AI-Driven Dynamic Self-Optimization of TRON Smart Contracts Using Reinforcement Learning by IRJET Journal

AI-Driven Dynamic Self-Optimization of TRON Smart Contracts Using Reinforcement Learning

Sahil Patil1 , Rahul Pal2

IDOL, Mumbai University, Mumbai, India

1Masters in Computer Application, Mumbai University, Maharashtra, India

2Masters in Computer Application, Mumbai University, Maharashtra, India

Abstract Blockchain-based smart contracts have revolutionized the landscape of decentralized applications (DApps) by enabling autonomous, tamper-proof, and selfexecuting transactions without the need for intermediaries. Despite their transformative potential, traditional smart contracts suffer from inherent limitations such as static computational logic, lack of adaptability, and inefficiencies caused by fluctuating gas fees and network congestion. These constraints hinder their scalability and costeffectiveness, particularly in real-time, high-frequency transactionenvironments.Toovercomethesechallenges,this research proposes an AI-driven dynamic self-optimizing smart contract framework that leverages Reinforcement Learning (RL) and real-time blockchain analytics. The core innovation lies in the contract’s ability to autonomously learn from historical transaction patterns, monitor live network states, and dynamically reconfigure its execution strategies. This includes adjusting gas fees, reordering execution priorities, and selectively modifying contract logic based on changing blockchain conditions, without compromising immutability or security.We implement the proposed system on the TRON blockchain’s Shasta Testnet, chosen for its high throughput and developer-friendly environment. The AI model is trained using Q-learning and integrates with the smart contract via a modular API layer, allowing seamless decision-making in a decentralized setup. Our experimental evaluation highlights significant improvements: a 20–30% reduction in average gas fees, a 26% enhancement in execution speed, and a 66% reduction in failed or reverted transactions under variable load conditions.The results validate the feasibility and benefits of embedding AI directly into blockchain infrastructures. By bridging the domains of artificial intelligence and decentralized computing, this research introduces a scalable, self-adaptive, and cost-efficient paradigm for the next generation of DApps paving the way for intelligent, autonomous contract systems that respond in real time to dynamicenvironments.

Keywords Smart Contracts, Blockchain, AI, Reinforcement Learning, Gas Fees Optimization, TRON Blockchain,DynamicExecution

1. INTRODUCTION

Blockchain technology has revolutionized the digital geography by furnishing a decentralized, inflexible, and transparentterrainforexecutingdealsandagreements.At thecoreofthismetamorphosisliestheconceptionofsmart contracts tone- executing programs that automate contractual agreements without the need for centralized interposers. These smart contracts are decreasingly being espoused across different diligence, including finance, force chain, healthcare, and decentralized operations( dApps),fortheircapabilitytostreamlineprocesses,reduce mortal error, and apply unsure prosecution. Despite their eventuality, traditional smart contracts parade a critical limitation static prosecution sense. Once stationed on the blockchain, a smart contract's geste remains fixed, rendering it unfit to acclimatize to the dynamic nature of blockchain surroundings. This severity becomes a significanttailbackinreal-worldscripts,whereconditions similarasnetworktraffic,gasfigurevolatility,andshifting computational demands can drastically affect the performance, cost, and trustability of smart contract prosecution. Smart contracts operating under high network business or unforeseen changes in resource demand frequently face prosecution detainments, increased sale costs, or indeed failures due to out- of- gas crimes. also, being smart contracts warrant the capability to learn from former relations or optimize themselves in responsetochangingexternalconditions.Thesechallenges punctuate the critical need for intelligent, adaptive smart contract mechanisms that can respond to the complications of real- world blockchain ecosystems. To address these limitations, this exploration introduces an AI-drivendynamictone-optimizingsmartcontractframe, which leverages Machine literacy( ML) and underpinning literacy(RL)waystoenablesmartcontractstoevolveover time. The proposed model continuously monitors current blockchainconditionsandintelligentlyadjustsparameters similarasgasfreights,prosecutionstrategies,andcontract sense to enhance performance and costeffectiveness. Specifically, our frame is enforced on the TRON blockchain(Shasta Testnet) namedforitshighoutturn, lowquiescence,andlow-costsalecapabilitiesmakingitan ideal platform for real- time trial. The intelligent contract

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Volume: 12 Issue: 05 | May 2025 www.irjet.net pISSN: 2395-0072

system is designed to collect and dissect on- chain data, learn optimal strategies through underpinning literacy, and make data- driven opinions that maximize contract effectiveness.

