Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life
The public availability of the entire history of Bitcoin transactions opens up the unprecedented possibility of studying this system at the desired level of detail. Our contribution is intended to analyse the mesoscopic properties of the Bitcoin User Network (BUN) during the first half of its hi...
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| Format: | Article |
| Language: | English |
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University Library System, University of Pittsburgh
2025-01-01
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| Series: | Ledger |
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| Online Access: | http://ledger.pitt.edu/ojs/ledger/article/view/335 |
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| author | Nicolò Vallarano Tiziano Squartini Claudio J. Tessone |
| author_facet | Nicolò Vallarano Tiziano Squartini Claudio J. Tessone |
| author_sort | Nicolò Vallarano |
| collection | DOAJ |
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The public availability of the entire history of Bitcoin transactions opens up the unprecedented possibility of studying this system at the desired level of detail. Our contribution is intended to analyse the mesoscopic properties of the Bitcoin User Network (BUN) during the first half of its history, i.e., across the years 2011-2018. What emerges from our analysis is that the BUN is a core-periphery structure with a certain degree of “bow-tieness”, i.e., admitting the presence of a Strongly-Connected Component (SCC), an IN-component (together with some tendrils attached to it) and an OUT-component. Interestingly, the evolution of the BUN structural organisation experiences fluctuations that seem to be correlated with the presence of “bubbles”, i.e., periods of price surge and decline observed throughout its entire history. Our results, thus, further confirm the interplay between structural quantities and price movements reported by previous analyses.
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| format | Article |
| id | doaj-art-b741fc0026fa4795894d7efb094bc39a |
| institution | Kabale University |
| issn | 2379-5980 |
| language | English |
| publishDate | 2025-01-01 |
| publisher | University Library System, University of Pittsburgh |
| record_format | Article |
| series | Ledger |
| spelling | doaj-art-b741fc0026fa4795894d7efb094bc39a2025-01-21T15:39:03ZengUniversity Library System, University of PittsburghLedger2379-59802025-01-01910.5195/ledger.2024.335Exploring the Mesoscopic Structure of Bitcoin During its First Decade of LifeNicolò Vallarano0Tiziano Squartini1Claudio J. Tessone2Department of Informatics and UZH Blockchain Center, University of Zurich, SwitzerlandIMT School for Advanced Studies Lucca and INDAM - National Institute for Advanced Mathematics, Rome, ItalyDepartment of Informatics, and UZH Blockchain Center, University of Zurich, Switzerland The public availability of the entire history of Bitcoin transactions opens up the unprecedented possibility of studying this system at the desired level of detail. Our contribution is intended to analyse the mesoscopic properties of the Bitcoin User Network (BUN) during the first half of its history, i.e., across the years 2011-2018. What emerges from our analysis is that the BUN is a core-periphery structure with a certain degree of “bow-tieness”, i.e., admitting the presence of a Strongly-Connected Component (SCC), an IN-component (together with some tendrils attached to it) and an OUT-component. Interestingly, the evolution of the BUN structural organisation experiences fluctuations that seem to be correlated with the presence of “bubbles”, i.e., periods of price surge and decline observed throughout its entire history. Our results, thus, further confirm the interplay between structural quantities and price movements reported by previous analyses. http://ledger.pitt.edu/ojs/ledger/article/view/335networksbitcointransactionscomplex systems |
| spellingShingle | Nicolò Vallarano Tiziano Squartini Claudio J. Tessone Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life Ledger networks bitcoin transactions complex systems |
| title | Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life |
| title_full | Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life |
| title_fullStr | Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life |
| title_full_unstemmed | Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life |
| title_short | Exploring the Mesoscopic Structure of Bitcoin During its First Decade of Life |
| title_sort | exploring the mesoscopic structure of bitcoin during its first decade of life |
| topic | networks bitcoin transactions complex systems |
| url | http://ledger.pitt.edu/ojs/ledger/article/view/335 |
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