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QUANTUM BLOCKCHAIN While addressing the security challenges and threats in blockchain, this book is also an introduction to quantum cryptography for engineering researchers and students in the realm of information security. Quantum cryptography is the science of exploiting quantum mechanical properties to perform cryptographic tasks. By utilizing unique quantum features of nature, quantum cryptography methods offer everlasting security. The applicability of quantum cryptography is explored in this book. It describes the state-of-the-art of quantum blockchain techniques and sketches how they can be implemented in standard communication infrastructure. Highlighting a wide range of topics such as quantum cryptography, quantum blockchain, post-quantum blockchain, and quantum blockchain in Industry 4.0, this book also provides the future research directions of quantum blockchain in terms of quantum resilience, data management, privacy issues, sustainability, scalability, and quantum blockchain interoperability. Above all, it explains the mathematical ideas that underpin the methods of post-quantum cryptography security. Readers will find in this book a comprehensiveness of the subject including: * The key principles of quantum computation that solve the factoring issue. * A discussion of a variety of potential post-quantum public-key encryption and digital signature techniques. * Explanations of quantum blockchain in cybersecurity, healthcare, and Industry 4.0. Audience The book is for security analysts, data scientists, vulnerability analysts, professionals, academicians, researchers, industrialists, and students working in the fields of (quantum) blockchain, cybersecurity, cryptography, and artificial intelligence with regard to smart cities and Internet of Things.

