse and non-deterministic outputs across shuffled data inputs. Randomness analysis reveals that Random Forest and Extra Trees regressors exhibit complete dependency on randomness, whereas Gradient Boosting, K-Nearest Neighbors and LightGBM show strong but slightly lower randomness scores (97.6%, 98.8% and 99.9%, respectively). These findings highlight that certain machine learning models, particularly tree-based ensembles, may serve as effective and lightweight nonce generators within blockchain-secured, SDN-based energy trading infrastructures resilient to disaster conditions.

Open access
cs.LG
cs.NI
Original source