Strategic Computational Investment in Blockchain Mining

Speaker : Swapnil Dhamal
Date: 19/04/2023
Time: 3:00 pm - 4:00 pm
Location: Room 4B01


This presentation will be based on our work on strategic investment of computational power by miners in blockchain. In particular, we shall consider a setting where miners can arrive and depart over time, and hence analyze their investment strategies and the obtained payoffs in the equilibrium of the underlying stochastic game. We shall see that depending on the mining scenario, miners either follow a thresholding policy that is independent of the other miners, or a smooth policy that depends on the other miners. Thereafter, we will look at a Stackelberg game, where the system decides the amount of reward to offer for mining a block and the miners decide how much power to invest based on the offered reward.

Authors: Swapnil Dhamal (Telecom SudParis), Walid Ben-Ameur (Telecom SudParis), Tijani Chahed (Telecom SudParis), Eitan Altman (INRIA Sophia Antipolis), Albert Sunny (IIT Palakkad), and Sudheer Poojary (Qualcomm)