Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/176437 
Authors: 
Year of Publication: 
2016
Citation: 
[Journal:] Financial Innovation [ISSN:] 2199-4730 [Volume:] 2 [Issue:] 31 [Publisher:] Springer [Place:] Heidelberg [Year:] 2016 [Pages:] 1-8
Publisher: 
Springer, Heidelberg
Abstract: 
Background: Bitcoin system, when more than 51% computing power is controlled by a single node, the block chain can be distorted maliciously. This is called 51% attack which is a well-known potential risk that could destroy the Bitcoin system. Method: The paper proves that under the current proof-of-work mechanism, computing power eventually will be centralized at a single node if miners are rational enough. Result: The paper propose a new proof-of-work mechanism that improves decentralization and reduces the risk of 51% attack without increasing the risk of Sybil attack. Concusions: This new mechanism introduces a series of principles such as Career open to all talents, without distinction of birth, Distribution according to labor and All Men are created equal.
Subjects: 
Digital currency
Consensus mechanism
Bitcoin
proof-of-work
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article

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