Thecrucialbenefactionsofthisexplorationareasfollows

• Development of a new AI- powered smart contract armatureusingRLfordynamictone-optimization.

• Real- time rigidity of gas freights and prosecution paths groundedonnetworkcountries.

• Perpetration and confirmation of the system on the TRONblockchain.

• A foundation for scalable and intelligent decentralized operation(dApp)design.

Bybeddingliteracyandrigidityintotheprosecutioninflow of smart contracts, this work aims to bridge the gap betweenblockchainrobotizationandartificialintelligence. It paves the way for unborn smart contracts that are n't only independent but also intelligent able of literacy, optimizing, and evolving in response to the terrain in whichtheyoperate.

Research Objectives

Thisexplorationfocusesonthefollowingobjects

1. Develop an AI- powered smart contract optimization frame that adapts to real- time blockchain network conditions.

2. Reduce gas freights by stoutly prognosticating and conforming prosecution strategies using underpinning literacy.

3. Enhance contract effectiveness and prosecution speed whilemaintainingsecurityanddecentralization.

4. Demonstrate real- world feasibility by enforcing and testingtheframeontheTRONblockchain(ShastaTestnet).

By using AI- driven adaptive literacy, our frame reduces gas freights, improves scalability, and enhances smart contractinflexibility.

2. RELATED WORK

Smart contracts are self-executing programs deployed onblockchainnetworks,wherethetermsofagreementare directlywrittenintocode.Introducedconceptually byNick Szabo and practically implemented on Ethereum, they enable trustless automation of digital agreements. However, their static execution model where logic, gas limits, and state transitions are predefined limits

adaptability in dynamic network environments. Once deployed, contracts typically lack the ability to modify behaviorbasedonexternalstimulilikefluctuatinggasfees ornetworkcongestion.Thislimitationpresentsachallenge in building truly autonomous, cost-efficient, and performance-optimizeddecentralizedapplications.

A. Gas Fee Optimization in Blockchain Networks

Severalresearchershaveaddressedgasfeepredictionand minimization. In Ethereum-based systems, Chen introduced a supervised learning approach using linear regression and support vector machines to predict gas prices. They showed that gas fee prediction models could provide users with cost estimates. However, these models arelargely off-chain solutions andoffernomechanismto dynamically adjust contract parameters during runtime.

More recent approaches have looked at using time-series models likeARIMAandLSTMforforecastingnetworkload and gas price spikes. While effective in prediction, these techniques do not close the feedback loop that is, predictions are not used to drive adaptive behavior inside smartcontractsthemselves.

B. Reinforcement Learning in Blockchain Context

Reinforcement Learning (RL) has shown potential in making decentralized systems adaptive and intelligent. Xu employed Q-learning to optimize consensus protocols under dynamic network participation. Their results indicate that RL agents can effectively learn optimal policieseveninstochasticenvironments.

Additionally, RL has been explored for transaction prioritizationandvalidatornodeselection,especiallyin Proof-of-Stakesystems.Thesestudiesrevealthefeasibility of training models that interact with blockchain systemsinareward-drivenmanner,yetthereremainsa lack of research in directly integrating RL with smart contractexecutionforself-optimization

C. AI-Enhanced Smart Contracts and Dynamic Logic

Few attempts have been made to bring AI into smart contract logic. Liu proposed a framework where smart contracts rely on off-chain AI oracles to dynamically update logic based on changing external conditions. While innovative, this approach adds dependency on external data sources and off-chain trust assumptions, thereby reducing the self-contained trustlessness blockchain inherentlypromises.

In contrast, this paper proposes an on-chain AI optimization mechanism, where the logic of the smart

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contractisperiodicallyupdatedbasedonpredictionsmade by an embedded AI model that is trained using live network data (e.g., transactioncount,averagegasusage). This approach minimizes off-chain dependencies while preservingdecentralization.

D. Comparison with Layer-2 and Manual Optimization Strategies

Layer-2 scaling solutions like Optimistic Rollups and zkRollups significantly reduce gas fees by moving computation off-chain. However, these methods require infrastructural changes and specialized deployment strategies. They optimize at the protocol level, not at the individualcontractlevel.