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Table of Contents

Cover

Title Page

Copyright

Preface

1 Introduction to Classical Cryptography

1.1 Introduction

1.2 Substitution Ciphers

1.3 Transposition Cipher

1.4 Symmetric Encryption Technique

1.5 Asymmetric Encryption Technique

1.6 Digital Signatures

References

2 Quantum Cryptographic Techniques

2.1 Post-Quantum Cryptography

2.2 Strength of Quantum Cryptography

2.3 Working Principle of Quantum Cryptography

2.4 Example of Quantum Cryptography

2.5 Fundamentals of Quantum Cryptography

2.6 Problems With the One-Time Pad and Key Distribution

2.7 Quantum No-Cloning Property

2.8 Heisenberg Uncertainty Principle

2.9 Quantum Key Distribution

2.10 Cybersecurity Risks Prevailing in Current Cryptographic Techniques

2.11 Implementation of Quantum-Safe Cryptography

2.12 Practical Usage of Existing QKD Solutions

2.13 Attributes of Quantum Key Distribution

2.14 Quantum Key Distribution Protocols

2.15 Applications of Quantum Cryptography

2.16 Conclusion

References

3 Evolution of Quantum Blockchain

3.1 Introduction of Blockchain

3.2 Introduction of Quantum Computing

3.3 Restrictions of Blockchain Quantum

3.4 Post-Quantum Cryptography Features

3.5 Quantum Cryptography

3.6 Comparison Between Traditional and Quantum-Resistant Cryptosystems

3.7 Quantum Blockchain Applications

3.8 Blockchain Applications

3.9 Limitations of Blockchain

3.10 Conclusion

References

4 Development of the Quantum Bitcoin (BTC)

4.1 Introduction of BTC

4.2 Extract

4.3 Preservation

4.4 The Growth of BTC

4.5 Quantum Computing (History and Future)

4.6 Quantum Computation

4.7 The Proposal of Quantum Calculation

4.8 What Are Quantum Computers and How They Exertion?

4.9 Post-Quantum Cryptography

4.10 Difficulties Facing BTC

4.11 Conclusion

References

5 A Conceptual Model for Quantum Blockchain

5.1 Introduction

5.2 Distributed Ledger Technology

5.3 Hardware Composition of the Quantum Computer

5.4 Framework Styles of Quantum Blockchain

5.5 Fundamental Integrants

5.6 Conclusion

References

6 Challenges and Research Perspective of Post–Quantum Blockchain

6.1 Introduction

6.2 Post–Quantum Blockchain Cryptosystems

6.3 Post–Quantum Blockchain Performance Comparison

6.4 Future Scopes of Post–Quantum Blockchain

6.5 Conclusion

References

7 Post-Quantum Cryptosystems for Blockchain

7.1 Introduction

7.2 Basics of Blockchain

7.3 Quantum and Post-Quantum Cryptography

7.4 Post-Quantum Cryptosystems for Blockchain

7.5 Other Cryptosystems for Post-Quantum Blockchain

7.6 Conclusion

References

8 Post-Quantum Confidential Transaction Protocols

8.1 Introduction

8.2 Confidential Transactions

8.3 Zero-Knowledge Protocol

8.4 Zero-Knowledge Protocols

8.5 Transformation Methods

8.6 Conclusion

References

9 A Study on Post-Quantum Blockchain: The Next Innovation for Smarter and Safer Cities

9.1 Blockchain: The Next Big Thing in Smart City Technology

9.2 Application of Blockchain Technology in Smart Cities

9.3 Using Blockchain to Secure Smart Cities

9.4 Blockchain Public Key Security

9.5 Quantum Threats on Blockchain Enabled Smart City

9.6 Post-Quantum Blockchain–Based Smart City Solutions

9.7 Quantum Computing Fast Evolution

9.8 Conclusion

References

10 Quantum Protocols for Hash-Based Blockchain

10.1 Introduction

10.2 Consensus Protocols

10.3 Quantum Blockchain

10.4 Quantum Honest-Success Byzantine Agreement (QHBA) Protocol

10.5 MatRiCT Protocol

10.6 Conclusion

References

11 Post-Quantum Blockchain–Enabled Services in Scalable Smart Cities

11.1 Introduction

11.2 Preliminaries

11.3 Related Work

11.4 Background of Proposed Work

11.5 Proposed Work

11.6 Conclusion

References

12 Security Threats and Privacy Challenges in the Quantum Blockchain: A Contemporary Survey

12.1 Introduction

12.2 Types of Blockchain

12.3 Quantum Blockchain: State of the Art

12.4 Voting Protocol

12.5 Security and Privacy Issues in Quantum Blockchain

12.6 Challenges and Research Perspective in Quantum Blockchain

12.7 Security Threats in Quantum Blockchain

12.8 Applications of Quantum Blockchain

12.9 Characteristics of Post-Quantum Blockchain Schemes

12.10 Conclusion

References

13 Exploration of Quantum Blockchain Techniques Towards Sustainable Future Cybersecurity

13.1 Introduction to Blockchain

13.2 Insights on Quantum Computing

13.3 Quantum Computing Algorithms

13.4 Quantum Secured Blockchain

13.5 Conclusion

References

14 Estimation of Bitcoin Price Trends Using Supervised Learning Approaches

14.1 Introduction

14.2 Related Work

14.3 Methodology

14.4 Implementation of the Proposed Work

14.5 Results Evaluation and Discussion

14.6 Conclusion

References

Index

End User License Agreement

List of Illustrations

Chapter 1

Figure 1.1 Vigenère table.

Figure 1.2 Structure of DES.

Figure 1.3 Structure of Fiestel function.

Figure 1.4 Elliptic curve.

Figure 1.5 Process of creating digital signature.

Chapter 2

Figure 2.1 Overview of quantum cryptography.

Figure 2.2 Working principle of quantum cryptography.

Figure 2.3 One-time pad operation.

Figure 2.4 Features of quantum no-cloning theorem.

Figure 2.5 Phases of secret key generation.

Figure 2.6 Two pillars protects QC from danger.

Figure 2.7 Attributes of key distribution.

Figure 2.8 QKD model protocol.

Figure 2.9 Polarization states (rectilinear and orthogonal).

Figure 2.10 QKD protocols.

Figure 2.11 Applications of quantum cryptography.

Chapter 3

Figure 3.1 Transaction.

Figure 3.2 Two transactions in a blockchain.

Figure 3.3 Multiple failed transactions.

Figure 3.4 Avoiding transaction failure in blockchain.

Figure 3.5 Shared transaction.

Figure 3.6 Shared transaction in a blockchain.

Figure 3.7 Lattice and basis.

Figure 3.8 Shortest vector problem.

Figure 3.9 Closest vector problem.

Figure 3.10 Shortest independent vectors problem.

Figure 3.11 Merle tree.

Figure 3.12 Message transferring in QKD.

Figure 3.13 Sifted key.

Figure 3.14 Quantum key representation.

