Hadoop use cases in the Bitcoin economy By Desk Editor April 15, Bitcoin as a decentralized P2P virtual currency has become a hot topic of discussion and analysis in the last few months. Due to its unregulated nature and possibility to exchange it for real life goods, services or real coin, the mining is being used for both legit and illegal trades.
Further, the transaction data is publicly available online albeit with anonymous ids.
In this post, lets explore the possible Bitcoin economy use cases for Hadoop ecosystem products. Bitcoins were mining suggested in by Satoshi Nakamoto. Participants coin this economy acquire a Bitcoin wallet and Bitcoin addresses. The Bitcoin address send and receive Bitcoins BTC mining a manner analogous to sending and receiving e-mails from bit address. The network relies on a shared transaction log called block chain where all confirmed transactions are included without any exception.
Demonstrate the Potential of Existing Technologies
The system uses a distributed consensus system called Mining that is used to confirm waiting transactions by including them in the blockchain. Besides the known counter intuitive possibility of using Hadoop processing for mining, there are more elaborate use cases in which the products in Hadoop ecosystem can contribute positively.
A few of the possible ones which can be taken up for PoC are listed below: Although the transaction data is available with anonymous ids bit, it has been demonstrated in certain experiments to be able to club hadoop address to one entity and trace the transaction history of that entity.
Entity here refers to an individual or group using a set of Bitcoin address.
Recommended remediation and mitigation steps
Further, combined with certain crawling data from the various websites and logs, it is possible to ascertain the real identity behind the anonymous id. For instance, in bit analysis, using one of Wikileaks published Bitcoin address, it was possible to determine the other address belonging to the group.
A good example of such tracing is available on blockviewer. Off late, there have been rumors of unrest in certain countries having linkages to Bitcoin transactions. It could be possible to analyze the Bitcoin transaction data and attribute to certain geographic entities and see co-relation with real bit events. Trojans have been reported to exploit the unused hadoop power of individual machines and hadoop clusters mining mine Bitcoins.
Initial Azure Security Center alert details
It becomes imperative to protect your cluster against any such malware and botnets. There has been reported use of Bitcoins for illegal trades like drugs and narcotics.
By detecting anomalous behavior in transactions along with coin logs, it may be possible to monitor this hot trail. Apache Hadoop, Apache HBase, Apache Pig, Apache Hive While the above use cases are applicable for coin currency transactions virtual or fiatthey have been mentioned specifically for Bitcoin due to open availability of transaction data and lack of regulatory mechanism.