Visionizing a Fiat Cryptocurrency

Bitcoin is part of a wider range of opportunities to creating cryptocurrencies based on blockchains. Research has shown that the existing cryptocurrencies are very volatile and often illiquid. A cryptocurrency endorsed by a Central Bank, as the starter of a private blockchain, will most likely show more stability. It may even take the form of legal tender. However, since almost all countries have their own currency already, the governments will not feel the need for an additional currency. One exception is Palestine. It enjoyed the privilege of having its own currency in the past. The purpose of this research is the evaluation of the feasibility of a cryptocurrency as legal tender. The authors recommend a new Palestinian Pound built on a private blockchain using Hyperledger. In practice it would not differ from any other fiat (legal) currency. The current weakness of not having its own currency could be turned into a strength by becoming the most advanced economy where transactions are transparent and efficient. This paper fills a research gap by analyzing the opportunities of a cryptocurrency that is actual legal tender and endorsed by a monetary authority

Selection of the Graphics Card to be used in Ethereum Mining with Linear BWM-TOPSIS

Blockchain technology is becoming more and more important and new usage areas are emerging every day. However, the most fundamental one of these usage areas is cryptocurrencies, which led to the emergence of blockchain technology. Cryptocurrency transfers are made possible with mining. Although there are many cryptocurrencies available today, a lot of them use Ethereum-based blockchain technology. The choice of the most optimal graphics card (GPU; Graphics Processing Unit) in cryptocurrency mining is very important for the efficiency and profitability of the mining operations to be performed. Since this decision problem depends on more than one criterion, it should be handled using Multiple-Criteria Decision-Making Methods (MCDM). Accordingly, the study focused on the mining of Ethereum-based cryptocurrencies and the selection of the optimal GPU to be used in mining with linear BWM-TOPSIS.  As a result of the study, a model is presented in which miners can choose the most efficient GPU for them and the optimal GPU as of January 2020 has been determined

Walk this Way! Incentive Structures of Different Token Designs for Blockchain-Based Applications

Cryptoeconomics is an emerging research area in the field of blockchain technology aiming at understanding token design mechanisms intended to incentivize certain behaviors. Whereas several blockchain ecosystems have been emerging in recent years, little is known about incentive design in blockchain protocols other than Bitcoin. To address this gap, we use agent-based modeling (ABM) to simulate the effects of different token designs on usage in the context of prediction markets. We find that network tokens (i.e., tokens providing services within a system) provide the largest incentive for individuals to join and become long-term active users. Moreover, we find that investment tokens (i.e., tokens used to passively invest in the issuing entity) provide the smallest incentive compared to network tokens and cryptocurrencies (i.e., means of payment in a blockchain ecosystem). We advance the literature by testing the boundary conditions of different token designs for blockchain-based ecosystems using a novel ABM approach

What diplomacy in the ancient Near East can tell us about blockchain technology

A blockchain is an institutional technology-a protocol-that allows for economic coordination between agents separated by boundaries of possible mistrust. Blockchains are not the only technology in history to have these characteristics. The paper looks at the role of the diplomatic protocol at the very beginning of human civilisation in the ancient near east. These two protocols-diplomatic and blockchain-have significant similarities. They were created to address to similar economic problems using similar mechanisms: a permanent record of past dealings, public and ritualistic verification of transactions, and game-theoretic mechanisms of reciprocity. The development of the diplomatic protocol allowed for the creation of the first international community and facilitated patterns of peaceful trade and exchange. Some questions about a generalised 'protocol economics' are drawn

Blockchain systems and ethical sourcing in the mineral and metal industry: a multiple case study

Purpose: The purpose of this paper is to examine blockchain's roles in promoting ethical sourcing in the mineral and metal industry. Design/methodology/approach: It analyzes multiple case studies of blockchain projects in the mineral and metal industry. Findings: It gives detailed descriptions of how blockchain-based supply chain networks' higher density of information flow and high degree of authenticity of information can increase supply chain participants' compliance with sustainability standards. It gives special consideration to blockchain systems' roles in overcoming the deficits in the second party and the third-party trust. It also demonstrates how blockchain-based supply chain networks include outside actors and configure the supply chain networks in a way that enhances the empowerment of marginalized groups. Practical implications: It suggests various mechanisms by which blockchain-based supply chain networks can give a voice to marginalized groups. Originality/value: It demonstrates how blockchain is likely to force mineral and metal supply chains to become more traceable and transparent

The Authority of Distributed Consensus Systems Trust, Governance, and Normative Perspectives on Blockchains and Distributed Ledgers

The subjects of this dissertation are distributed consensus systems (DCS). These systems gained prominence with the implementation of cryptocurrencies, such as Bitcoin. This work aims at understanding the drivers and motives behind the adoption of this class of technologies, and to – consequently – evaluate the social and normative implications of blockchains and distributed ledgers. To do so, a phenomenological account of the field of distributed consensus systems is offered, then the core claims for the adoption of systems are taken into consideration. Accordingly, the relevance of these technologies on trust and governance is examined. It will be argued that the effects on these two elements do not justify the adoption of distributed consensus systems satisfactorily. Against this backdrop, it will be held that blockchains and similar technologies are being adopted because they are regarded as having a valid claim to authority as specified by Max Weber, i.e., herrschaft. Consequently, it will be discussed whether current implementations fall – and to what extent – within the legitimate types of traditional, charismatic, and rational-legal authority. The conclusion is that the conceptualization developed by Weber does not capture the core ideas that appear to establish the belief in the legitimacy of distributed consensus systems. Therefore, this dissertation describes the herrschaft of systems such as blockchains by conceptualizing a computational extension of the pure type of rational-legal authority, qualified as algorithmic authority. The foundational elements of algorithmic authority are then discussed. Particular attention is focused on the idea of normativity cultivated in systems of algorithmic rules as well as the concept of decentralization. Practical suggestions conclude the following dissertation