Homework on UTXO vs Account Model

Ethereum 101
#3611
  1. The account model is Faster and more efficient transactions when its smaller
  2. ETH does not have change wallets. In Ethereum blockchain we can see exactly what amount was sent and to which address.
2 Likes
#3612
  1. More space for transaction to be stored on a block, improving confirmation speeds and block capacity.
  2. The UTXO model is better for privacy because its very visible to see someone’s balance from the account model
1 Like
#3613

  1. The account model doesn’t require much space as the UTXO model and the benefit to that is the transactions are smaller and simpler because when you send transactions it is different in an Account based blockchain like Ethereum where account address easily exchange coins there is no output or inputs.

  2. The account model is not as great as the UTXO model for privacy because because unlike Bitcoin UTXO transactions where no one really has coins and everything is multiple outputs and inputs and things are exact amounts of transactions are a lot harder to track, where as Ethereum is an Account based blockchain and the exchange of value between 2 parties is a simple update in account balance, and exact amounts and whereabouts of transactions are more direct and easy to traced down.

1 Like
#3614

  1. With the account model you can see your balance. And
    each transaction updates the account. The funds are moved
    from A to B. And too money from the account money is more
    fungible than bitcoin.

  2. With UTXOs you can send money to someone and
    send the change back to yourself. On the Ethereum
    blockchain there’s no way to send money back to
    yourself.

1 Like
#3615

  1. for the blockchain to run as smooth as possible and reduce the size of transactions in each block gives room for more of other code in each block = bigger network with more activity.

  2. money goes straight from adress to adress so its easier to trace sender/reciever and amount.

1 Like
#3616

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

-This is a benefit because it frees up block space, which can help reduce the time it takes for the next block being created.

How is the account model not as great as the UTXO model for privacy?
-It’s not as great in regards to privacy because the are no balances in a UTXO. When a transaction is made using the account model, you’re just removing one ETH from you’re balance and adding 1 ETH to the other party. Unlike the UTXO model you you can send funds to multiple people which most likely includes yourself.

1 Like
#3617
  1. Than you can fit more tx in each block.
  2. You can always se how much you sent to the account with each tx. In bitcoin and utxo model you can only see where you send the money but not how much to each and every key. Correct me if i am wrong?
1 Like
#3618

It means the amount of transactions that can fit into a block is greater therefore helping scalability.

In account model you can always see which user sent money and to where but with the UTXO model it’s hard to distinguish what parts of the transaction are going to recipients and what parts back to the sender

1 Like
#3619

  1. It’s a benefit that the account model doesn’t require as much space as the UTXO model because it allows for faster transactions and better fungibility.

  2. The account model is not as great as the UTXO model for privacy because using UTXO’s, it’s harder to link transactions. The account model is a more simple way to store a balance but easier to link transactions.

1 Like
#3620
  1. It required less space to be used meaning you can have more of it. Meaning you can have more users as well.
  2. You can not send funds to yourself, there is no anonymity as you can not trace a transaction that is sent to the same account.
1 Like
#3621
  1. Increased Transactions Space - More Speed and efficiency.
  2. UTXO can be tracked to origins while account model is fully fungible.
1 Like
#3622

It is beneficial because one block can store more transactions and increase storage efficiency.

Because it is visible how much and to whom it was sent.

1 Like
#3623

  1. The benefit of Ethereum account model is that it can include more transactions since the transactions are not made out of all inputs and outbuts but just the final balance which takes much less space in the blocks. This reduces the size of the blocks and process faster with increased efficiency/scalability including time for the confirmation of the transactions.

  2. Ethereum account model is not as great for privacy because you can se directly to whom you are sending and what amount the final balance as you can not have several outputs in the same time in the same transaction to different recipients only one input and one output. All coins are the same, you can not distinguish each coin which makes Ethereum more fungible.

1 Like
#3624

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?
The block size of the account model are smaller as they contain less data, they are simply an account record of the balance of the account without transaction records.

The UTXO model has all the transaction data in the blockchain, they do not have an account balance sheet but calculate the balance amount with the sum of UTXO to an address.

The benefit of the account model is that it is much quicker and can handle more thru-put of transactions on the network.

2. How is the account model not as great as the UTXO model for privacy?
In the account model they are single transactions that are added to a balance giving greater transparency of the transaction amounts, balances and addresses, in contrast to UTXO where transactions can be sent to multiple addresses with multiple recipients, each address amount being unknown within the total UTXO ‘withdrawal’ amount from the originating address.

1 Like
#3625

  1. The transaction size would be way smaller so that more transaction can be process in a given time.

  2. UTXO model enables people to send money to themselves therefore relatively easier to hide their identity and the amount of UTXO they are holding. While account model cannot, so who owns how much is easier to see.

1 Like
#3626

  1. It is a benefit because the challenge faced by bitcoin block size limits will not be faced on the Ethereum network. More transactions can be fitted into the blocks on the network and that can improve transaction speed.

  2. Because it is easy to know from just looking on the outside parties or accounts that were involved in a transaction on the network thus compromising privacy.

1 Like
#3627

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?

It is a benefit as it means there is more space in the block for more tx’s and smart contract code

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

The account model is not great for privacy as anyone can view the tx’s - it is exactly clear how much was sent to which address therefore traceability is easy - with the UTXO model, it has many inputs and outputs to each tx making the tracking process a lot more complex

Cheers :apple:

1 Like
#3628

1 Smaller blocksize = more efficient
2 It is easier to track txs since you can not make txs to yourself

1 Like
#3629
  1. Faster transactions with less computing power needed.
  2. You can see where each ETH came from since it’s a balance format. In UTXO it’s more difficult to decipher.
1 Like
#3630
  1. More space in the blocks for transactions & smart contracts.
  2. It’s harder to link transactions from UTXOs because you are sending BTC to someone else but you are also sending BTC back to you. You can’t do it with the account model because everything is visible from how much and to who it was sent to
1 Like