Blockchain Governance: An Overview and Prediction of Optimal Strategies using Nash Equilibrium

• URL: http://arxiv.org/abs/2003.09241v1
• Date: Fri, 20 Mar 2020 12:51:52 GMT
• Title: Blockchain Governance: An Overview and Prediction of Optimal Strategies using Nash Equilibrium
• Authors: Nida Khan, Tabrez Ahmad, Anass Patel and Radu State
• Abstract summary: In this paper, the position of blockchain governance within the hierarchy of Institutional governance is discussed. A payoff matrix for blockchain governance is created and simulation of different strategy profiles is accomplished for computation of all Nash equilibria. The paper also includes validation of the proposed formulae using real data.
• Score: 3.0892724364965005
• License: http://arxiv.org/licenses/nonexclusive-distrib/1.0/
• Abstract: Blockchain governance is a subject of ongoing research and an interdisciplinary view of blockchain governance is vital to aid in further research for establishing a formal governance framework for this nascent technology. In this paper, the position of blockchain governance within the hierarchy of Institutional governance is discussed. Blockchain governance is analyzed from the perspective of IT governance using Nash equilibrium to predict the outcome of different governance decisions. A payoff matrix for blockchain governance is created and simulation of different strategy profiles is accomplished for computation of all Nash equilibria. The paper elaborates upon payoff matrices for different kinds of blockchain governance, which are used in the proposition of novel mathematical formulae usable to predict the best governance strategy that minimizes the occurrence of a hard fork as well as predicts the behavior of the majority during protocol updates. The paper also includes validation of the proposed formulae using real Ethereum data.

Related papers

• Quantifying the Blockchain Trilemma: A Comparative Analysis of Algorand, Ethereum 2.0, and Beyond [4.605490094506685]
  This study evaluates and compares two leading proof-of-stake (PoS) systems, Algorand and 2.0. We analyze each platform's strategies in a structured manner to understand their effectiveness in addressing trilemma challenges.
  arXiv  Detail & Related papers  (2024-07-19T14:15:29Z)
• The Latency Price of Threshold Cryptosystem in Blockchains [52.359230560289745]
  We study the interplay between threshold cryptography and a class of blockchains that use Byzantine-fault tolerant (BFT) consensus protocols. Existing approaches for threshold cryptosystems introduce a latency overhead of at least one message delay for running the threshold cryptographic protocol. We propose a mechanism to eliminate this overhead for blockchain-native threshold cryptosystems with tight thresholds.
  arXiv  Detail & Related papers  (2024-07-16T20:53:04Z)
• Enhancing Trust and Privacy in Distributed Networks: A Comprehensive Survey on Blockchain-based Federated Learning [51.13534069758711]
  Decentralized approaches like blockchain offer a compelling solution by implementing a consensus mechanism among multiple entities. Federated Learning (FL) enables participants to collaboratively train models while safeguarding data privacy. This paper investigates the synergy between blockchain's security features and FL's privacy-preserving model training capabilities.
  arXiv  Detail & Related papers  (2024-03-28T07:08:26Z)
• Generative AI-enabled Blockchain Networks: Fundamentals, Applications, and Case Study [73.87110604150315]
  Generative Artificial Intelligence (GAI) has emerged as a promising solution to address challenges of blockchain technology. In this paper, we first introduce GAI techniques, outline their applications, and discuss existing solutions for integrating GAI into blockchains.
  arXiv  Detail & Related papers  (2024-01-28T10:46:17Z)
• Decoding Social Sentiment in DAO: A Comparative Analysis of Blockchain Governance Communities [1.9624273277521183]
  This paper delves deep into the evolving discourse and sentiment dynamics on the public forums of leading DeFi projects. We show participants in decentralized communities generally express positive sentiments during Discord discussions. There is a potential interaction between discussion intensity and sentiment dynamics; higher discussion volume may contribute to a more stable sentiment from code analysis.
  arXiv  Detail & Related papers  (2023-10-31T08:23:47Z)
• Cryptocurrency Portfolio Optimization by Neural Networks [81.20955733184398]
  This paper proposes an effective algorithm based on neural networks to take advantage of these investment products. A deep neural network, which outputs the allocation weight of each asset at a time interval, is trained to maximize the Sharpe ratio. A novel loss term is proposed to regulate the network's bias towards a specific asset, thus enforcing the network to learn an allocation strategy that is close to a minimum variance strategy.
  arXiv  Detail & Related papers  (2023-10-02T12:33:28Z)
• PTTS: Zero-Knowledge Proof-based Private Token Transfer System on Ethereum Blockchain and its Network Flow Based Balance Range Privacy Attack Analysis [0.0]
  We propose a Private Token Transfer System (PTTS) for the public blockchain. For the proposed framework, zero-knowledge based protocol has been designed using Zokrates and integrated into our private token smart contract. In the second part of the paper, we provide security and privacy analysis including the replay attack and the balance range privacy attack.
  arXiv  Detail & Related papers  (2023-08-29T09:13:31Z)
• The Design Principle of Blockchain: An Initiative for the SoK of SoKs [0.0]
  Decentralized AI can empower to be more trustworthy by creating a decentralized trust of privacy, security, and audibility. However, systematic studies on the design principle of AI as a trust engine for an integrated society of Cyber-Physical-System are still absent.
  arXiv  Detail & Related papers  (2023-01-01T21:57:25Z)
• SoK: Blockchain Governance [13.95507600720467]
  The topic of blockchain governance is a fertile domain for a thorough systematization. We start by distilling a comprehensive array of properties for sound governance systems. While all properties are satisfied, even partially, by at least one system, no system that most of them.
  arXiv  Detail & Related papers  (2022-01-18T18:38:26Z)
• Quantum-resistance in blockchain networks [46.63333997460008]
  This paper describes the work carried out by the Inter-American Development Bank, the IDB Lab, LACChain, Quantum Computing (CQC), and Tecnologico de Monterrey to identify and eliminate quantum threats in blockchain networks. The advent of quantum computing threatens internet protocols and blockchain networks because they utilize non-quantum resistant cryptographic algorithms.
  arXiv  Detail & Related papers  (2021-06-11T23:39:25Z)
• Regulation conform DLT-operable payment adapter based on trustless - justified trust combined generalized state channels [77.34726150561087]
  Economy of Things (EoT) will be based on software agents running on peer-to-peer trustless networks. We give an overview of current solutions that differ in their fundamental values and technological possibilities. We propose to combine the strengths of the crypto based, decentralized trustless elements with established and well regulated means of payment.
  arXiv  Detail & Related papers  (2020-07-03T10:45:55Z)

This list is automatically generated from the titles and abstracts of the papers in this site.

This site does not guarantee the quality of this site (including all information) and is not responsible for any consequences.