blockchain network
Sustainable broadcasting in Blockchain Networks with Reinforcement Learning
Valko, Danila, Kudenko, Daniel
Recent estimates put the carbon footprint of Bitcoin and Ethereum at an average of 64 and 26 million tonnes of CO2 per year, respectively. To address this growing problem, several possible approaches have been proposed in the literature: creating alternative blockchain consensus mechanisms, applying redundancy reduction techniques, utilizing renewable energy sources, and employing energy-efficient devices, etc. In this paper, we follow the second avenue and propose an efficient approach based on reinforcement learning that improves the block broadcasting scheme in blockchain networks. The analysis and experimental results confirmed that the proposed improvement of the block propagation scheme could cleverly handle network dynamics and achieve better results than the default approach. Additionally, our technical integration of the simulator and developed RL environment can be used as a complete solution for further study of new schemes and protocols that use RL or other ML techniques.
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- Information Technology > Security & Privacy (1.00)
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Prediction of Permissioned Blockchain Performance for Resource Scaling Configurations
Jung, Seungwoo, Yoo, Yeonho, Yang, Gyeongsik, Yoo, Chuck
Blockchain is increasingly offered as blockchain-as-a-service (BaaS) by cloud service providers. However, configuring BaaS appropriately for optimal performance and reliability resorts to try-and-error. A key challenge is that BaaS is often perceived as a ``black-box,'' leading to uncertainties in performance and resource provisioning. Previous studies attempted to address this challenge; however, the impacts of both vertical and horizontal scaling remain elusive. To this end, we present machine learning-based models to predict network reliability and throughput based on scaling configurations. In our evaluation, the models exhibit prediction errors of ~1.9%, which is highly accurate and can be applied in the real-world.
Blockchain Data Analysis in the Era of Large-Language Models
Toyoda, Kentaroh, Wang, Xiao, Li, Mingzhe, Gao, Bo, Wang, Yuan, Wei, Qingsong
Blockchain data analysis is essential for deriving insights, tracking transactions, identifying patterns, and ensuring the integrity and security of decentralized networks. It plays a key role in various areas, such as fraud detection, regulatory compliance, smart contract auditing, and decentralized finance (DeFi) risk management. However, existing blockchain data analysis tools face challenges, including data scarcity, the lack of generalizability, and the lack of reasoning capability. We believe large language models (LLMs) can mitigate these challenges; however, we have not seen papers discussing LLM integration in blockchain data analysis in a comprehensive and systematic way. This paper systematically explores potential techniques and design patterns in LLM-integrated blockchain data analysis. We also outline prospective research opportunities and challenges, emphasizing the need for further exploration in this promising field. This paper aims to benefit a diverse audience spanning academia, industry, and policy-making, offering valuable insights into the integration of LLMs in blockchain data analysis.
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- Law Enforcement & Public Safety > Fraud (0.90)
- Information Technology > e-Commerce > Financial Technology (1.00)
- Information Technology > Data Science (1.00)
- Information Technology > Artificial Intelligence > Natural Language > Large Language Model (1.00)
- Information Technology > Artificial Intelligence > Machine Learning > Neural Networks > Deep Learning (1.00)
Examining Attacks on Consensus and Incentive Systems in Proof-of-Work Blockchains: A Systematic Literature Review
Wijewardhana, Dinitha, Vidanagamachchi, Sugandima, Arachchilage, Nalin
Cryptocurrencies have gained popularity due to their transparency, security, and accessibility compared to traditional financial systems, with Bitcoin, introduced in 2009, leading the market. Bitcoin's security relies on blockchain technology - a decentralized ledger consisting of a consensus and an incentive mechanism. The consensus mechanism, Proof of Work (PoW), requires miners to solve difficult cryptographic puzzles to add new blocks, while the incentive mechanism rewards them with newly minted bitcoins. However, as Bitcoin's acceptance grows, it faces increasing threats from attacks targeting these mechanisms, such as selfish mining, double-spending, and block withholding. These attacks compromise security, efficiency, and reward distribution. Recent research shows that these attacks can be combined with each other or with either malicious strategies, such as network-layer attacks, or non-malicious strategies, like honest mining. These combinations lead to more sophisticated attacks, increasing the attacker's success rates and profitability. Therefore, understanding and evaluating these attacks is essential for developing effective countermeasures and ensuring long-term security. This paper begins by examining individual attacks executed in isolation and their profitability. It then explores how combining these attacks with each other or with other malicious and non-malicious strategies can enhance their overall effectiveness and profitability. The analysis further explores how the deployment of attacks such as selfish mining and block withholding by multiple competing mining pools against each other impacts their economic returns. Lastly, a set of design guidelines is provided, outlining areas future work should focus on to prevent or mitigate the identified threats.
