SPIDE: sybil-proof, incentivized data exchange

Abstract

Decentralized, open-access blockchain systems opened up new, exciting possibilities—all without reliance on trusted third parties. Regardless of the employed consensus protocol, the overall security, decentralization and effectiveness of such systems, largely depend upon properly structured incentives. Indeed, as has been previously spotted by Babaiaff et al. Bitcoin-like systems, oftentimes lack some of these. Specifically, current blockchain-systems fail to incentivize one of their crucial aspects–the underlying data exchange. As we rationalize, proper incentivization of that layer could lead to lower transactions’ confirmation-times, improved finalization guarantees and at the same time to discouragement of malicious behaviours such as block-withholding attacks. Indeed, incentivization of the data-exchange layer allows the system to remain operational when all agents, including routing nodes, are assumed to be rational. In this work, while focusing on the problem of sybil-proof data exchange, we revisit previous approaches, showcasing their shortcomings and lay forward the first information exchange framework; with integrated routing and reward-function mechanics, provably secure in thwarting Sybil-nodes in 1-connected or eclipsed networks. The framework neither requires nor assumes any kind of constraints in regard to the network’s topology (i.e. the network is modelled as a random-connected graph) and rewards information propagators through a system-intrinsic virtual asset maintained by the decentralized state-machine. The proposal, while being storage and transmission efficient is suitable for rewarding not only consensus-related datagrams (both data-blocks and transactions) but consensus-extrinsic information as well, thus facilitating an universal sybil-proof data-exchange apparatus, provably valid under the assumption of existence of a data store whose property of non-malleability emerges as time approaches infinity. Our research was conducted under two scenarios—with round leader known and unknown in advance of each transactional round.

Application of Graph Theory for Blockchain Technologies

“…Adding fake identities to subvert consensus is a known risk. Operating Sybil attacks on modeled transaction graphs measures the effectiveness of detection mechanisms [87]. Figure 19 presents a graph-based network modeling and simulation, we can analyze the resilience of blockchain consensus systems against illicit Sybil attacks and benchmark the effectiveness of Sybil detection mechanisms designed to secure network consensus.…”

UI dApps Meet Decentralized Operating Systems

“…Decentralized State Machine (DSM)-as defined in [1], with the most important property that the environment is open-access, and anyone could aspire to become a leader of each round/epoch of the machine.…”

“…Block rewards are shared between the leaders of consecutive rounds. A simplified consensus algorithm using the definitions, semantics, and protocols described in [1] follows:…”

“…Epoch 1 : -leader ellection Preconditions: Λ 1 willing to become a round leader prepares a key pair are rational, they need to be incentivized. In [1], the authors proposed the ve exchange protocol provably Sybil-proof in any kind of computer network (i. as a random graph) by employing the concept of a crypto-currency. We will b upon these conceptions.…”

“…Data Block is propagated using incentive-compatible data exchange protocol depicted in Section 6.6.1 of [1].…”