The Experts below are selected from a list of 360 Experts worldwide ranked by ideXlab platform
Kenji Saito - One of the best experts on this subject based on the ideXlab platform.
-
how to make a Digital Currency on a blockchain stable
Future Generation Computer Systems, 2019Co-Authors: Kenji Saito, Mitsuru IwamuraAbstract:Abstract Bitcoin and other similar Digital currencies on blockchains are not ideal means for payment, because their prices tend to go up in the long term (thus people are incentivized to hoard those currencies), and to fluctuate widely in the short term (thus people would want to avoid risks of losing values). The reason why those blockchain currencies based on proof of work are unstable may be found in their designs that the supplies of currencies do not respond to their positive and negative demand shocks, as the authors have formulated in our past work. Continuing from our past work, this paper proposes minimal changes to the design of blockchain currencies so that their market prices are automatically stabilized, absorbing both positive and negative demand shocks of the currencies by autonomously controlling their supplies. Those changes are: 1) limiting re-adjustment of proof-of-work targets, 2) making mining rewards variable according to the observed over-threshold changes of block intervals, and 3) enforcing negative interests to remove old coins in circulation. We have made basic design checks and evaluations of these measures through simple simulations. In addition to stabilization of prices, the proposed measures may have effects of making those currencies preferred means for payment by disincentivizing hoarding, and improving sustainability of the Currency systems by making rewards to miners perpetual.
-
Digital Currency design for sustainable active debris removal in space
IEEE Transactions on Computational Social Systems, 2019Co-Authors: Kenji Saito, Shinji Hatta, Toshiya HanadaAbstract:Orbital debris (OD) remains as an obstacle to further space development. While efforts are ongoing to avoid newly launched objects becoming debris, the number of debris would still continue to grow because of collisions. Active debris removal (ADR) is an effective measure, but building a sustainable economic model for ADR remains as a difficult problem. We propose that the cost of removal can be paid by circulating Digital Currency tokens on a blockchain platform whose values may decrease and/or increase over time, issued by global cooperation (a consortium) of parties interested in space development, in exchange with proofs of ADR. The tokens pay their cost by themselves through contributions by the token holders, who are likely to be benefited by removal of debris. This scheme imposes virtually no cost to the consortium. We have generalized this concept as proof of disposal, which, we believe, provides a more accountable foundation for solving social problems with Digital Currency than many Initial Coin or Cryptoasset Offering in practice today. We evaluated the feasibility of our proposal through a simulation. We conclude that dynamic estimation of the economic values of each ADR and automated pricing of tokens that represent the OD being removed are indeed possible. Actual prototyping of the proposed Digital Currency system is ongoing.
-
Digital Currency design for sustainable active debris removal in space
arXiv: Computers and Society, 2017Co-Authors: Kenji Saito, Shinji Hatta, Toshiya HanadaAbstract:Orbital debris remains as an obstacle to further space development. While efforts are ongoing to avoid newly launched objects becoming debris, the number of debris would still continue to grow because of collisions. ADR (Active Debris Removal) is an effective measure, but building a sustainable economic model for ADR remains as a difficult problem. We propose that the cost of removal can be paid by circulating Digital Currency tokens on a blockchain platform whose values may decrease and/or increase over time, issued by global cooperation (a consortium) of parties interested in space development, in exchange with proofs of ADR. The tokens pay their cost by themselves through contributions by the token holders, who are likely to be benefited by removal of debris. This scheme imposes virtually no cost to the consortium. We have generalized this concept as POD (Proof of Disposal), which, we believe, provides a more accountable foundation for solving social problems with Digital Currency than many ICO (Initial Coin or Cryptoasset Offering) in practice today. We evaluated the feasibility of our proposal through a simulation. We conclude that dynamic estimation of the economic values of each ADR and automated pricing of tokens that represent the orbital debris being removed are indeed possible. Actual prototyping of the proposed Digital Currency system is ongoing.
