Homework on UTXO vs Account Model

Ethereum 101
#3936

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    It is a benefit because the block will be smaller therefore can contain more transactions and cope with more adoption of the network.

  2. How is the account model not as great as the UTXO model for privacy?
    Because all transactions are completely visible to everyone and is more fungible as Bitcoin (it is not possible to send crypto back to ourselves like in Bitcoin for example).

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#3937

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Transactions are more efficient and faster.

  2. How is the account model not as great as the UTXO model for privacy?
    Account model is not great has UTXO because you can only send transaction from one account to the other and multiple transactions can not be send through one transaction(UTXO can send multiple transactions in one transaction) which make it easy to know where and how transaction was made.

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#3938
  1. It gives more space on the block for more transactions to be added
  2. UTXO has outputs and inputs that will have more privacy. When using the account model you have transaction from one to the other and it will show who and how much, less privacy.
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#3939
  1. account model doesn’t store all input transaction, it just change the value (+ / -)
  2. everyone can see all transactions
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#3940
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?

Blockchain and it’s Nodes are easier to storage this way, smaller size of blocks. Also it’s easier to track balances this way.

  1. How is the account model not as great as the UTXO model for privacy?

UTXO model is harder to tell where wich transfer goes, as one transaction can have multiple transfers including inputs (sending to yourself). On Ethereum (account model) it’s different, you can’t send to yourself and outside at the same time(transaction)

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#3941

  • The account model doesn’t require much space as the UTXO model, why is that a benefit? More transaction can be put into a block which provides more efficiency

  • How is the account model not as great as the UTXO model for privacy?

Account model is more traceable, because with Bitcoin (utxo) you can send the coins to multiple wallets in one transaction which makes it more difficult to track while you can’t do that in the Account model (ETH)

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#3942

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Less data means less storage, more efficient blocks, lower gas prices.

  2. How is the account model not as great as the UTXO model for privacy?
    As only deductions are recorded, you can’t disguise a transaction as larger than it actually is by sending yourself a chunk of change back into your account.

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#3943

The account model doesn’t require much space as the UTXO model, why is that a benefit?
=> You save space on Nodes as they have to hold all the transactions that have ever happened.

How is the account model not as great as the UTXO model for privacy?
=> Well, in fact the Account model is better for privacy as coins are fungible once they get into an account. In Bitcoin, UTXOs can be traced back all the way to the miners.

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#3944

  1. It allows for more transactions to fit into blocks leading to faster processing.

  2. Account model doesn’t let you see where each individual “coin” comes from, unlike BTC where you can trace each UTXO individually, giving you the ability to distinguish between different coins.,

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#3945

1. The account model doesn’t require much space as the UTXO model, why is that a benefit?

Less space is equal to more transactions in each block, faster to propagate etc.

2. How is the account model not as great as the UTXO model for privacy?

Because there is no notion of UTXO’s on the ethereum account model, there is less privacy.
This means that every Ethereum transaction is always 100% traceable from A to B.

Whereas with Bitcoin’s UTXO model, we can create multiple outputs some of which controled by ourselves making at harder to trace with 100% certainty.

For example if i send a BTC transaction of 1 BTC with 2, 0.5BTC outputs. An outside viewer will not be able to know which 0.5 is spend and which came back to me. Increasing privacy, while still transparant.

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#3946
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Less space needed means more space for transactions per block.
  2. How is the account model not as great as the UTXO model for privacy?
    UTXOs can be traced to every wallet they have ever been through. If that UTXO was involved in something nefarious it may be blacklisted by exchanges making it harder to sell.
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#3947
  1. It allows for more transactions to be submitted per block improving efficiency of the blockchain.
  2. It doesn’t allow for private transactions like the UTXO model does. The full transparency of transactions is unavoidable with the account model.
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#3948

Hi there, my answers are below:

1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
So that the Ethereum blockchain has more space to store bytecode of smart contracts

2. How is the account model not as great as the UTXO model for privacy?
Because with the account model, people can tell how much eth you receive or send to another account by tracking your account balance.
UTXO model lets you create outputs to new accounts which other people don’t really know how much btc you send to another recipient or how much change you get back. (except they have enough skills and tools to trace your activities back to the beginning)

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#3949

Homework - UTXO vs. account model

The account model doesn’t require much space as the UTXO model, why is that a benefit?

Because it will use less data to transfer, meaning less space in the transactions.

How is the account model not as great as the UTXO model for privacy?

Because in the account model transactions can be tracked a lot easier compared to the UTXO model. Sending 1 ethereum shows as that you sent 1 ethereum. While if you send a bitcoin you can track where you send it but also have to send the change back to yourself.

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#3950

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Since less space is required the benefit would be that each block may contain more transactions as well as greater smart contract code allowing for faster processing and efficiency.

  2. How is the account model not as great as the UTXO model for privacy?
    In Bitcoin moving your UTXOs to various addresses affords you greater anonymity, however Ethereums process is quite different since it shows a direct balance and exactly who the funds are being distributed to or received by, so privacy is lacking.

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#3951

  1. Reduced space-requirement means that transactions are smaller, which makes them cheaper (as the byte-size matters) as well as faster. Nodes are capable of processing them more quickly. = scalability. More transactions within one block.

  2. The UTXO - model allows you to have multiple transaction outputs - therefore one transaction can be used to transfer cryptocurrencies to one or more addresses, where one address can be associated with yourself. Whereas the account model stores exactly every balance of every account publicly.

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#3952

1/One block can store more transactions, increasing storage capacity and faster processing thus increasing the scalability of the blockchain
2/For the account model you are either sending money to someone else, or to another address you own. With the UTXO model, you can ‘mix’ transactions together, doing multiple transactions to both you and someone else. With Ethereum we can see exactly what amount was sent and to which address. It is less private than BTC, because with Bitcoin we can send funds to multiple addresses simultaneously making it difficult to tell the recipient.

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#3953

Homework on UTXO vs Account Model - Questions

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    More transactions can fit into a block for better scalability.

  2. How is the account model not as great as the UTXO model for privacy?
    It has one output vs UTXO having multiple outputs, which could include yourself. The account model is easier to track transactions.

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#3954

1.you can fit more transactions in a block, thus the adoptability and confirmation time improves.
2. Less anonymous, easily to track the wallets and the movement of eth between them. Can’t send the money back to yourself.

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#3955

The account model doesn’t require much space as the UTXO model, why is that a benefit?
Because it takes less place to code and write in a programming language. And the transaction doesn’t have input and output which makes it smaller.

How is the account model not as great as the UTXO model for privacy?
Because you can send a transaction to yourself in the account model.

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