Empirical analysis of crypto currencies

Abstract

Analysis of the currency networks is not easy as the transactions are not centralized but rather take place over a large number of banks and commercial entities. Digital crypto currencies, however, require a public ledger to work and provide an opportunity for analysis of currency transactions. A crypto currency is a medium of exchange using cryptography to secure the transactions and to control the creation of new units. In this paper, we analyze two of the popular crypto currencies, i.e., Bitcoin and Litecoin. We construct network of transactions from public transaction ledger. We investigate the structure of currency transaction network by measuring the network characteristics.