Chapter 4

Figure 4.1 Bitcoin extract.

Figure 4.2 Cryptography.

Figure 4.3 Decentralization.

Figure 4.4 Quantum computing.

Chapter 5

Figure 5.1 Utilization of DLT in industries.

Figure 5.2 Representation of qubit.

Figure 5.3 Quantum blockchain layers.

Chapter 6

Figure 6.1 Physiology of blockchain.

Figure 6.2 Blockchains of post–quantum cryptosystem’s (encryption algorithms) ca...

Figure 6.3 Blockchains of post–quantum cryptosystem’s (digital signatures) catal...

Chapter 7

Figure 7.1 Overview of blockchain.

Figure 7.2 Post-quantum cryptosystems for blockchain.

Figure 7.3 Code-based cryptosystem.

Figure 7.4 Structure of QChain.

Chapter 9

Figure 9.1 The blockchain advantage.

Figure 9.2 Essential prerequisites for a blockchain solution.

Figure 9.3 Blockchain technology’s impact on smart cities.

Figure 9.4 Areas in smart cities where blockchain can contribute.

Figure 9.5 Security framework layers.

Chapter 10

Figure 10.1 Proof of work protocol.

Figure 10.2 Proof of stake protocol.

Figure 10.3 Delegated proof of stake protocol.

Figure 10.4 Proof of capacity protocol.

Figure 10.5 Proof of elapsed time protocol.

Figure 10.6 Quantum blockchain.

Figure 10.7 Quantum bit commitment protocol.

Figure 10.8 Simple quantum voting.

Figure 10.9 Code-based cryptography.

Figure 10.10 Certificateless digital signature.

Chapter 11

Figure 11.1 Life cycle of transportation application in blockchain.

Figure 11.2 Network model of transportation application in smart cities.

Figure 11.3 Smart road pricing application.

Figure 11.4 Life cycle of smart contract.

Figure 11.5 Execution of smart contract.

Chapter 12

Figure 12.1 Initial blocks before transaction.

Figure 12.2 Block 1 and block 2 mining.

Figure 12.3 Block 4, block 5, and block 6 mining.

Figure 12.4 Block 3 information modified.

Figure 12.5 Overview of block generation.

Figure 12.6 Grover’s algorithm.

Figure 12.7 Shor’s algorithm.

Figure 12.8 Voting protocol model.

Figure 12.9 Hash value preparation.

Figure 12.10 Cryptographic hash algorithms security level.

Figure 12.11 Security threats.

Chapter 13

Figure 13.1 Merkle tree.

Chapter 14

Figure 14.1 Proposed research overview.

Figure 14.2 Bitcoin closing price distribution.

Figure 14.3 Recurrent neural network.

Figure 14.4 Structure of LSTM.

Figure 14.5 Actual and predicted price (linear regression).

Figure 14.6 Actual and predicted price (random forest).

Figure 14.7 Actual and predicted price (SVM).

Figure 14.8 Actual and predicted price (RNN).

Figure 14.9 Actual and predicted price (LSTM).

Figure 14.10 Actual and predicted price (ARIMA).

Figure 14.11 Comparison of results of supervised learning algorithms.

Tables

Chapter 3

Table 3.1 Timeline for the invention of quantum computers.

Chapter 6

Table 6.1 Popular cryptosystems and main blockchains affected by quantum compute...

Table 6.2 Code–based cryptosystem that approved to second round of NIST call.

Table 6.3 Lattice–based post–quantum cryptosystem that approved to second round ...

Table 6.4 Post–quantum signature scheme that entered into the NIST second call.

Table 6.5 Comparison on post-quantum encryption algorithms performance.

Table 6.6 Evaluation of digital signature performance on post–quantum.

Chapter 7

Table 7.1 NIST security levels.

Table 7.2 McEliece cryptosystem.

Table 7.3 Ajtai-Dwork cryptosystems.

Table 7.4 HRSS-SXY and SIKE.

Table 7.5 Performance of HRSS and X25519.

Table 7.6 Summary of post-quantum cryptosystems and key encapsulation for Round ...

Table 7.7 Comparative Analysis of different post-quantum cryptosystems.

Chapter 11

Table 11.1 Generation of pre-master secret.

Table 11.2 Generation of encrypted key.

