- In permissionless blockchains (e.g. Ethereum), the success of the application layer increases the number and value of profit opportunities from frontrunning and arbitrage.
- Miners and validators are best situated to take advantage of profit opportunities because they control block production (time).
- How the growing value of applications on a blockchain like Ethereum will influence its long-term security is unclear.
This research piece is available to
members of The Block Genesis.
You can continue reading
this Genesis research on The Block.
How (successful) applications can be parasitic to blockchain security written by Mika Honkasalo @ https://www.theblockcrypto.com/genesis/77287/how-successful-applications-can-be-parasitic-to-blockchain-security?utm_source=rss&utm_medium=rss September 10, 2020 Mika Honkasalo