0000000000710256

AUTHOR

Henri T. Heinonen

0000-0001-5961-3571

A Survey on Technologies Which Make Bitcoin Greener or More Justified

According to recent estimates, one bitcoin transaction consumes as much energy as 1.5 million Visa transactions. Why is bitcoin using so much energy? Most of the energy is used during the bitcoin mining process, which serves at least two significant purposes: a) distributing new cryptocurrency coins to the cryptoeconomy and b) securing the Bitcoin blockchain ledger. In reality, the comparison of bitcoin transactions to Visa transactions is not that simple. The amount of transactions in the Bitcoin network is not directly connected to the amount of bitcoin mining power nor the energy consumption of those mining devices; for example, it is possible to multiply the number of bitcoin transactio…

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On Creation of a Stablecoin Based on the Morini's Scheme of Inv&Sav Wallets and Antimoney

Decentralized Finance (DeFi) is a popular topic in the blockchain and cryptocurrency industry in the early 2020s. Still, cryptocurrencies have not yet become Decentralized Payment Systems (DPS) because of the high volatility of bitcoin and many of the altcoins. We investigated a proposed method to form a non-collateralized stablecoin called the Morini's Scheme of Inv&Sav wallets. We figured out two equations for the rebasement for the Inv wallet balances and then compared the results. We found the second rebasement method to be fairer to the agents, but we found the issue of negative balances with both methods. We proposed novel solutions to overcome these issues. One of the proposed soluti…

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Collective Behavior of Price Changes of ERC-20 Tokens

We analyze a network constructed from tokens developed on Ethereum platform. We collect a large data set of ERC-20 token prices; the total market capitalization of the token set is 50.2 billion (109) US dollars. The token set includes 541 tokens; each one of them has a market capitalization of 1 million US dollars or more. We construct and analyze the networks based on cross-correlation of tokens’ returns. We find that the degree distributions of the resulting graphs do not follow the power law degree distribution. We cannot find any hierarchical structures nor groupings of ERC-20 tokens in our analysis. peerReviewed

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