Table 11.3 Notations used in the chapter.

Table 11.4 Time complexity of proposed algorithm.

Chapter 14

Table 14.1 Features of dataset.

Guide

Cover

Table of Contents

Title Page

Copyright

Preface

Begin Reading

Index

End User License Agreement

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Scrivener Publishing

100 Cummings Center, Suite 541J

Beverly, MA 01915-6106

Publishers at Scrivener

Martin Scrivener ([email protected]) Phillip Carmical ([email protected])

Quantum Blockchain

An Emerging Cryptographic Paradigm

Edited by

Rajesh Kumar Dhanaraj

Vani Rajasekar

SK Hafizul Islam

Balamurugan Balusamy

and

Ching-Hsien Hsu

This edition first published 2022 by John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, USA and Scrivener Publishing LLC, 100 Cummings Center, Suite 541J, Beverly, MA 01915, USA© 2022 Scrivener Publishing LLC

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Library of Congress Cataloging-in-Publication Data

ISBN 978-1-119-83622-3

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Cover design by Russell Richardson

Set in size of 11pt and Minion Pro by Manila Typesetting Company, Makati, Philippines

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10 9 8 7 6 5 4 3 2 1

Preface

Quantum cryptography is the science of exploiting quantum mechanical properties to perform cryptographic tasks. Quantum cryptography attributes its beginning to the work of Stephen Wiesner and Gilles Brassard in the early 1970s. The best-known example of quantum cryptography is quantum key distribution, which offers an information-theoretically secure solution to the key exchange problem. Quantum cryptography uses individual particles of light, or photons representing binary bits, to transmit data over fiber optic wire. The security of the system relies on quantum mechanics. The best-known developed application of quantum cryptography is quantum key distribution (QKD), which is the process of using quantum communication to establish a shared key between two parties. The security of QKD can be proven mathematically without imposing any restrictions on the abilities of an eavesdropper; something not possible with classical key distribution.

Quantum cryptography enables users to communicate more securely compared to traditional cryptography. After keys are exchanged between the involved parties, there is little concern that a malicious actor could decode the data without the key. Quantum cryptography is a fast-evolving field that combines elements of quantum optics, pattern recognition, and electrical engineering, which proposes a significant shift in the foundation for security from numerical complexity to the basic physical nature of the communication platform by combining the major quantum mechanical laws of single photons with various aspects of cognitive science. Postquantum cryptography refers to cryptographic algorithms that are thought to be secure against an attack by a quantum computer. These complex mathematical equations take traditional computers months or even years to break. However, quantum computers running Shor’s algorithm will be able to break math-based systems in moments.

The applicability of quantum cryptography is explored in this book. In a key field, such as authentication, we show that quantum cryptography performs better in classical cryptography. Authentication can be done solely through quantum methods, contrary to the popular perception. Quantum cryptography has become a particularly active study subject in recent years due to growing worries about the security of our data. By utilizing unique quantum features of nature, quantum cryptography methods offer everlasting security.

Quantum key distribution, which permits secure interactions between different users, is the most widely used protocol. The goal of this book is to draw attention to current QKD and show how it has recently been generalized to multiple users with a quantum conference key agreement. In addition, we’ve created quantum security measures in unusual environments. Our approach secures both the message content and the identification of the nodes, making it possible to detect a node scanning incursion. The foundations of quantum theory, quantum algorithms, quantum entanglement, quantum entropies, quantum coding, quantum error correction, and quantum cryptography are all covered in this book. The only prerequisites are a basic understanding of mathematics and basic algebra.

This book is an introduction to post-quantum cryptography for students, engineers, and researchers in the realm of information security. Above all, it explains the mathematical ideas that underpin the methods of post-quantum cryptography security. The first section of the book gives important context by quickly outlining the key principles of quantum computation, which solves the factoring issue. The second half, on the other hand, discusses a variety of potential post-quantum public-key encryption and digital signature techniques. Highlighting most of the research directions in security era, this book is most suitable for cybersecurity and AI researchers, machine learning and data analysts, ethical hackers, students and academicians.

Rajesh Kumar Dhanaraj Vani Rajasekar SK Hafizul Islam Balamurugan Balusamy Ching-Hsien HsuMay 2022