Saving proof-of-work by hierarchical block structure

arXiv:2404.14958v1 Announce Type: cross
Abstract: We argue that the current POW based consensus algorithm of the Bitcoin network suffers from a fundamental economic discrepancy between the real world transaction (txn) costs incurred by miners and the wealth that is being transacted. Put simply, whether one transacts 1 satoshi or 1 bitcoin, the same amount of electricity is needed when including this txn into a block. The notorious Bitcoin blockchain problems such as its high energy usage per txn or its …

algorithm arxiv bitcoin block cs.ce cs.cr cs.cy cs.na current economic math.na miners network pow proof real satoshi structure transaction wealth work world