Diversification Across Mining Pools: Optimal Mining Strategies under PoW

Mining is a central operation of all proof-of-work (PoW) based cryptocurrencies. The vast majority of miners today participate in "mining pools" instead of "solo mining" in order to lower risk and achieve a more steady income. However, this rise of participation in mining pools negatively affects the decentralization levels of most cryptocurrencies. In this work, we look into mining pools from the point of view of a miner: We present an analytical model and implement a computational tool that allows miners to optimally distribute their computational power over multiple pools and PoW cryptocurrencies (i.e. build a mining portfolio), taking into account their risk aversion levels. Our tool allows miners to maximize their risk-adjusted earnings by diversifying across multiple mining pools which enhances PoW decentralization. Finally, we run an experiment in Bitcoin historical data and demonstrate that a miner diversifying over multiple pools, as instructed by our model/tool, receives a higher overall Sharpe ratio (i.e. average excess reward over its standard deviation/volatility).Comment: 13 pages, 16 figures. Presented at WEIS 201

A Taxonomy of Violations in Digital Asset Markets

Numerous frauds, market manipulations and other violations have recently shaken investor confidence in digital asset markets and digital assets themselves. Yet, investor confidence and market integrity are key requirements for the continued success of crypto and other digital assets. In order to facilitate the integrity of digital asset markets and avoid integrity incidents in the future, a systematic overview of violations and their main characteristics is needed to develop appropriate countermeasures. Therefore, we develop a taxonomy of violations in digital asset markets and evaluate the taxonomy based on real-world cases. Our results show that many types of market manipulation in traditional financial markets can also be observed in digital asset markets. However, there are new and additional violations in digital asset markets. We also find that many violations depend on specific capabilities of the violator, certain trading conditions, and asset-specific characteristics

FinBook: literary content as digital commodity

This short essay explains the significance of the FinBook intervention, and invites the reader to participate. We have associated each chapter within this book with a financial robot (FinBot), and created a market whereby book content will be traded with financial securities. As human labour increasingly consists of unstable and uncertain work practices and as algorithms replace people on the virtual trading floors of the worlds markets, we see members of society taking advantage of FinBots to invest and make extra funds. Bots of all kinds are making financial decisions for us, searching online on our behalf to help us invest, to consume products and services. Our contribution to this compilation is to turn the collection of chapters in this book into a dynamic investment portfolio, and thereby play out what might happen to the process of buying and consuming literature in the not-so-distant future. By attaching identities (through QR codes) to each chapter, we create a market in which the chapter can ‘perform’. Our FinBots will trade based on features extracted from the authors’ words in this book: the political, ethical and cultural values embedded in the work, and the extent to which the FinBots share authors’ concerns; and the performance of chapters amongst those human and non-human actors that make up the market, and readership. In short, the FinBook model turns our work and the work of our co-authors into an investment portfolio, mediated by the market and the attention of readers. By creating a digital economy specifically around the content of online texts, our chapter and the FinBook platform aims to challenge the reader to consider how their personal values align them with individual articles, and how these become contested as they perform different value judgements about the financial performance of each chapter and the book as a whole. At the same time, by introducing ‘autonomous’ trading bots, we also explore the different ‘network’ affordances that differ between paper based books that’s scarcity is developed through analogue form, and digital forms of books whose uniqueness is reached through encryption. We thereby speak to wider questions about the conditions of an aggressive market in which algorithms subject cultural and intellectual items – books – to economic parameters, and the increasing ubiquity of data bots as actors in our social, political, economic and cultural lives. We understand that our marketization of literature may be an uncomfortable juxtaposition against the conventionally-imagined way a book is created, enjoyed and shared: it is intended to be

the role of memory under the covid-19 outbreak

Alvarenga, M. Z., Oliveira, M. P. V. D., & Oliveira, T. A. G. F. D. (2023). The impact of using digital technologies on supply chain resilience and robustness: the role of memory under the covid-19 outbreak. Supply Chain Management. https://doi.org/10.1108/SCM-06-2022-0217 --- Funding Information: This study was financed in part by the Coordenação de Aperfeiçoamento de Pessoal de Nível Superior – Brasil (CAPES) Finance Code 001. This work was supported by national funds through FCT (Fundação para a Ciência e a Tecnologia) under the project – UIDB/04152/2020 – Centro de Investigação em Gestão de Informação (MagIC).Purpose: This paper’s main aim is to check the mediating effect of supply chain memory in the relationship between using digital technologies and both supply chain resilience and robustness. In addition, the impact of the COVID-19 disruption was tested as a moderator of the impact of supply chain memory on supply chain resilience and robustness. Design/methodology/approach: Altogether, 257 supply chain managers answered the questionnaire, and data were analysed through structural equation modelling. Findings: This paper contributes to theory and practice by demonstrating that the experience, familiarity and knowledge to deal with disruptions partially mediate the relationship between digital technologies, resilience and robustness. Moreover, our results show that memory is less efficient for the supply chain to maintain an acceptable level of performance in case of a new extreme disruptive event like COVID-19. The full model was able to explain 36.90% of supply chain memory, 41.58% of supply chain resilience and 46.21% of supply chain robustness. Originality/value: The study helps to understand how to develop supply chain memory, positioning digital technologies as an antecedent of it. The impact of supply chain memory on supply chain resilience and robustness is proved. Knowledge about the impact of industry 4.0 technologies on disruption management is quantitatively improved. It demonstrates that digital technologies impact resilience and robustness mainly through supply chain memory. The study proves that supply chain memory is less efficient for the chain remains effective when a non-routine disruptive event occurs, but it is still imperative to recover from it.authorsversionepub_ahead_of_prin