Paolo Tasca - One of the best experts on this subject based on the ideXlab platform.
-
a Digital Currency architecture for privacy and owner custodianship
Future Internet, 2021Co-Authors: Geoffrey Goodell, Hazem Danny Alnakib, Paolo TascaAbstract:In recent years, electronic retail payment mechanisms, especially e-commerce and card payments at the point of sale, have increasingly replaced cash in many developed countries. As a result, societies are losing a critical public retail payment option, and retail consumers are losing important rights associated with using cash. To address this concern, we propose an approach to Digital Currency that would allow people without banking relationships to transact electronically and privately, including both e-commerce purchases and point-of-sale purchases that are required to be cashless. Our proposal introduces a government-backed, privately-operated Digital Currency infrastructure to ensure that every transaction is registered by a bank or money services business, and it relies upon non-custodial wallets backed by privacy-enhancing technology, such as blind signatures or zero-knowledge proofs, to ensure that transaction counterparties are not revealed. Our approach to Digital Currency can also facilitate more efficient and transparent clearing, settlement, and management of systemic risk. We argue that our system can restore and preserve the salient features of cash, including privacy, owner-custodianship, fungibility, and accessibility, while also preserving fractional reserve banking and the existing two-tiered banking system. We also show that it is possible to introduce regulation of Digital Currency transactions involving non-custodial wallets that unconditionally protect the privacy of end-users.
-
a Digital Currency architecture for privacy and owner custodianship
Social Science Research Network, 2021Co-Authors: Geoffrey Goodell, Hazem Danny Alnakib, Paolo TascaAbstract:In recent years, electronic retail payment mechanisms, especially e-commerce and card payments at the point of sale, have increasingly replaced cash in many developed countries. As a result, societies are losing a critical public retail payment option, and retail consumers are losing important rights associated with using cash. To address this concern, we propose an approach to Digital Currency that would allow people without banking relationships to transact electronically and privately, including both internet purchases and point-of-sale purchases that are required to be cashless. Our proposal introduces a government-backed, privately-operated Digital Currency infrastructure to ensure that every transaction is registered by a bank or money services business, and it relies upon non-custodial wallets backed by privacy-enhancing technology such as blind signatures or zero-knowledge proofs to ensure that transaction counterparties are not revealed. Our approach to Digital Currency can also facilitate more efficient and transparent clearing, settlement, and management of systemic risk. We argue that our system can restore and preserve the salient features of cash, including privacy, owner custodianship, fungibility, and accessibility, while also preserving fractional reserve banking and the existing two-tiered banking system. We also show that it is possible to introduce regulation of Digital Currency transactions involving non-custodial wallets that unconditionally protect the privacy of end-users.
-
Digital Currency and economic crises helping states respond
Research Papers in Economics, 2020Co-Authors: Geoffrey Goodell, Hazem Danny Alnakib, Paolo TascaAbstract:The current crisis, at the time of writing, has had a profound impact on the financial world, introducing the need for creative approaches to revitalising the economy at the micro level as well as the macro level. In this informal analysis and design proposal, we describe how infrastructure for Digital assets can serve as a useful monetary and fiscal policy tool and an enabler of existing tools in the future, particularly during crises, while aligning the trajectory of financial technology innovation toward a brighter future. We propose an approach to Digital Currency that would allow people without banking relationships to transact electronically and privately, including both internet purchases and point-of-sale purchases that are required to be cashless. We also propose an approach to Digital Currency that would allow for more efficient and transparent clearing and settlement, implementation of monetary and fiscal policy, and management of systemic risk. The Digital Currency could be implemented as central bank Digital Currency (CBDC), or it could be issued by the government and collateralised by public funds or Treasury assets. Our proposed architecture allows both manifestations and would be operated by banks and other money services businesses, operating within a framework overseen by government regulators. We argue that now is the time for action to undertake development of such a system, not only because of the current crisis but also in anticipation of future crises resulting from geopolitical risks, the continued globalisation of the Digital economy, and the changing value and risks that technology brings.
