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Assignment: Centralized Blockchains - Consider two designs for a centralized blockchain protocol maintained by N designated parties with signing keys K1...KN: a. Rotating signers. Block i must be signed by the j th key Kj where j = i mod N. Each signer has complete control of which valid transactions appear in a block that it signs. Invalid blocks are ignored and forked around, as with the Bitcoin blockchain. b. Designated block generator. Every block is first signed by a designated party called a block generator (using a special signing key K0). The block must then be further confirmed by at least M of the N signers (assume t > 1). Only properly signed blocks are posted on the blockchain.
For each of the following properties, briefly compare the two schemes (a) and (b). Where applicable, describe what must happen (and how many parties need to misbehave) to violate the property.
1. Liveness: what does it take for the system to become unable to post further blocks.
2. Consistency: ensuring that everyone agrees on the current state of the blockchain.
3. Censorship resistance: ensuring a transaction will eventually be included in the blockchain.
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