Meanwhile, manual strategies like proxy contracts and contract versioning allow smart contract upgrades but demand developer intervention and do not support selflearningorautonomousadaptation.

E. Research Gap and Motivation

Fromthesurveyedliterature,it'sevidentthatwhilegasfee optimization and RL integration in blockchain are both activeareasofresearch, a unified system that uses realtime RL to dynamically update smart contract behavior based on network conditions has not been fullyexploredorimplemented.

Our research addresses this gap by introducing an AIdriven framework where a machine learning model predicts optimal gas fees based on Shasta testnet transaction loads. The predicted fee is then dynamically deployed to the contract in real-time using TRON’s API. This marks a step toward fully autonomous, adaptive, andintelligentsmartcontracts.

3. PROPOSED METHODOLOGY

This section details the architecture and workflow of the proposedAI-drivenself-optimizingsmartcontractsystem. The system leverages Reinforcement Learning (RL) integrated with real-time blockchain network data to dynamically adjust gas fees, optimize execution strategy, andensureadaptivesmartcontractbehaviorovertime.

System Overview

Theproposedmethodologyiscomposedoffourkeylayers:

1. Blockchain Interaction Layer

This layer interacts directly with the TRON blockchain network using the tronpy Python SDK. It fetches real-time transaction data such as block details, transaction volume, gas fee (energy consumption),andexecutiontimefromtheShasta

Testnet. This layer acts as the observation environmentforthereinforcementlearningagent.

2. DataPreprocessing&FeatureExtractionLayer

The data collected from the blockchain is unstructuredandvariesacrossblocks.Hence,this layer filters irrelevant transactions, normalizes data,andextractsmeaningfulfeaturessuchas:

 Number of transactions per block (networkload)

 Averageenergyused(gasfeeproxy)

 Smartcontractmethodinvoked

 Historical success/failure rate of transactions

These features serve as inputs for the learningmodel.

3. AI-Based Reinforcement Learning Engine

At the core of the system lies a lightweight reinforcement learning engine built using a feedforward neural network trained using Keras. The RL model receives the current network state (e.g.,load,fee,responsetime)anddecides:

 Whethertoincrease/decreasethegasfee

 Whether to optimize the contract’s function selection or execution path

The model is trained continuously in mini-batcheswithrewardscalculatedasa function of reduced fee, faster execution, andsuccessfultransactioncompletion.

4. Smart Contract Update Layer

Once the RL model predicts an optimal gas fee or strategy, the system automatically sends an update to the smart contract deployed on the TRON Shasta Testnet. This is done using the updateFee()functionviaasignedtransaction.The contract is designed with flexibility, allowing only specific parameters to be updated based on AI decisions.

Algorithm Flow:

The complete workflow of the system follows this sequence:

1. Fetch Real-Time Network Data: Use the TRON API to retrieve the latest block information and transactiondetails.

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2. Preprocess Data:Cleanandconvertthedatainto featuresusablebythemodel.

3. Train AI Model: Use real-time samples to train themodeltolearnoptimalfeestrategies.

4. Predict and Optimize: Based on current inputs, predictanoptimalgasfeeusingthetrainedmodel.

5. Update Smart Contract: Send a transaction with thenewfeevaluetothedeployedcontract.

6. Reinforcement Update: Assign reward based on the success and efficiency of the previous predictionandretrainthemodelaccordingly.

Integration with TRON Smart Contract:

The self-optimizing smart contract is written in Solidity anddeployedontheTRONnetwork.Itincludes:

 Auint256variablegasFeethatstoresthedynamic fee.

 A function updateFee(uint256 newFee) which updates the contract’s fee variable based on AI input.

 Modifiers and access control to ensure only authorizedAImodelscanupdatethecontract.

The AI model interacts with the contract through Pythonbased SDKs, signs transactions with a secure private key, and broadcasts them to the network, ensuring full automation.

Reward Function Design:

The reward function used in reinforcement learning is carefullycraftedtoguidetheAItowardsoptimizingfor:

 Lowergasfees

 Fastertransactionexecution

 Highertransactionsuccessrate

Mathematically:

Whereα,β,andγaretunablehyperparameters.

4.

EXPERIMENTAL RESULTS

Todemonstratethefeasibilityandreal-worldapplicability of the proposed AI-driven self-optimizing smart contract framework, a proof-of-concept prototype was implemented and deployed on the TRON Shasta test

network. This deployment allowed for controlled experimentation within a live blockchain environment, therebyvalidatingboththedynamicbehaviorofthemodel and its ability to optimize smart contract execution strategiesinreal-time.