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- Information Technology > Artificial Intelligence > Machine Learning > Learning Graphical Models > Undirected Networks > Markov Models (1.00)
- Information Technology > Artificial Intelligence > Machine Learning > Reinforcement Learning (0.93)
Balancing Security and Accuracy: A Novel Federated Learning Approach for Cyberattack Detection in Blockchain Networks
Khoa, Tran Viet, Alsheikh, Mohammad Abu, Alem, Yibeltal, Hoang, Dinh Thai
This paper presents a novel Collaborative Cyberattack Detection (CCD) system aimed at enhancing the security of blockchain-based data-sharing networks by addressing the complex challenges associated with noise addition in federated learning models. Leveraging the theoretical principles of differential privacy, our approach strategically integrates noise into trained sub-models before reconstructing the global model through transmission. We systematically explore the effects of various noise types, i.e., Gaussian, Laplace, and Moment Accountant, on key performance metrics, including attack detection accuracy, deep learning model convergence time, and the overall runtime of global model generation. Our findings reveal the intricate trade-offs between ensuring data privacy and maintaining system performance, offering valuable insights into optimizing these parameters for diverse CCD environments. Through extensive simulations, we provide actionable recommendations for achieving an optimal balance between data protection and system efficiency, contributing to the advancement of secure and reliable blockchain networks.
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- Information Technology > Artificial Intelligence > Machine Learning > Neural Networks > Deep Learning (1.00)
- Information Technology > Artificial Intelligence > Machine Learning > Performance Analysis > Accuracy (0.93)
Federated Learning with Blockchain-Enhanced Machine Unlearning: A Trustworthy Approach
Zuo, Xuhan, Wang, Minghao, Zhu, Tianqing, Zhang, Lefeng, Yu, Shui, Zhou, Wanlei
With the growing need to comply with privacy regulations and respond to user data deletion requests, integrating machine unlearning into IoT-based federated learning has become imperative. Traditional unlearning methods, however, often lack verifiable mechanisms, leading to challenges in establishing trust. This paper delves into the innovative integration of blockchain technology with federated learning to surmount these obstacles. Blockchain fortifies the unlearning process through its inherent qualities of immutability, transparency, and robust security. It facilitates verifiable certification, harmonizes security with privacy, and sustains system efficiency. We introduce a framework that melds blockchain with federated learning, thereby ensuring an immutable record of unlearning requests and actions. This strategy not only bolsters the trustworthiness and integrity of the federated learning model but also adeptly addresses efficiency and security challenges typical in IoT environments. Our key contributions encompass a certification mechanism for the unlearning process, the enhancement of data security and privacy, and the optimization of data management to ensure system responsiveness in IoT scenarios.
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Securing Health Data on the Blockchain: A Differential Privacy and Federated Learning Framework
Commey, Daniel, Hounsinou, Sena, Crosby, Garth V.