Mitsuru Iwamura - One of the best experts on this subject based on the ideXlab platform.
-
how to make a Digital Currency on a blockchain stable
Future Generation Computer Systems, 2019Co-Authors: Kenji Saito, Mitsuru IwamuraAbstract:Abstract Bitcoin and other similar Digital currencies on blockchains are not ideal means for payment, because their prices tend to go up in the long term (thus people are incentivized to hoard those currencies), and to fluctuate widely in the short term (thus people would want to avoid risks of losing values). The reason why those blockchain currencies based on proof of work are unstable may be found in their designs that the supplies of currencies do not respond to their positive and negative demand shocks, as the authors have formulated in our past work. Continuing from our past work, this paper proposes minimal changes to the design of blockchain currencies so that their market prices are automatically stabilized, absorbing both positive and negative demand shocks of the currencies by autonomously controlling their supplies. Those changes are: 1) limiting re-adjustment of proof-of-work targets, 2) making mining rewards variable according to the observed over-threshold changes of block intervals, and 3) enforcing negative interests to remove old coins in circulation. We have made basic design checks and evaluations of these measures through simple simulations. In addition to stabilization of prices, the proposed measures may have effects of making those currencies preferred means for payment by disincentivizing hoarding, and improving sustainability of the Currency systems by making rewards to miners perpetual.
Nikolei M Kaplanov - One of the best experts on this subject based on the ideXlab platform.
-
nerdy money bitcoin the private Digital Currency and the case against its regulation
Loyola Consumer Law Review, 2012Co-Authors: Nikolei M KaplanovAbstract:In 1601, Elizabeth I and her government devalued the Irish coin from nine ounces fine to three ounces fine of silver in order to finance the high cost of the Nine Years War in Ireland. 1 This unilateral move by the English government, combined with the failure to remove the old sterling from circulation, caused catastrophic problems throughout Ireland. 2 In addition to rapid inflation in common foodstuffs, the people in Ireland would only accept the new coin at its reduced intrinsic value rather than face value. 3 Further, merchants refused to accept the devalued coin in commercial transactions leading to a shortage of vital goods from England. 4
-
nerdy money bitcoin the private Digital Currency and the case against its regulation
Social Science Research Network, 2012Co-Authors: Nikolei M KaplanovAbstract:This Comment explores the lawfulness of using bitcoin, a privately-issued Currency transacted on a peer-to-peer network, and the ability of the federal government to bar transactions between two willing parties. While there are no cases yet challenging the ability of parties in the United States to make transactions using bitcoins, there are policymakers who have denounced the use of bitcoin. This has led to the question of whether the federal government has the ability under current federal law to prohibit the use of bitcoins between willing parties. This Comment will show that the federal government has no basis to stop bitcoin users who engage in traditional consumer purchases and transfers. This Comment further argues that the federal government should refrain from passing any laws or regulations limiting the use of bitcoins. Should any claim arise, this Comment argues that there is a perfectly acceptable model with which to analogize bitcoin use: community currencies.
Andrew Miller - One of the best experts on this subject based on the ideXlab platform.
