MANAGEMENT OF CRYPTOCURRENCY TECHNOLOGY BUSINESS PROCESSES BASED ON THE INTEGRATION OF SMART CONTRACTS AND ROLLUPS

Authors

DOI:

https://doi.org/10.31732/2663-2209-2024-75-108-119

Keywords:

management, administration, blockchain, smart contracts, rollups, integration, technologies

Abstract

The article explores current rollup technologies that enable the scaling of smart contract usage in managing business processes based on blockchain technology. Special attention is given to the importance of decentralization in the modern digital world. Given the increasing need for automation and efficiency in business processes, it is determined that this topic is extremely important for the further development of management, financial, and administrative systems worldwide. It has been established that an in-depth analysis and comparison of the capabilities of various rollup technologies provides a more efficient, secure, and economical approach to using blockchain technologies in business management. A comparative analysis method was used to assess the impact of different levels of blockchain scaling - from level 0 to level 3 - on overall performance and transaction costs. The scientific results of the study identified significant prospects for the use of rollups to minimize costs and transaction processing time, as well as to reduce reliance on centralized intermediary services. It is established that it is particularly important to identify and analyze the trade-offs between decentralization, security, and scalability, known as the "blockchain trilemma", which affects the possibilities and limitations in deploying these technologies. It is proposed that further research be based on the development of new methods and technical solutions aimed at addressing the problems identified in the blockchain trilemma. Emphasis is placed on the importance of implementing innovative approaches that could help achieve an optimal balance between the key characteristics of blockchain. Additionally, it is noted that the analysis of legal and economic aspects of integrating rollups into existing management systems remains relevant, which could contribute to their broader adoption and recognition at the international level. The results of the study demonstrate the necessity of analyzing the development of knowledge systems about blockchain scaling technologies. This lays the foundation for further work in this direction, aiming for greater decentralization, security, and efficiency in management processes.

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Author Biography

Yurii Kovalchuk, KROK University

Graduate student, KROK University, Kyiv

References

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Published

2024-09-27

How to Cite

Kovalchuk, Y. (2024). MANAGEMENT OF CRYPTOCURRENCY TECHNOLOGY BUSINESS PROCESSES BASED ON THE INTEGRATION OF SMART CONTRACTS AND ROLLUPS. Science Notes of KROK University, (3(75), 108–119. https://doi.org/10.31732/2663-2209-2024-75-108-119

Issue

Section

Chapter 2. Management and administration