Summary
International Conference on Emerging Technologies for Communications
2020
Session Number:E1
Session:
Number:E1-5
Reward and Penalty Mechanism in Proof-of-Stake Consensus Algorithm for Blockchain
Takeaki MATSUNAGA, Yuanyu ZHANG, Masahiro SASABE, Shoji KASAHARA,
pp.-
Publication Date:2020/12/2
Online ISSN:2188-5079
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Summary:
The Proof of Stake (PoS) is a consensus algorithm for blockchain, in which the integrity of a new block is validated according to voting of nodes called validators. Since a new generated block is confirmed according to validators' voting, it is important to motivate validators to vote correctly. One of incentive mechanisms for validators is a reward-penalty based incentivization, in which validators who contribute to correct consensuses are rewarded, while those who make incorrect block confirmation are penalized. In this paper, we consider a reward-penalty mechanism based on the voting profile of a validator. We quantify the voting profile of a validator with exponentially weighted moving average of voting results, and the reward/penalty of a current voting is derived with the voting profile value. We evaluate the performance of the proposed mechanism by computer simulation, investigating the impact of system parameters on the estimation accuracy of the validator profile and the amount of validator's stake. Numerical results show that the proposed algorithm can estimate the voting profile of a validator accurately even when the voting profile dynamically changes. It is also shown that the proposed mechanism gives more reward to validators with high voting profile.