Beyond Cryptocurrencies - A Taxonomy of Decentralized Consensus Systems

The advent of Bitcoin in 2009 has not only introduced Cryptocurrencies and lead to a new digitization movement in the financial, especially payments industry but also made way for a new breed of innovative technologies based on decentralized digital currencies. Generally, decentralized consensus systems could change the very nature of how companies, organizations and individuals are built and interact with each other. Decentralized consensus systems, decentralized applications and smart contracts provide the conceptual framework as well as the technological basis to establish predefined, incorruptible protocols and contracts to organize human behavior and interconnectedness. However, the technical protocols and implementations are quite complex and practitioners as well as interdisciplinary researchers not familiar with cryptography, network protocols or decentralized networks are struggling to find access to these concepts and grasp their potential. To fill this gap, we develop a comprehensive taxonomy of decentralized consensus systems in order to provide a tool for researchers and practitioners alike to facilitate classification and analysis of emerging technologies in the field of "Crypto 2.0", the next level of innovation beyond cryptocurrencies.

[1]  Pieter Wuille,et al.  Enabling Blockchain Innovations with Pegged Sidechains , 2014 .

[2]  Joshua A.T. Fairfield,et al.  Smart Contracts, Bitcoin Bots, and Consumer Protection , 2014 .

[3]  Reuben Grinberg Bitcoin: An Innovative Alternative Digital Currency , 2011 .

[4]  Andreas M. Antonopoulos,et al.  Mastering Bitcoin: Unlocking Digital Crypto-Currencies , 2014 .

[5]  Frank F. Land,et al.  A taxonomy of information systems applications: The benefits ladder , 1993, ECIS.

[6]  Danny Bradbury,et al.  The problem with Bitcoin , 2013 .

[7]  Utpal M. Dholakia,et al.  Open Source Software User Communities: A Study of Participation in Linux User Groups , 2006, Manag. Sci..

[8]  Ephraim R. McLean,et al.  Information Systems Success: The Quest for the Independent Variables , 2013, J. Manag. Inf. Syst..

[9]  Jin Xu,et al.  A Topological Analysis of the Open Souce Software Development Community , 2005, Proceedings of the 38th Annual Hawaii International Conference on System Sciences.

[10]  D. Helbing Systemic Risks in Society and Economics , 2010 .

[11]  Fergal Reid,et al.  An Analysis of Anonymity in the Bitcoin System , 2011, 2011 IEEE Third Int'l Conference on Privacy, Security, Risk and Trust and 2011 IEEE Third Int'l Conference on Social Computing.

[12]  Sunny King,et al.  PPCoin: Peer-to-Peer Crypto-Currency with Proof-of-Stake , 2012 .

[13]  Pedro Franco,et al.  Understanding Bitcoin: Cryptography, Engineering and Economics , 2014 .

[14]  James Manyika,et al.  The great transformer : The impact of the Internet on economic growth and prosperity , 2011 .

[15]  Alberto Sillitti,et al.  A multivariate classification of open source developers , 2013, Inf. Sci..

[16]  Jan Muntermann,et al.  A method for taxonomy development and its application in information systems , 2013, Eur. J. Inf. Syst..

[17]  Beth A. Bechky,et al.  The Emergence of Governance in an Open Source Community , 2007 .

[18]  Ephraim R. McLean,et al.  Information Systems Success: The Quest for the Dependent Variable , 1992, Inf. Syst. Res..

[19]  Ghassan O. Karame,et al.  Double-spending fast payments in bitcoin , 2012, CCS.

[20]  David Schwartz,et al.  The Ripple Protocol Consensus Algorithm , 2014 .

[21]  Elaine Shi,et al.  Bitter to Better - How to Make Bitcoin a Better Currency , 2012, Financial Cryptography.

[22]  Omar El Sawy,et al.  Absorptive Capacity Configurations in Supply Chains: Gearing for Partner-Enabled Market Knowledge Creation , 2005, MIS Q..

[23]  Felix Brezo,et al.  Issues and Risks Associated with Cryptocurrencies such as Bitcoin , 2012 .

[24]  Jan Marco Leimeister,et al.  An Empirical Taxonomy of Crowdfunding Intermediaries , 2014, ICIS.

[25]  P. Rich The Organizational Taxonomy: Definition and Design , 1992 .

[26]  Brian Fitzgerald,et al.  Understanding open source software development , 2002 .

[27]  Alicja Mikołajewicz-Woźniak,et al.  Virtual currency schemes – the future of financial services , 2015 .

[28]  Fergal Reid,et al.  An Analysis of Anonymity in the Bitcoin System , 2011, PASSAT 2011.

[29]  Emin Gün Sirer,et al.  Majority Is Not Enough: Bitcoin Mining Is Vulnerable , 2013, Financial Cryptography.

[30]  Shirley Gregor,et al.  The Nature of Theory in Information Systems , 2006, MIS Q..

[31]  Flavio D. Garcia,et al.  Off-line Karma: A Decentralized Currency for Static Peer-to-peer and Grid Networks , 2005 .