On designing incentive-compatible routing and forwarding protocols in wireless ad-hoc networks

In many applications, wireless ad-hoc networks are formed by devices belonging to independent users. Therefore, a challenging problem is how to provide incentives to stimulate cooperation. In this paper, we study ad-hoc games—the routing and packet forwarding games in wireless ad-hoc networks. Unlike previous work which focuses either on routing or on forwarding, this paper investigates both routing and forwarding. We first uncover an impossibility result—there does not exist a protocol such that following the protocol to always forward othersʹ traffic is a dominant action. Then we define a novel solution concept called cooperation-optimal protocols. We present Corsac, a cooperation-optimal protocol which consists of a routing protocol and a forwarding protocol. The routing protocol of Corsac integrates VCG with a novel cryptographic technique to address the challenge in wireless ad-hoc networks that a link’s cost (i.e., its type) is determined by two nodes together. Corsac also applies efficient cryptographic techniques to design a forwarding protocol to enforce the routing decision, such that fulfilling the routing decision is the optimal action of each node in the sense that it brings the maximum utility to the node. We evaluate our protocols using simulations. Our evaluations demonstrate that our protocols provide incentives for nodes to forward packets. Additionally, we discuss the challenging issues in designing incentive-compatible protocols in ad hoc networks.