NF-Crowd: Nearly-free Blockchain-based Crowdsourcing

TL;DR

NF-Crowd introduces protocols that drastically reduce costs in blockchain-based crowdsourcing, achieving nearly free operations with guaranteed correctness and scalability on platforms like Ethereum.

Contribution

The paper presents NF-Crowd, a novel suite of protocols that reduces the lower bound of decentralized crowdsourcing costs to O(1), addressing scalability and cost issues in blockchain crowdsourcing.

Findings

Cost of crowdsourcing projects can be reduced to less than $2.

NF-Crowd protocols ensure project correctness if at least one participant is honest.

Protocols are implemented and tested on Ethereum's test network.

Abstract

Advancements in distributed ledger technologies are rapidly driving the rise of decentralized crowdsourcing systems on top of open smart contract platforms like Ethereum. While decentralized blockchain-based crowdsourcing provides numerous benefits compared to centralized solutions, current implementations of decentralized crowdsourcing suffer from fundamental scalability limitations by requiring all participants to pay a small transaction fee every time they interact with the blockchain. This increases the cost of using decentralized crowdsourcing solutions, resulting in a total payment that could be even higher than the price charged by centralized crowdsourcing platforms. This paper proposes a novel suite of protocols called NF-Crowd that resolves the scalability issue by reducing the lower bound of the total cost of a decentralized crowdsourcing project to O(1). NF-Crowd is a highly reliable solution for scaling decentralized crowdsourcing. We prove that as long as participants of a project powered by NF-Crowd are rational, the O(1) lower bound of cost could be reached regardless of the scale of the crowd. We also demonstrate that as long as at least one participant of a project powered by NF-Crowd is honest, the project cannot be aborted and the results are guaranteed to be correct. We design NF-Crowd protocols for a representative type of project named crowdsourcing contest with open community review (CC-OCR). We implement the protocols over the Ethereum official test network. Our results demonstrate that NF-Crowd protocols can reduce the cost of running a CC-OCR project to less than $2 regardless of the scale of the crowd, providing a significant cost benefit in adopting decentralized crowdsourcing solutions.