This study proposes a framework to enhance privacy in Blockchain-based Internet of Things (BIoT) systems used in the healthcare sector. The framework addresses the challenge of leveraging health data for analytics while protecting patient privacy. To achieve this, the study integrates Differential Privacy (DP) with Federated Learning (FL) to protect sensitive health data collected by IoT nodes. The proposed framework utilizes dynamic personalization and adaptive noise distribution strategies to balance privacy and data utility. Additionally, blockchain technology ensures secure and transparent aggregation and storage of model updates. Experimental results on the SVHN dataset demonstrate that the proposed framework achieves strong privacy guarantees against various attack scenarios while maintaining high accuracy in health analytics tasks. For 15 rounds of federated learning with an epsilon value of 8.0, the model obtains an accuracy of 64.50%. The blockchain integration, utilizing Ethereum, Ganache, Web3.py, and IPFS, exhibits an average transaction latency of around 6 seconds and consistent gas consumption across rounds, validating the practicality and feasibility of the proposed approach.
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Machine Learning for Blockchain Data Analysis: Progress and Opportunities
Azad, Poupak, Akcora, Cuneyt Gurcan, Khan, Arijit
Blockchain technology has rapidly emerged to mainstream attention, while its publicly accessible, heterogeneous, massive-volume, and temporal data are reminiscent of the complex dynamics encountered during the last decade of big data. Unlike any prior data source, blockchain datasets encompass multiple layers of interactions across real-world entities, e.g., human users, autonomous programs, and smart contracts. Furthermore, blockchain's integration with cryptocurrencies has introduced financial aspects of unprecedented scale and complexity such as decentralized finance, stablecoins, non-fungible tokens, and central bank digital currencies. These unique characteristics present both opportunities and challenges for machine learning on blockchain data. On one hand, we examine the state-of-the-art solutions, applications, and future directions associated with leveraging machine learning for blockchain data analysis critical for the improvement of blockchain technology such as e-crime detection and trends prediction. On the other hand, we shed light on the pivotal role of blockchain by providing vast datasets and tools that can catalyze the growth of the evolving machine learning ecosystem. This paper serves as a comprehensive resource for researchers, practitioners, and policymakers, offering a roadmap for navigating this dynamic and transformative field.
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Generative AI-enabled Blockchain Networks: Fundamentals, Applications, and Case Study
Nguyen, Cong T., Liu, Yinqiu, Du, Hongyang, Hoang, Dinh Thai, Niyato, Dusit, Nguyen, Diep N., Mao, Shiwen
Generative Artificial Intelligence (GAI) has recently emerged as a promising solution to address critical challenges of blockchain technology, including scalability, security, privacy, and interoperability. In this paper, we first introduce GAI techniques, outline their applications, and discuss existing solutions for integrating GAI into blockchains. Then, we discuss emerging solutions that demonstrate the effectiveness of GAI in addressing various challenges of blockchain, such as detecting unknown blockchain attacks and smart contract vulnerabilities, designing key secret sharing schemes, and enhancing privacy. Moreover, we present a case study to demonstrate that GAI, specifically the generative diffusion model, can be employed to optimize blockchain network performance metrics. Experimental results clearly show that, compared to a baseline traditional AI approach, the proposed generative diffusion model approach can converge faster, achieve higher rewards, and significantly improve the throughput and latency of the blockchain network. Additionally, we highlight future research directions for GAI in blockchain applications, including personalized GAI-enabled blockchains, GAI-blockchain synergy, and privacy and security considerations within blockchain ecosystems.
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Forecasting Cryptocurrency Staking Rewards
Gupta, Sauren, Katharaki, Apoorva Hathi, Xu, Yifan, Krishnamachari, Bhaskar, Gupta, Rajarshi
This research explores a relatively unexplored area of predicting cryptocurrency staking rewards, offering potential insights to researchers and investors. We investigate two predictive methodologies: a) a straightforward sliding-window average, and b) linear regression models predicated on historical data. The findings reveal that ETH staking rewards can be forecasted with an RMSE within 0.7% and 1.1% of the mean value for 1-day and 7-day look-aheads respectively, using a 7-day sliding-window average approach. Additionally, we discern diverse prediction accuracies across various cryptocurrencies, including SOL, XTZ, ATOM, and MATIC. Linear regression is identified as superior to the moving-window average for perdicting in the short term for XTZ and ATOM. The results underscore the generally stable and predictable nature of staking rewards for most assets, with MATIC presenting a noteworthy exception.