Homework on UTXO vs Account Model

Ethereum 101
#2186
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?

Space savings in the block result in faster and cheaper transactions which aids in increasing the scalability of the Eth Network.

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

Bitcoin gathers the UTXO’s and executes a transaction that’s capable of sending multiple outputs, one of which could be yourself. In Eth, only balances are sent from one account to another. With only one traceable input and one output. It makes the transaction less private!

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#2187

  1. The Account Model doesn’t require much space as The UTXO Model, why is that a benefit?

    In the Account Model, not having UTXO’s are a benefit because the blocks are
    smaller, faster, store more transactions, and have better scalability.

  2. How is The Account Model not as great as The UTXO Model for PRIVACY?

    Privacy isn’t possible on Ethereum’s Account Model because we can track the address of who
    has been paid, which means you can’t send anything back to yourself. On Bitcoin, the UTXO’s
    can have multiple recipients. One of which can be you.

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#2188

1.- It is a benefit because it makes the network more efficient and faster because in one block more transactions fit

2.- The account model is not that private because every transaction can be assigned to another specific account. On the UTXO model I can send transactions to multiple accounts while one these can be mine but it is not that easy to track.

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#2189

1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
The transaction is going to be faster, and easier to develop.
2. How is the account model not as great as the UTXO model for privacy?
On an Account model it is possible to se that a TX is been made from A to B. Instead, with UTXO we dont know if the outputs of the transaction is to the same point, or give some change back to the origin point

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#2190

All Ethereum are all Ethereum they all are same, for example ETH=ETH

All BTC ≠ are not BTC because some bitcoins which are stolen or hacked or hijacked can be marked and it can be backlisted so if you receive such coin you will have trouble to sell it.

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

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

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Blocks can include more transactions, which is crucial for Ethereum which has hundreds of ERC20 tokens settling on the ETH blockchain.

It’s a benefit because it means there’s more space in the block for other transactions and smart contract code. The UTXO model limits the amount of code that can be fit within a block while also incorporating an efficient number of transactions. However, the account model Ethereum uses allows for more transactions to fit per block and lengthier smart contracts that might include many different states with different conditions.

  1. How is the account model not as great as the UTXO model for privacy?
    There are no change wallets in Ethereum. The impact is that, for Ethereum, the destination address(es) are the ones originally specified. Bitcoin, on the other hand, sends any unspent UTXOs to a “change” wallet, and it therefor is more difficult for someone to know which of the addresses sent to are new individuals vs the sender’s change wallet.

The account model is not as good for keeping transactions private because it’s simply a transfer from one account to another. Anyone can view the amounts and destinations for all transactions fairly easily. Someone would just need to learn who owns a particular address to trace all other transactions connected to that address back to them. Alternatively, the UTXO model can combine transactions so that one transaction sends funds to multiple parties at the same time. For example, you could send funds to your friend, your surprisingly tech-savvy grandma, your landlord (someday), and yourself all at the same time with the UTXO model. Someone viewing the transaction on the blockchain can see that 4 transactions were outputted, or spent, but it’s harder to determine if the recipients are different people, the same person with different addresses, yourself, or any combination of these.

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#2191
  1. The account model is more beneficial at taking up less space because more transactions will fit in each block.

2.It is not as great because each transaction can be tracked whereas the UTXO models can have many outputs and one account/output could be your own.

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#2192

The account model doesn’t require much space as the UTXO model, why is that a benefit? - It is a benefit because more transactions can be fit in a block; transaction fees are lower; the system is more scalable; and the system is generally more capable of supporting use cases that involve more complex processing in every transaction, such as smart contracts.
How is the account model not as great as the UTXO model for privacy? - The account model does not allow a payer in a transaction to transfer part of that transaction back to the payer. As a result it is more clear how much of the transaction is going to whom.

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#2193

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    It allows more space in the block for more transactions.

  2. How is the account model not as great as the UTXO model for privacy?
    In the account model, you are given a ballence, as opposed to a UTXO amount. This means that whenever yous end money, you will always send money to the recipient,and can send any amount back to yourself, making it very easy to track down who you have sent money to through the wallet address.

1 Like
#2194
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    It allows more capacity on the Etherium Blockchain
  2. How is the account model not as great as the UTXO model for privacy?
    You need to disclose information about the accounts which compromises on privacy
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#2195

Because the account model doesn’t have inputs and outputs which takes to use less space.

In the account model you can easily know where the money come from and where does it goes while in UTXO model it’s hard to identify where money goes because in one transaction you can send multiples outputs.

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#2196
  1. The account model stores a balance and by doing so miner are able to mint faster smaller blocks
  2. In the account model you can track each transaction of the owner of the wallet balance so it is a risk for privacy. In the UTXO model you can track the journey of each block but not the destination of all coins with UTXA you can send funds to other people but at the same time to yourself because you are not associated with a wallet balance. Bitcoin is a non-fungible coin, just like fiat paper money it has a unique “serial number”. Ethereum is a fungible coin, once is in your wallet you cannot track the source of provenience if you do not know the sender’s adress.
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#2197

Great answer, I really like it.

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#2198
  1. POW efforts are lessen for building of block chains, thus a lighter and faster network.
  2. Ethereum nodel makes for easy tracking, as it’s output resolves for the amount of your transaction to another. Where as with bitcoin it’s input may be traced but not it’s output, as that output could be back to yourself.
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#2199

  1. It reduces block size and saves space.

  2. Accounts are easier to track than UTXOs because they don’t allow multiple sent transactions.

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#2200

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

A lot less time for confirmation of transactions.

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

You cannot hide your transactions as you have one input and one output. Where as with UTXO’s you can have multiple outputs.

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#2201

1- More room for more transactions per block. Gunna need it when the flood of adoption happens. Lets goooo Eth 2.0!!!

2- because patterns for exchanges from one wallet to the next on Ethereums blockchain is easier to follow since there is a plain A to B transaction without the complexity of change wallets(addresses) between transactions like BTC.

DuuKA!!

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#2202

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

Without UTXOs, the transaction is smaller resulting in smaller fees

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

The account model is not as great as UTXOs because all transactions are easily tracked. The transaction amount and destination can easily be viewed.

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#2203

  1. no notion of utxo, just moves from a - b, this in turn doesnt require as much space, easier to do code, less input and outputs.

  2. u cannot track exactly where the ethereum is coming from, whereas bitcoin u can track where everything is coming from.

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#2204

Homework Assignment: UTXO vs Acct Model (Answers)

  1. Less space in your CPU.
  2. Because its Fungible , doesn’t share the same traceability.
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#2205

did i answer incorrectly or did i miss certain points? trying to answer everything here best of my abilities…