Physical One-Way Functions for Decentralized Consensus Via Proof of Physical Work.

Decentralized consensus on the state of the Bitcoin blockchain is ensured by proof of work. It relies on digital one-way functions and is associated with an enormous environmental impact. This paper conceptualizes a physical one-way function that aims to transform a digital, electricity-consuming consensus mechanism into a physical process. Boundary conditions for the security requirements are established and discussed as well as experimentally investigated for a specific setup based on printing and optical analysis of pigment-carrier composites. In the context of the applied methods, this setup promises to be mathematically unclonable, steady, reproducible, collision resistant and non-invertible and illustrates the feasibility of a physical one-way function. Based on this, a framework for proof of physical work is conceptualized, which has the potential of a drastically lower CO footprint. This work initiates a progressive, interdisciplinary field of research and demands further investigations with regards to alternative setups, security definitions and strategies for challenging them.