Salvato in:
Dettagli Bibliografici
Autori principali: Benedetti, Marco, De Sclavis, Francesco, Favorito, Marco, Galano, Giuseppe, Giammusso, Sara, Muci, Antonio, Nardelli, Matteo
Natura: Preprint
Pubblicazione: 2024
Soggetti:
Accesso online:https://arxiv.org/abs/2401.11868
Tags: Aggiungi Tag
Nessun Tag, puoi essere il primo ad aggiungerne!!
_version_ 1866910748237627392
author Benedetti, Marco
De Sclavis, Francesco
Favorito, Marco
Galano, Giuseppe
Giammusso, Sara
Muci, Antonio
Nardelli, Matteo
author_facet Benedetti, Marco
De Sclavis, Francesco
Favorito, Marco
Galano, Giuseppe
Giammusso, Sara
Muci, Antonio
Nardelli, Matteo
contents We introduce a family of PCNs (Payment Channel Networks) characterized by a semi-hierarchical topology and a custom set of channel rebalancing strategies. This family exhibits two interesting benefits, if used as a platform for large-scale, instant, retail payment systems, such as CBDCs: Technically, the solution offers state-of-the-art guarantees of fault-tolerance and integrity, while providing a latency and throughput comparable to centralized systems; from a business perspective, the solution perfectly suits the 3-tier architecture of the current banking ecosystem (central banks / commercial banks / retail users), assigning a pivotal and peculiar role to the members of each tier. Furthermore, the cryptographic privacy of payments for retail users -- typical of PCNs such as the public Lightning Network -- is largely (possibly fully) retained. We study the system by simulating a scaled-down version of a hypothetical European CBDC, exploring the trade-offs among liquidity locked by market operators, payment success rate, throughput, latency, and load on the underpinning blockchain.
format Preprint
id arxiv_https___arxiv_org_abs_2401_11868
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle Self-Balancing Semi-Hierarchical PCNs for CBDCs
Benedetti, Marco
De Sclavis, Francesco
Favorito, Marco
Galano, Giuseppe
Giammusso, Sara
Muci, Antonio
Nardelli, Matteo
Distributed, Parallel, and Cluster Computing
We introduce a family of PCNs (Payment Channel Networks) characterized by a semi-hierarchical topology and a custom set of channel rebalancing strategies. This family exhibits two interesting benefits, if used as a platform for large-scale, instant, retail payment systems, such as CBDCs: Technically, the solution offers state-of-the-art guarantees of fault-tolerance and integrity, while providing a latency and throughput comparable to centralized systems; from a business perspective, the solution perfectly suits the 3-tier architecture of the current banking ecosystem (central banks / commercial banks / retail users), assigning a pivotal and peculiar role to the members of each tier. Furthermore, the cryptographic privacy of payments for retail users -- typical of PCNs such as the public Lightning Network -- is largely (possibly fully) retained. We study the system by simulating a scaled-down version of a hypothetical European CBDC, exploring the trade-offs among liquidity locked by market operators, payment success rate, throughput, latency, and load on the underpinning blockchain.
title Self-Balancing Semi-Hierarchical PCNs for CBDCs
topic Distributed, Parallel, and Cluster Computing
url https://arxiv.org/abs/2401.11868