Optimal Publishing Strategies on a Base Layer

Autor:	Bar-On, Yogev, Mansour, Yishay
Rok vydání:	2023
Předmět:	Computer Science - Computer Science and Game Theory Computer Science - Computational Engineering Finance and Science
Druh dokumentu:	Working Paper
Popis:	A growing number of products use layer 2 solutions to expand the capabilities of primary blockchains like Ethereum, where computation is off-loaded from the root chain, and the results are published to it in bulk. Those include optimistic and zero-knowledge rollups, information oracles, and app-specific chains. This work presents an analysis of layer 2 blockchain strategies determining the optimal times for publishing transactions on the root chain. There is a trade-off between waiting for a better layer 1 gas price and the urgency to finalize layer 2 transactions. We present a model for the problem that captures this trade-off, generalizing previous works, and we analyze the properties of optimal publishing strategies. We show that such optimal strategies hold a computable simple form for a large class of cost functions. Comment: To be presented at Financial Cryptography and Data Security 2024 (FC 2024)
Databáze:	arXiv
Externí odkaz:	http://arxiv.org/abs/2312.06448 Zobrazit plný text záznamu View this record from Arxiv