Multi-Layered Blockchain Governance Game

TL;DR

This paper introduces a multi-layered analytical model for blockchain governance to enhance security against attacks, especially 51% attacks, through optimal strategy determination and simulation validation.

Contribution

It presents an innovative multi-layered game-theoretic framework for blockchain security, with fully analyzed mathematical models and publicly available simulation code.

Findings

Mathematically tractable model for multi-layered blockchain security

Optimal parameters for security network configuration identified

Simulation results validate the theoretical framework

Abstract

The research designs a new integrated system for the security enhancement of a decentralized network by preventing damages from attackers, particularly for the 51 percent attack. The concept of multiple layered design based on Blockchain Governance Games frameworks could handle multiple number of networks analytically. The Multi-Layered Blockchain Governance Game is an innovative analytical model to find the best strategies for executing a safety operation to protect whole multiple layered network systems from attackers. This research fully analyzes a complex network with the compact mathematical forms and theoretically tractable results for predicting the moment of a safety operation execution are fully obtained. Additionally, simulation results are demonstrated to obtain the optimal values of configuring parameters of a blockchain-based security network. The Matlab codes for the simulations are publicly available to help those whom are constructing an enhanced decentralized security network architecture through this proposed integrated theoretical framework.