Homework on UTXO vs Account Model

Ethereum 101
#3831
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    More txs can fit the block.
  2. How is the account model not as great as the UTXO model for privacy?
    UTXOs can be spent to multiple account, in that way it’s harder to track it and knowing sender address.
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#3832
  1. So it can process blocks faster
  2. It can be easily traced unlike the Bitcoin network
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#3833

01 The account model doesn’t require much space as the UTXO model, why is that a benefit?
Several benefits; starting from the obvious 1Mb block size limit, going on to
efficiency (speed on network due to less data to transmit) making it much
faster to confirm transactions with Ethereum vs Bitcoin; which will
ultimately reflect in popularity.
02 How is the account model not as great as the UTXO model for privacy?
In bitcoin (blockchain 1.0), a transaction consists of multiple outputs.
With ethereum, each transaction is explicitly specified as transferring a
quantity from a ‘sending’ account to a ‘receiving’ account.

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#3834

Q1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
Requiring less space in the blockchain database frees up resources in the nodes thus lowering the system requirements for new nodes. This ensures more players can participate in the network making the system less prone to 51% attacks.
Q2. How is the account model not as great as the UTXO model for privacy?
UTXO partially obfuscates the genuine intended sender and receiver of a transaction because there are auxiliary transactions required to obtain the necessary “change”. This is just a partial obfuscation because one can still work out where the money came from and where it went but it is computationally harder.

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#3835

  1. Any savings of data size is a benefit for the speed and efficiency of a network

  2. Account model is a bit less private because in a UTXO transaction, I could send a tax out and have all of it return to myself and from the outside it will be impossible to see

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#3836
  1. It reduces the weight (bytes) taken up by transaction information as it simplifies that portion of the calculation. It´´s merely an subtract from account A and add to Account B calculation sharing exactly the same number with opposite signs - and +. In BTC however the possibililities and fractions of the token than could be employed were limitless and thus carried significantly more information than a mere - and + single transaction between two accounts.
  2. In an exchange between two different accounts, it is not possible as with UTXOs to send to oneself the remaining portion of the unspent part(s) of the transaction
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#3837

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

Every transaction in account model makes one output which leads to saving space, as the network full nodes are meant to be operated by individuals rather then data centers the lower the data requirements the more potential participants.

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

UTXO provides higher level of privacy as the users are encorage to use new adresses for each transaction that can be difficult to link accounts to each other. The account model implicity encourages address reusage which makes creating a transaction history for a single user easier.

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#3838
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Each node size grows slower, also all transactions are smaller in size due to less information that they old and with that fees are also smaller.
  2. How is the account model not as great as the UTXO model for privacy?
    Account model shows clearer picture of balance and the paths of transactions. It is easier to see from where to where did some amount of money travel and we can see clearly the balance of each account.
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#3839

1.The account model doesn’t require as much space as the UXTO model and this enables space saving within the blocks and makes for greater efficiency on the network.

2.The Account model isn’t as good for privacy as the UTXO model is because you can’t split up your transaction. For example you can’t send money to yourself and someone else in the same transaction. This makes Ethereum transactions easier to trace. You are sending one transaction to one address, there is no splitting it up. Only the numbers change in each a
account at the end of a Eth transaction.

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#3840
  1. reducing data is always a benefit in blockchain, it makes it lighter and faster
  2. on ETH account we actually have kind of an balance without multiple inputs and outputs (as are UTOXs on Bitcoin), so it is quite clear how much funds one sends / receives and to / from whom
#3841
  1. Saving space is always a benefit, it makes it faster and more efficient.
  2. It’s less secured than the utxo model. Secutity is a really important thing on the blockchain.
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#3842

  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    The account model only does plus and minus of balances on the users addresses so it doesn’t require much space. It makes the block size small and execution much faster. Also it increases the number of transaction per second manifold.

  2. How is the account model not as great as the UTXO model for privacy?
    In UTXO model we can track each and every bitcoin back to its first owner. we can track that the concerned bitcoin is not gathered from malicious activities. But in Ethereum we cannot track Ethereum source.

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#3843

1 - The account model doesn’t require as much space as the UTXO model, why is this a benefit? The amount of data processed is less, incurring a lower cost, both for the user and for the miner that will process the transactions;

2 - How is the account model not as good as the UTXO model for privacy? In the UTXO model, the identification of the destination address is difficult to determine and it is possible to send a transaction to itself.

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#3844

  1. It is a benefit since it makes transactions take less disk space.

  2. In the UTXO model, UTXOs are separately stored in unique adresses. So it helps with privacy with transactions. On the other hand, the account model simply transacts funds between 2 adresses, making it easier to follow.

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#3845

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

Because more space savings are more benefits. Blocks can store more transections. More sanctions can be done at the same time. This usually means lower fees.

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

Easier to track and visually see from where the transactions come from and to where. From A-B. The Ethereum account model is in many ways simpler than the Bitcoins UTXO (Unspent Transaction Output)

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#3846

  1. Because there is limited space on the blocks that compose the blockchain and nodes need the full copy of the blockchain to be such. The bigger the size of the blocks the less accessible for users to run a node will be and the network will be slower as CPUs run slower with bigger memory load. Also, fees per amount of data on transactions will be lower.

  2. In the account model one can see exactly what transactions were made from and to a single wallet this having a single address.
    The UTXO model permits certain level of privacy each wallet having the possibility to have different addresses and transactions having multiple outputs as a result of a single input, confusing the person who externally look at those transactions not knowing what outputs are received by what user.

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#3848

  1. Every block can store more ex’s, therefore you don’t have to wait as long for a confirmation of your tx.

  2. With the account model you can see how much you sent to who.
    With the UTXO model it’s impossible to know to who you send your btc to.

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#3849

The UTXO model is slower and takes up a lot more space on the nodes. The account model is beneficial because it’s much faster and doesn’t take up as much block space.

The Account model is not as good for privacy as the UTXO model because it’s easy for someone to read where a transaction originates and where it is sent to. It is hard to trace all UTXO’s because they can have multiple outputs in one transaction.

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#3850

  1. The account model requiring less space means that Ethereum is less likely to run into the same block size issues that Bitcoin encountered.

  2. The account model only records transactions as changes to balances. Since it would be impossible to send money back to your account in the same transaction, everyone can see exactly how much money you sent to another account (easier to track).

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#3851
  1. because you don’t have to track utxos, you can simply have balances going up and down like a bank model, so you can send transactions with exact amounts of the due money
  2. because you cant track single coins or fractions of coins so technically you can mix good coins with shady ones gotten through illegal means and you wouldn’t notice the difference