Fiche du document
2022
- handle: 10670/1.e2wxbv
Ce document est lié à :
info:eu-repo/semantics/altIdentifier/pissn/0030-364X
Ce document est lié à :
info:eu-repo/semantics/altIdentifier/eissn/1526-5463
Ce document est lié à :
info:eu-repo/semantics/altIdentifier/urn/urn:nbn:ch:serval-BIB_C21C7E337DF15
info:eu-repo/semantics/openAccess , Copying allowed only for non-profit organizations , https://serval.unil.ch/disclaimer
Sujets proches
Engineering, Mining Mines and mining Mining Deposits, Mineral Mineral deposits Mines and mining Mineral resources Mining Mining industry and finance Metal industries Extractive industries Extractive industry Mines and mining Mining industry MiningCiter ce document
H. Albrecher et al., « On the profitability of selfish blockchain mining under consideration of ruin », Serveur académique Lausannois, ID : 10670/1.e2wxbv
Métriques
Partage / Export
Résumé
Mining blocks on a blockchain equipped with a proof of work consensus protocol is well-known to be resource-consuming. A miner bears the operational cost, mainly electricity consumption and IT gear, of mining, and is compensated by a capital gain when a block is discovered. This paper aims at quantifying the profitability of mining when the possible event of ruin is also considered. This is done by formulating a tractable stochastic model and using tools from applied probability and analysis, including the explicit solution of a certain type of advanced functional differential equation. The expected profit at a future time point is determined for the situation when the miner follows the protocol as well as when he/she withholds blocks. The obtained explicit expressions allow us to analyze the sensitivity with respect to the different model components and to identify conditions under which selfish mining is a strategic advantage.