Ransomware activity and blockchain congestion

• 成果类型: Article
• 署名作者: Sokolov, Konstantin
• 署名单位: University of Memphis
• 刊物名称: JOURNAL OF FINANCIAL ECONOMICS
• ISSN/ISSBN: 0304-405X
• DOI: 10.1016/j.jfineco.2021.04.015
• 发表日期: 2021
• 页码: 771-782
• 关键词: blockchain; congestion; Ransomware; Transaction fees

摘要

I examine blockchain congestion episodes caused by more than 4,400 triggers for ran-somware attacks over a two-year period. When demand for settlement exceeds blockchain capacity, blockchain users engage in fee competition to prioritize their transaction set-tlement. A typical surge in ransomware activity causes transaction fees to increase by 2.1% and up to 28% in extreme cases. Consistent with theory literature, some users forgo blockchain settlement when transaction fees increase. An event study around an extreme spike in ransomware activity supports the findings of the main analysis. (c) 2021 Elsevier B.V. All rights reserved.