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General State Channel Networks

Published: 15 October 2018 Publication History

Abstract

One of the fundamental challenges that hinder further adaption of decentralized cryptocurrencies is scalability. Because current cryptocurrencies require that all transactions are processed and stored on a distributed ledger -- the so-called blockchain -- transaction throughput is inherently limited. An important proposal to significantly improve scalability are off-chain protocols, where the massive amount of transactions is executed without requiring the costly interaction with the blockchain. Examples of off-chain protocols include payment channels and networks, which are currently deployed by popular cryptocurrencies such as Bitcoin and Ethereum. A further extension of payment networks envisioned for cryptocurrencies are so-called state channel networks. In contrast to payment networks that only support off-chain payments between users, state channel networks allow execution of arbitrary complex smart contracts. The main contribution of this work is to give the first full specification for general state channel networks. Moreover, we provide formal security definitions and prove the security of our construction against powerful adversaries. An additional benefit of our construction is the use of channel virtualization, which further reduces latency and costs in complex channel networks.

Supplementary Material

MP4 File (p949-hostakova.mp4)

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    cover image ACM Conferences
    CCS '18: Proceedings of the 2018 ACM SIGSAC Conference on Computer and Communications Security
    October 2018
    2359 pages
    ISBN:9781450356930
    DOI:10.1145/3243734
    Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than the author(s) must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected].

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    Published: 15 October 2018

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    Author Tags

    1. blockchain protocols
    2. provable secure protocols
    3. state channel networs
    4. virtualization

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    • (2025)Layer-2 ProtocolEncyclopedia of Cryptography, Security and Privacy10.1007/978-3-030-71522-9_1805(1403-1407)Online publication date: 8-Jan-2025
    • (2024)Bio-Rollup: a new privacy protection solution for biometrics based on two-layer scalability-focused blockchainPeerJ Computer Science10.7717/peerj-cs.226810(e2268)Online publication date: 9-Sep-2024
    • (2024)A Survey on Data Availability in Layer 2 Blockchain Rollups: Open Challenges and Future ImprovementsFuture Internet10.3390/fi1609031516:9(315)Online publication date: 29-Aug-2024
    • (2024)Securing Lightning Channels against Rational MinersProceedings of the 2024 on ACM SIGSAC Conference on Computer and Communications Security10.1145/3658644.3670373(393-407)Online publication date: 2-Dec-2024
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    • (2024)JITRA: Just-In-Time Resource Allocation Through the Distributed Ledgers for 5G and BeyondIEEE/ACM Transactions on Networking10.1109/TNET.2023.331823932:2(1201-1211)Online publication date: Apr-2024
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