A glance at blockchain technology and cryptocurrencies as an application

Year 2022, , 60 - 65, 30.06.2022

Turgut Hanoymak , Ömer Küsmüş

https://doi.org/10.51354/mjen.1034912

Abstract

Blockchain technology, which includes cryptocurrencies such as Bitcoin, Ethereum,…etc [1,2] which has been evaluated as an investment tool by many people all over the world in recent years, needs to be examined in details, both mathematically and conceptually [8,9]. In fact, it can be said that blockchain technology, which is characterized as an accounting system and database based on distributed ledgers in its most basic form, is extremely secure in terms of copying data or attacking. For this reason, we can say that technology has a more effective security mechanism than any central state-of-the-art authoritative system used today. However, as it is almost impossible to bring all of the security, speed and cost parameters to their full extend in a system at the same time, as in any cryptosystem, the security parameter from the distributed ledger structure in blockchain technology adversely affects the speed and cost parameters. In this article, we discuss the cryptographic working principles of cryptocurrencies, which is an application field of blockchain technology, together with blockchain technology and the features and structures of the blocks contained.

Keywords

Blokchain, Cryptocurrency, Bitcoin, Ethereum, Distributed Ledger, Decantralized

References

• [1]. S. Nakamoto, Bitcoin: A Peer-to-Peer Electronic Cash System. https://bitcoin.org/bitcoin.pdf , May-2009 (Accessed on 20.07.2018).
• [2]. Vitalik Buterin. Ethereum white paper, 2013. https://github.com/ethereum/wiki/wiki/White-Paper
• [3]. A. Polvora, Blockchain Now and Tomorrow, European Commission, Joint Research Centre, Brussels – Belgium, 2019.
• [4]. A. Çarkacıoğlu, Kripto-para Bitcoin. Research Report, Capital Markets Board of Turkey, Research Department, December-2016.
• [5]. A. M. Antonopoulos, Mastering Bitcoin. 1st Edition, O’Reilly Media, Inc., December-2014.
• [6]. Prypto, Bitcoin for Dummies, A Wiley Brand. John Wiley & Sons, Inc., ISBN-13: 978-1119076131, 2016.
• [7]. E. Rykwalder, The Math Behind Bitcoin. https://www.coindesk.com/math-behind-bitcoin/ October-2014 (Accessed on 20.07.2018).
• [8]. T. Sert, Sorularla Blockchain, Türkiye Bilişim Vakfı, 2019.
• [9]. Arvind Narayanan, Joseph Bonneau, Edward Felten, Andrew Miller, and Steven Goldfeder. Bitcoin and cryptocurrency technologies: A comprehensive introduction. 2016.
• [10]. J. Bonneau, A. Miller, J. Clark, A. Narayanan, J. A. Kroll, and E. W. Felten. Sok: Research perspectives and challenges for bitcoin and cryptocurrencies. In 2015 IEEE Symposium on Security and Privacy, pages 104{121, May 2015.
• [11]. Williams, Mark (2010). Uncontrolled Risk. McGraw-Hill Education. s. 213. ISBN 978-0-07-163829-6.
• [12]. Andreas M. Antonopoulos, 2014, “Mastering Bitcoin”, O’Reilly, 330 s.
• [13]. B. Preneel, Cryptographic Hash Functions, European Transactions on Telecommunications, 5, (1994), 431-448.
• [14]. C. Pomerance, Factoring, Cryptology and Computational Number Theory, vol. 42, Proceedings of Symposia in Applied Mathematics, 27–47, American Mathematical Society, 1990.
• [15]. R.L. Rivest, A. Shamir, And L.M. Adleman, A method for obtaining digital signatures and public-key cryptosystems”, Communications of the ACM, 21 (1978), 120–126.
• [16]. K.S. Mccurley, The discrete logarithm problem”, C. Pomerance, editor, Cryptology and Computational Number Theory, volume 42 of Proceedings of Symposia in Applied Mathematics, 49–74, American Mathematical Society, 1990.
• [17]. R.C. Merkle, "Protocols for public key cryptosystems," In Proc. 1980 Symposium on Security and Privacy, IEEE Computer Society, pages 122-133, April 1980.
• [18]. R.C. Merkle, A Certified Digital Signature, Advances in Cryptology - CRYPTO '89, 9th Annual International Cryptology Conference, Santa Barbara, California, USA, August 20-24, 1989, Proceedings.
• [19]. Dwork, Cynthia; Naor, Moni (1993). "Pricing via Processing, Or, Combatting Junk Mail, Advances in Cryptology". CRYPTO’92: Lecture Notes in Computer Science No. 740. Springer. ss. 139-147.
• [20]. S. King, S. Nadal, Ppcoin: Peer-to-Peer crypto-currency with Proof of Stake, 2012, https://archive.org/details/PPCoinPaper