CheaPay: An Optimal Algorithm for Fee Minimization in Blockchain-Based Payment Channel Networks

Yuhui Zhang, Dejun Yang, Guoliang Xue

Research output: Chapter in Book/Report/Conference proceedingConference contribution

4 Scopus citations

Abstract

The past several years have witnessed an explosive growth in cryptocurrencies, but the blockchain-based cryptocurrencies have also raised many concerns, among which a crucial one is the scalability issue. Suffering from the large overhead of global consensus and security assurance, even the leading cryptocurrencies can only handle up to tens of transactions per second, which largely limits their applications in real-world scenarios. Among many proposals to improve the cryptocurrency scalability, one of the most promising and mature solutions is the payment channel network (PCN), which offers the off-chain settlement of transactions with minimal involvement of expensive blockchain operations. In this paper, we investigate the problem of payment routing in PCNs from an optimization perspective, which is to minimize the transaction fee of a payment path, subject to the timeliness and feasibility constraints. We present an optimal distributed algorithm CheaPay for this problem. Extensive simulations demonstrate that CheaPay significantly outperforms baseline algorithms in terms of the success ratio and the average accepted value.

Original languageEnglish (US)
Title of host publication2019 IEEE International Conference on Communications, ICC 2019 - Proceedings
PublisherInstitute of Electrical and Electronics Engineers Inc.
ISBN (Electronic)9781538680889
DOIs
StatePublished - May 1 2019
Event2019 IEEE International Conference on Communications, ICC 2019 - Shanghai, China
Duration: May 20 2019May 24 2019

Publication series

NameIEEE International Conference on Communications
Volume2019-May
ISSN (Print)1550-3607

Conference

Conference2019 IEEE International Conference on Communications, ICC 2019
CountryChina
CityShanghai
Period5/20/195/24/19

Keywords

  • blockchain
  • Cryptocurrency
  • payment channel network
  • routing

ASJC Scopus subject areas

  • Computer Networks and Communications
  • Electrical and Electronic Engineering

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