An empirical analysis of smart contracts: platforms, applications, and design patterns

Smart contracts are computer programs that can be consistently executed by a network of mutually distrusting nodes, without the arbitration of a trusted authority. Because of their resilience to tampering, smart contracts are appealing in many scenarios, especially in those which require transfers of money to respect certain agreed rules (like in financial services and in games). Over the last few years many platforms for smart contracts have been proposed, and some of them have been actually implemented and used. We study how the notion of smart contract is interpreted in some of these platforms. Focussing on the two most widespread ones, Bitcoin and Ethereum, we quantify the usage of smart contracts in relation to their application domain. We also analyse the most common programming patterns in Ethereum, where the source code of smart contracts is available.Comment: WTSC 201

A Logic of Blockchain Updates

Blockchains are distributed data structures that are used to achieve consensus in systems for cryptocurrencies (like Bitcoin) or smart contracts (like Ethereum). Although blockchains gained a lot of popularity recently, there is no logic-based model for blockchains available. We introduce BCL, a dynamic logic to reason about blockchain updates, and show that BCL is sound and complete with respect to a simple blockchain model

Decentralization in Bitcoin and Ethereum Networks

Blockchain-based cryptocurrencies have demonstrated how to securely implement traditionally centralized systems, such as currencies, in a decentralized fashion. However, there have been few measurement studies on the level of decentralization they achieve in practice. We present a measurement study on various decentralization metrics of two of the leading cryptocurrencies with the largest market capitalization and user base, Bitcoin and Ethereum. We investigate the extent of decentralization by measuring the network resources of nodes and the interconnection among them, the protocol requirements affecting the operation of nodes, and the robustness of the two systems against attacks. In particular, we adapted existing internet measurement techniques and used the Falcon Relay Network as a novel measurement tool to obtain our data. We discovered that neither Bitcoin nor Ethereum has strictly better properties than the other. We also provide concrete suggestions for improving both systems.Comment: Financial Cryptography and Data Security 201

On the conditions for the existence of Perfect Learning and power law in learning from stochastic examples by Ising perceptrons

In a previous letter, we studied learning from stochastic examples by perceptrons with Ising weights in the framework of statistical mechanics. Under the one-step replica symmetry breaking ansatz, the behaviours of learning curves were classified according to some local property of the rules by which examples were drawn. Further, the conditions for the existence of the Perfect Learning together with other behaviors of the learning curves were given. In this paper, we give the detailed derivation about these results and further argument about the Perfect Learning together with extensive numerical calculations.Comment: 28 pages, 43 figures. Submitted to J. Phys.

Non-Ergodic Dynamics of the 2D Random-phase Sine-Gordon Model: Applications to Vortex-Glass Arrays and Disordered-Substrate Surfaces

The dynamics of the random-phase sine-Gordon model, which describes 2D vortex-glass arrays and crystalline surfaces on disordered substrates, is investigated using the self-consistent Hartree approximation. The fluctuation-dissipation theorem is violated below the critical temperature T_c for large time t>t* where t* diverges in the thermodynamic limit. While above T_c the averaged autocorrelation function diverges as Tln(t), for T<T_c it approaches a finite value q* proportional to 1/(T_c-T) as q(t) = q* - c(t/t*)^{-\nu} (for t --> t*) where \nu is a temperature-dependent exponent. On larger time scales t > t* the dynamics becomes non-ergodic. The static correlations behave as Tln{x} for T>T_c and for T<T_c when x < \xi* with \xi* proportional to exp{A/(T_c-T)}. For scales x > \xi*, they behave as (T/m)ln{x} where m is approximately T/T_c near T_c, in general agreement with the variational replica-symmetry breaking approach and with recent simulations of the disordered-substrate surface. For strong- coupling the transition becomes first-order.Comment: 12 pages in LaTeX, Figures available upon request, NSF-ITP 94-10

Large times off-equilibrium dynamics of a particle in a random potential

We study the off-equilibrium dynamics of a particle in a general $N$-dimensional random potential when $N \to \infty$. We demonstrate the existence of two asymptotic time regimes: {\it i.} stationary dynamics, {\it ii.} slow aging dynamics with violation of equilibrium theorems. We derive the equations obeyed by the slowly varying part of the two-times correlation and response functions and obtain an analytical solution of these equations. For short-range correlated potentials we find that: {\it i.} the scaling function is non analytic at similar times and this behaviour crosses over to ultrametricity when the correlations become long range, {\it ii.} aging dynamics persists in the limit of zero confining mass with universal features for widely separated times. We compare with the numerical solution to the dynamical equations and generalize the dynamical equations to finite $N$ by extending the variational method to the dynamics.Comment: 70 pages, 7 figures included, uuencoded Z-compressed .tar fil

On the Unfairness of Blockchain

The success of Bitcoin largely relies on the perception of a fair underlying peer-to-peer protocol: blockchain. Fairness here essentially means that the reward (in bitcoins) given to any participant that helps maintain the consistency of the protocol by mining, is proportional to the computational power devoted by that participant to the mining task. Without such perception of fairness, honest miners might be disincentivized to maintain the protocol, leaving the space for dishonest miners to reach a majority and jeopardize the consistency of the entire system. We prove, in this paper, that blockchain is actually unfair, even in a distributed system of only two honest miners. In a realistic setting where message delivery is not instantaneous, the ratio between the (expected) number of blocks committed by two miners is at least exponential in the product of the message delay and the difference between the two miners' hashrates. To obtain our result, we model the growth of blockchain, which may be of independent interest. We also apply our result to explain recent empirical observations and vulnerabilities

Competition between glassiness and order in a multi-spin glass

A mean-field multi-spin interaction spin glass model is analyzed in the presence of a ferromagnetic coupling. The static and dynamical phase diagrams contain four phases (paramagnet, spin glass, ordinary ferromagnet and glassy ferromagnet) and exhibit reentrant behavior. The glassy ferromagnet phase has anomalous dynamical properties. The results are consistent with a nonequilibrium thermodynamics that has been proposed for glasses.Comment: revised version, 4 pages Revtex, 2 eps-figures. Phys. Rev. E, Rapid Communication, to appea

Schwinger-Keldysh Approach to Disordered and Interacting Electron Systems: Derivation of Finkelstein's Renormalization Group Equations

We develop a dynamical approach based on the Schwinger-Keldysh formalism to derive a field-theoretic description of disordered and interacting electron systems. We calculate within this formalism the perturbative RG equations for interacting electrons expanded around a diffusive Fermi liquid fixed point, as obtained originally by Finkelstein using replicas. The major simplifying feature of this approach, as compared to Finkelstein's is that instead of $N \to 0$ replicas, we only need to consider N=2 species. We compare the dynamical Schwinger-Keldysh approach and the replica methods, and we present a simple and pedagogical RG procedure to obtain Finkelstein's RG equations.Comment: 22 pages, 14 figure

Directed Quantum Chaos

Quantum disordered problems with a direction (imaginary vector-potential) are discussed and mapped onto a supermatrix sigma-model. It is argued that the $0D$ version of the sigma-model may describe a broad class of phenomena that can be called directed quantum chaos. It is demonstrated by explicit calculations that these problems are equivalent to problems of theory of random asymmetric or non-Hermitian matrices. A joint probability of complex eigenvalues is obtained. The fraction of states with real eigenvalues proves to be always finite for time reversal invariant systems.Comment: 4 pages, revtex, no figure