Exploring the Efficiency of Off-Chain vs. On-Chain Transactions in Blockchain Network
DOI:
https://doi.org/10.32628/CSEIT24102126Keywords:
Blockchain Technology, On-Chain, Off-Chain, Transactions, CryptocurrenciesAbstract
Blockchain technology, which offers decentralised, safe, and transparent systems, has completely changed the financial and digital transaction industries. Nevertheless, given the rising use of cryptocurrencies, there are still major issues with transaction speed and scalability. This study explores the workings of blockchain networks' off-chain and on-chain transaction processes, exploring the reasons for the frequent speed and accessibility advantages of off-chain transactions over on-chain ones. This research paper delves into the mechanisms of off-chain and on-chain transactions within blockchain networks, examining why off-chain transactions are often faster and more accessible compared to their on-chain counterparts. This paper sheds light on the efficiency gap between off-chain and on-chain transactions in cryptocurrency networks, through a comprehensive analysis of the underlying technology, scalability solutions, and practical applications.
Downloads
References
Decker, C., & Wattenhofer, R. (2015). A Fast and Scalable Payment Network with Bitcoin Duplex Micropayment Channels. Proceedings of the 2015 IEEE Symposium on Security and Privacy. DOI: https://doi.org/10.1007/978-3-319-21741-3_1
Todd, P. (2016). Segregated Witness Benefits. Bitcoin Core.
Pilkington, M. (2016). Blockchain Technology: Principles and Applications. Research Handbook on Digital Transformations. DOI: https://doi.org/10.4337/9781784717766.00019
Ren, J., & Shi, F. (2017). Blockbench: A Framework Analyzing Private Blockchains. Proceedings of the 2017 ACM International Conference on Management of Data.
Malinovskiy, Y., & Polshakov, D. (2019). On-Chain vs Off-Chain: The Battle of Scaling Solutions. IEEE Internet Computing.
Poon, J., & Dryja, T. (2016). The Bitcoin Lightning Network: Scalable Off-Chain Instant Payments. Proceedings of the 2nd ACM Conference on Advances in Financial Technologies.
Buterin, V. (2014). Ethereum: A Next-Generation Smart Contract and Decentralized Application Platform. Ethereum White Paper.
Back, A. (2014). Enabling Blockchain Innovations with Pegged Sidechains. Blockstream White Paper.
M. I. Bhat, B. Sharada, S. M. Obaidullah and M. Imran, "Towards Accurate Identification and Removal of Shirorekha from Off-line Handwritten Devanagari word Documents," 2020 17th International Conference on Frontiers in Handwriting Recognition (ICFHR), Dortmund, Germany, 2020, pp. 234-239, doi: 10.1109/ICFHR2020.2020.00051. DOI: https://doi.org/10.1109/ICFHR2020.2020.00051
Downloads
Published
Issue
Section
License
Copyright (c) 2024 International Journal of Scientific Research in Computer Science, Engineering and Information Technology
This work is licensed under a Creative Commons Attribution 4.0 International License.
How to Cite
