Emin Gün Sirer

Amani Moin, Emin Gün Sirer, Kevin Sekniqi

Stablecoins promise to bridge fiat currencies with the world of cryptocurrencies. They provide a way for users to take advantage of the benefits of digital currencies, such as ability to transfer assets over the internet, provide assurance on minting schedules and scarcity, and enable new asset classes, while also partially mitigating their volatility risks. In this paper, we systematically discuss general design, decompose existing stablecoins into various component design elements, explore their strengths and drawbacks, and identify future directions.

Soumya Basu, David Easley, Maureen O'Hara et al.

Blockchain-based cryptocurrencies prioritize transactions based on their fees, creating a unique kind of fee market. Empirically, this market has failed to yield stable equilibria with predictable prices for desired levels of service. We argue that this is due to the absence of a dominant strategy equilibrium in the current fee mechanism. We propose an alternative fee setting mechanism that is inspired by generalized second price auctions. The design of such a mechanism is challenging because miners can use any criteria for including transactions and can manipulate the results of the auction after seeing the proposed fees. Nonetheless, we show that our proposed protocol is free from manipulation as the number of users increases. We further show that, for a large number of users and miners, the gain from manipulation is small for all parties. This results in users proposing fees that represent their true utility and lower variance of revenue for miners. Historical analysis shows that Bitcoin users could have saved $272,528,000 USD in transaction fees while miners could have reduced the variance of fee income by an average factor of 7.4 times.

Soumya Basu, Alin Tomescu, Ittai Abraham et al.

This paper introduces a new way to incorporate verifiable secret sharing (VSS) schemes into Byzantine Fault Tolerance (BFT) protocols. This technique extends the threshold guarantee of classical Byzantine Fault Tolerant algorithms to include privacy as well. This provides applications with a powerful primitive: a threshold trusted third party, which simplifies many difficult problems such as a fair exchange. In order to incorporate VSS into BFT, we introduced sAVSS, a framework that transforms any VSS scheme into an asynchronous VSS scheme with constant overhead. By incorporating Kate et al.'s scheme into our framework, we obtain an asynchronous VSS that has constant overhead on each replica -- the first of its kind. We show that a key-value store built using BFT replication and sAVSS supports writing secret-shared values with about a 30% - 50% throughput overhead with less than 35 millisecond request latencies.

Adem Efe Gencer, Soumya Basu, Ittay Eyal et al.

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.

Kai Mast, Lequn Chen, Emin Gün Sirer

Many applications require the immutable and consistent sharing of data across organizational boundaries. Because conventional datastores cannot provide this functionality, blockchains have been proposed as one possible solution. Yet public blockchains are energy inefficient, hard to scale and suffer from limited throughput and high latencies, while permissioned blockchains depend on specially designated nodes, potentially leak meta-information, and also suffer from scale and performance bottlenecks. This paper presents CreDB, a datastore that provides blockchain-like guarantees of integrity using trusted execution environments. CreDB employs four novel mechanisms to support a new class of applications. First, it creates a permanent record of every transaction, known as a witness, that clients can then use not only to audit the database but to prove to third parties that desired actions took place. Second, it associates with every object an inseparable and inviolable policy, which not only performs access control but enables the datastore to implement state machines whose behavior is amenable to analysis. Third, timeline inspection allows authorized parties to inspect and reason about the history of changes made to the data. Finally, CreDB provides a protected function evaluation mechanism that allows integrity-protected computation over private data. The paper describes these mechanisms, and the applications they collectively enable, in detail. We have fully implemented a prototype of CreDB on Intel SGX. Evaluation shows that CreDB can serve as a drop-in replacement for other NoSQL stores, such as MongoDB while providing stronger integrity guarantees.

Joshua Lind, Ittay Eyal, Peter Pietzuch et al.

Blockchain protocols are inherently limited in transaction throughput and latency. Recent efforts to address performance and scale blockchains have focused on off-chain payment channels. While such channels can achieve low latency and high throughput, deploying them securely on top of the Bitcoin blockchain has been difficult, partly because building a secure implementation requires changes to the underlying protocol and the ecosystem. We present Teechan, a full-duplex payment channel framework that exploits trusted execution environments. Teechan can be deployed securely on the existing Bitcoin blockchain without having to modify the protocol. It: (i) achieves a higher transaction throughput and lower transaction latency than prior solutions; (ii) enables unlimited full-duplex payments as long as the balance does not exceed the channel's credit; (iii) requires only a single message to be sent per payment in any direction; and (iv) places at most two transactions on the blockchain under any execution scenario. We have built and deployed the Teechan framework using Intel SGX on the Bitcoin network. Our experiments show that, not counting network latencies, Teechan can achieve 2,480 transactions per second on a single channel, with sub-millisecond latencies.

Adem Efe Gencer, Robbert van Renesse, Emin Gün Sirer

The rise of blockchain-based cryptocurrencies has led to an explosion of services using distributed ledgers as their underlying infrastructure. However, due to inherently single-service oriented blockchain protocols, such services can bloat the existing ledgers, fail to provide sufficient security, or completely forego the property of trustless auditability. Security concerns, trust restrictions, and scalability limits regarding the resource requirements of users hamper the sustainable development of loosely-coupled services on blockchains. This paper introduces Aspen, a sharded blockchain protocol designed to securely scale with increasing number of services. Aspen shares the same trust model as Bitcoin in a peer-to-peer network that is prone to extreme churn containing Byzantine participants. It enables introduction of new services without compromising the security, leveraging the trust assumptions, or flooding users with irrelevant messages.