-
design choices for central bank Digital Currency policy and technical considerations
Social Science Research Network, 2020Co-Authors: Sarah Allen, Srdjan Capkun, Ittay Eyal, Giulia Fanti, Bryan Ford, James Grimmelmann, Ari Juels, Kari Kostiainen, Sarah Meiklejohn, Andrew MillerAbstract:Central banks around the world are exploring and in some cases even piloting Central Bank Digital Currencies (CBDCs). CBDCs promise to realize a broad range of new capabilities, including direct government disbursements to citizens, frictionless consumer payment and money-transfer systems, and a range of new financial instruments and monetary policy levers. CBDCs also give rise, however, to a host of challenging technical goals and design questions that are qualitatively and quantitatively different from those in existing government and consumer payment systems. A well-functioning CBDC will require an extremely resilient, secure, and performant new infrastructure, with the ability to onboard, authenticate, and support users on massive scale. It will necessitate an architecture simple enough to support modular design and rigorous security analysis, but flexible enough to accommodate current and future functional requirements and use cases. A CBDC will also in some way need to address an innate tension between privacy and transparency, protecting user data from abuse while selectively permitting data mining for end-user services, policymakers, and law enforcement investigations and interventions.In this paper, we enumerate the fundamental technical design challenges facing CBDC designers, with a particular focus on performance, privacy, and security. Through a survey of relevant academic and industry research and deployed systems, we discuss the state of the art in technologies that can address the challenges involved in successful CBDC deployment. We also present a vision of the rich range of functionalities and use cases that a well-designed CBDC platform could ultimately offer users. Institutional subscribers to the NBER working paper series, and residents of developing countries may download this paper without additional charge at www.nber.org.
-
design choices for central bank Digital Currency policy and technical considerations
Research Papers in Economics, 2020Co-Authors: Sarah Allen, Srdjan Capkun, Ittay Eyal, Giulia Fanti, Bryan Ford, James Grimmelmann, Ari Juels, Kari Kostiainen, Sarah Meiklejohn, Andrew MillerAbstract:Central banks around the world are exploring and in some cases even piloting Central Bank Digital Currencies (CBDCs). CBDCs promise to realize a broad range of new capabilities, including direct government disbursements to citizens, frictionless consumer payment and money-transfer systems, and a range of new financial instruments and monetary policy levers. CBDCs also give rise, however, to a host of challenging technical goals and design questions that are qualitatively and quantitatively different from those in existing government and consumer payment systems. A well-functioning CBDC will require an extremely resilient, secure, and performant new infrastructure, with the ability to onboard, authenticate, and support users on a massive scale. It will necessitate an architecture simple enough to support modular design and rigorous security analysis, but flexible enough to accommodate current and future functional requirements and use cases. A CBDC will also in some way need to address an innate tension between privacy and transparency, protecting user data from abuse while selectively permitting data mining for end-user services, policymakers, and law enforcement investigations and interventions. In this paper, we enumerate the fundamental technical design challenges facing CBDC designers, with a particular focus on performance, privacy, and security. Through a survey of relevant academic and industry research and deployed systems, we discuss the state of the art in technologies that can address the challenges involved in successful CBDC deployment. We also present a vision of the rich range of functionalities and use cases that a well-designed CBDC platform could ultimately offer users.
-
bitcoin and cryptoCurrency technologies a comprehensive introduction
2016Co-Authors: Arvind Narayanan, Joseph Bonneau, Edward W Felten, Andrew Miller, Steven GoldfederAbstract:Bitcoin and CryptoCurrency Technologies provides a comprehensive introduction to the revolutionary yet often misunderstood new technologies of Digital Currency. Whether you are a student, software developer, tech entrepreneur, or researcher in computer science, this authoritative and self-contained book tells you everything you need to know about the new global money for the Internet age. How do Bitcoin and its block chain actually work? How secure are your bitcoins? How anonymous are their users? Can cryptocurrencies be regulated? These are some of the many questions this book answers. It begins by tracing the history and development of Bitcoin and cryptocurrencies, and then gives the conceptual and practical foundations you need to engineer secure software that interacts with the Bitcoin network as well as to integrate ideas from Bitcoin into your own projects. Topics include decentralization, mining, the politics of Bitcoin, altcoins and the cryptoCurrency ecosystem, the future of Bitcoin, and more. An essential introduction to the new technologies of Digital Currency Covers the history and mechanics of Bitcoin and the block chain, security, decentralization, anonymity, politics and regulation, altcoins, and much more Features an accompanying website that includes instructional videos for each chapter, homework problems, programming assignments, and lecture slides Also suitable for use with the authors' Coursera online course Electronic solutions manual (available only to professors)
