Homework on UTXO vs Account Model

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?

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

2 Likes
  1. Any space savings is a benefit. 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. You can’t send funds to your self and funds go from 1 account to other account. It’s easier to visually follow.

1 Like

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.

2. 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.

3 Likes
  1. Account model does not save each utxo as it stores balance of all transactions there reducing size of block making it faster
  2. Anonymity is not possible in Ethereum where its traceable if one tries to send to same account.
1 Like
  1. It would make for smaller, easier transferable blocks and faster processing

  2. The account model is not as good for privacy as you can track the address of who has been paid, whereas the UTXO model can pay out multiple accounts one of which can be your own.

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

    One block can store more transactions, increase storage efficiency.

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

    Easily to know where the money come from and where you send money to. UTXO model is hard for public to tell which amount of money goes to where, because one transaction could have multiple outputs.

1 Like
  1. More transactions can be stores in less amount of memory, this increase the scalability of the blocchain.

  2. It is not as secure because u can see it comes from which account and goes to which account.

1 Like
  1. The account model doesn’t require much space as the UTXO model. That is a benefit because it takes up less space and has a greater storage capacity.

  2. The account model is not as great as the UTXO model for privacy because there are no outputs. Each transaction can be seen from the outside, how much was sent and to whom.

1 Like
  1. Less space for a transaction means, more transaction can be done at the same time. Therefore people don´t have to wait so long for a confirmed transaction. And this is important to adopt it.

  2. With the account model, you can see and follow every transaction. It the UTXO model, you can have several outputs at the same time and can hide, to whom and how much you are sending.

1 Like
  • The account model doesn’t require much space as the UTXO model, why is that a benefit?
    It reduces block size and saves space which is more efficient.

  • How is the account model not as great as the UTXO model for privacy?
    in the UTXO model it is possible to track each btc , in the account model it is possible to see the balance-all eth are the same.

1 Like
  1. It is a benefit because transactions get faster due to the low amount of data

  2. The account model is much simpler, it goes from a to b. UTXO can be spent to multiple accounts making it harder to track and know which address is the same as the senders.

1 Like

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?

Faster and more efficient transactions, easier understanding of balance.

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

Because you can’t hide your spends, you have one input and one output in every single transaction.

1 Like
  1. It’s a benefit because it means there’s more space in the 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.

  2. 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.

2 Likes
  1. Transaction sizes are smaller, faster and cheaper
  2. With Ethereum’s transparency you can see who transacted with whom and know exactly how much was send in a transaction, with UTXO you can track all transactions, but multiple transactions can be send through one transaction without knowing the transaction amount was that send to which address or to whom the addresses belongs.
1 Like

1- cause you can have more space for the transactions
2- 1ETH = 1ETH, easily can be known and tracked

1 Like
  1. Does not contain the UTXOs but an event.
  2. With an account model it is easier to associate transactions issued by the same party.
1 Like
  1. The account model doesn’t require much space as the UTXO model, why is that a benefit?
    Less space requires less computing power and storage and therefore less processing time making it quicker.
  2. How is the account model not as great as the UTXO model for privacy? The Account Model means that transaction areon an aggregated balance structure with payee and payor need to readily identifiable to undertake a transaction whereas the UTXO model in based on individual outputs and inputs and not aggregated user balances, making it harder to track payors and payees.
1 Like
  1. You can put more transactions in a block, more throughput and usually lower fees.
  2. You can trace easily all the tx history.
1 Like
  1. More transactions can be processed using less space in a block.

  2. The UTXO model means that payments obfuscate which part of a transaction is going to the recipient and which part is being returned to the sender.

2 Likes