Complex Network Analysis of the Bitcoin Transaction Network

Bishenghui Tao; Hong Ning Dai; Jiajing Wu; Ivan Wang Hei Ho; Zibin Zheng; Chak Fong Cheang

doi:10.1109/TCSII.2021.3127952

Complex Network Analysis of the Bitcoin Transaction Network

Bishenghui Tao, Hong Ning Dai, Jiajing Wu, Ivan Wang Hei Ho, Zibin Zheng, Chak Fong Cheang

The Hong Kong Polytechnic University

Research output: Journal article publication › Journal article › Academic research › peer-review

25 Citations (Scopus)

Abstract

In this brief, we conduct a complex-network analysis of the Bitcoin transaction network. In particular, we design a new sampling method, namely random walk with flying-back (RWFB), to conduct effective data sampling. We then conduct a comprehensive analysis of the Bitcoin network in terms of the degree distribution, clustering coefficient, the shortest-path length, connected component, centrality, assortativity, and the rich-club coefficient. We obtain several important observations including the small-world phenomenon, multi-center status, preferential attachment, and non-rich-club effect of the current network. This work brings up an in-depth understanding of the current Bitcoin blockchain network and offers implications for future directions in malicious activity and fraud detection in cryptocurrency blockchain networks.

Original language	English
Pages (from-to)	1009-1013
Number of pages	5
Journal	IEEE Transactions on Circuits and Systems II: Express Briefs
Volume	69
Issue number	3
DOIs	https://doi.org/10.1109/TCSII.2021.3127952
Publication status	Published - 1 Mar 2022

Keywords

Bitcoin
Blockchain
complex network
network analysis

ASJC Scopus subject areas

Electrical and Electronic Engineering

More information

10.1109/TCSII.2021.3127952

Cite this

@article{c6f667c448cb4f5cab1de4a4c6aa2681,

title = "Complex Network Analysis of the Bitcoin Transaction Network",

abstract = "In this brief, we conduct a complex-network analysis of the Bitcoin transaction network. In particular, we design a new sampling method, namely random walk with flying-back (RWFB), to conduct effective data sampling. We then conduct a comprehensive analysis of the Bitcoin network in terms of the degree distribution, clustering coefficient, the shortest-path length, connected component, centrality, assortativity, and the rich-club coefficient. We obtain several important observations including the small-world phenomenon, multi-center status, preferential attachment, and non-rich-club effect of the current network. This work brings up an in-depth understanding of the current Bitcoin blockchain network and offers implications for future directions in malicious activity and fraud detection in cryptocurrency blockchain networks.",

keywords = "Bitcoin, Blockchain, complex network, network analysis",

author = "Bishenghui Tao and Dai, {Hong Ning} and Jiajing Wu and Ho, {Ivan Wang Hei} and Zibin Zheng and Cheang, {Chak Fong}",

note = "Publisher Copyright: {\textcopyright} 2004-2012 IEEE.",

year = "2022",

month = mar,

day = "1",

doi = "10.1109/TCSII.2021.3127952",

language = "English",

volume = "69",

pages = "1009--1013",

journal = "IEEE Transactions on Circuits and Systems II: Express Briefs",

issn = "1549-7747",

publisher = "IEEE",

number = "3",

}

TY - JOUR

T1 - Complex Network Analysis of the Bitcoin Transaction Network

AU - Tao, Bishenghui

AU - Dai, Hong Ning

AU - Wu, Jiajing

AU - Ho, Ivan Wang Hei

AU - Zheng, Zibin

AU - Cheang, Chak Fong

PY - 2022/3/1

Y1 - 2022/3/1

N2 - In this brief, we conduct a complex-network analysis of the Bitcoin transaction network. In particular, we design a new sampling method, namely random walk with flying-back (RWFB), to conduct effective data sampling. We then conduct a comprehensive analysis of the Bitcoin network in terms of the degree distribution, clustering coefficient, the shortest-path length, connected component, centrality, assortativity, and the rich-club coefficient. We obtain several important observations including the small-world phenomenon, multi-center status, preferential attachment, and non-rich-club effect of the current network. This work brings up an in-depth understanding of the current Bitcoin blockchain network and offers implications for future directions in malicious activity and fraud detection in cryptocurrency blockchain networks.

AB - In this brief, we conduct a complex-network analysis of the Bitcoin transaction network. In particular, we design a new sampling method, namely random walk with flying-back (RWFB), to conduct effective data sampling. We then conduct a comprehensive analysis of the Bitcoin network in terms of the degree distribution, clustering coefficient, the shortest-path length, connected component, centrality, assortativity, and the rich-club coefficient. We obtain several important observations including the small-world phenomenon, multi-center status, preferential attachment, and non-rich-club effect of the current network. This work brings up an in-depth understanding of the current Bitcoin blockchain network and offers implications for future directions in malicious activity and fraud detection in cryptocurrency blockchain networks.

KW - Bitcoin

KW - Blockchain

KW - complex network

KW - network analysis

UR - http://www.scopus.com/inward/record.url?scp=85122507786&partnerID=8YFLogxK

U2 - 10.1109/TCSII.2021.3127952

DO - 10.1109/TCSII.2021.3127952

M3 - Journal article

AN - SCOPUS:85122507786

SN - 1549-7747

VL - 69

SP - 1009

EP - 1013

JO - IEEE Transactions on Circuits and Systems II: Express Briefs

JF - IEEE Transactions on Circuits and Systems II: Express Briefs

IS - 3

ER -

Complex Network Analysis of the Bitcoin Transaction Network

Abstract

Keywords

ASJC Scopus subject areas

More information

Other files and links

Fingerprint

Cite this