Blockchain-LI: A Study on Implementing Activity-Based Micro-Pricing using Cryptocurrency Technologies

Abstract

In this paper, we propose a digital cash system named Blockchain-LI. This is an activity-based micro-pricing system implemented on cryptocurrency technologies. Activity-based micro-pricing is a pervasive technology to influence people's behavior through economic incentives. Implementing activity-based micro-pricing based on cryptocurrency technologies enables us to solve potential technical issues of traditional implementation. The Blockchain-LI architecture adopts a hierarchical currency network containing two types of currencies. The public coin is widely prevalent and has high integrity. The private coins are low integrity digital currencies that connect to the public coin. This approach enables us to solve cryptocurrency problems including scalability and block size. However, to use Blockchain-LI as a social infrastructure system, unresolved problems remain. This paper proposes sustainability, conversion protocols, and security issues as topics for future study.