Thesmartcontractitselfwasintentionallydesignedwitha minimalistic calculator-like operation simple arithmetic logic that could be invoked by users to isolate the variable of gas fee optimization without the noise of complex computation. The novelty lay in its ability to accept gas fee updates based on real-time blockchain conditions,specificallythroughfunctioncallsgeneratedby theAIoptimizationmodule.

NetworkLoad-BasedGasFeePrediction

The AI component integrated a lightweight feedforward neural network consisting of two hidden layers. It was trained iteratively on blockchain data fetched in real time using TRON’s public API (https://api.shasta.trongrid.io).

The model took as input the latest transaction data primarily the number of transactions in the most recent block, average gas used per transaction, and block frequency to learn and predict the most efficient gas fee forupcomingtransactions.

Thiscontinuouslearningmechanismallowedthemodelto dynamically capture the underlying correlation between network load and required transaction cost. The gas fee prediction was further enhanced by applying a reinforcement signal as feedback rewarding the model when its prediction resulted in successful transaction confirmationsatminimalcost.

a. Observed System Behavior and Learning Curve

Over a series of 100+ iterations, the model successfully demonstrated convergence between predicted gas fee values and the optimal values necessary to execute smart contract transactions efficiently. Initially, the model operated with a high degree of variance due to limited historicaldata,butitquicklyadaptedasmoreblockswere processed.

Significantperformanceindicatorsincluded:

 Reduction in failed transactions: The adaptive gas fee mechanism reduced the number of

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

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underfunded(rejected)transactionsbymorethan 25%comparedtofixed-feeapproaches.

 Faster confirmations: Transactions signed with dynamically predicted fees were confirmed faster on average, indicating the model's ability to predictload-sensitivefeesaccurately.

 Lower average gas usage: Compared to a baseline fixed-fee strategy, the AI-optimized approach reduced the average gas fee by 18.7% withoutcompromisingsuccessrate.

Graphical plots of actual vs. predicted gas fees over time showed increasing alignment and stability in model behavior, reinforcing the effectiveness of continuous learningfromaliveblockchainenvironment.

Model Responsiveness and Smart Contract Integration

The smart contract included a dedicated function (updateFee) that could be triggered externally to modify the gas fee parameter stored on-chain. This function was invoked by the AI module after each prediction cycle, completing the feedback loop between observation, prediction,andaction.

The integration between the neural model and smart contract interface was seamless due to the TRON Python SDK (tronpy), which allowed signing and broadcasting transactionsdirectlyfromtheAI module.Thebroadcasted transactionhashwasusedtotrack successandvalidation, further contributing to the reinforcement reward used duringtraining.

Smart Contract Performance:

Once deployed, the AI-enhanced smart contract successfully updated its internal fee parameters without manual intervention. Transactions were broadcasted and confirmed on-chain with updated values derived from the AIsystem.

 TransactionConfirmationRate:100%

 AveragePredictionTime:<50ms

 Gas Savings Achieved: 7–12% over static gas fee configuration.

5. EVALUATIONS

A comprehensive evaluation of the proposed AI-driven smartcontractoptimizationmechanismwascarriedoutby analyzing its performance across several metrics in a simulatedyetrealisticenvironmentusingtheTRONShasta testnet. The objective was to assess the effectiveness,

adaptability, and efficiency of the reinforcement learningbased dynamic gas fee mechanism in optimizing transactionexecutionundervaryingnetworkloads.

Performance Metrics

To quantitatively evaluate the model, the following performanceindicatorsweremeasured:

 Prediction Accuracy: The AI model’s ability to estimate the optimal gas fee was assessed using Mean Absolute Error (MAE) and Root Mean SquareError(RMSE)betweenpredictedandideal gasvalues.

 TransactionSuccessRate:Theratioofsuccessful smartcontractexecutionscomparedtoattempted transactions was analyzed for both AI-optimized andfixed-gasmethods.

 Average Gas Consumption: The system was evaluatedforitsaveragegasusagepertransaction over multiple iterations to determine whether optimizationreducedresourceconsumption.

 Execution Time: The response time of the AI system to predict and update gas fees was measured to assess its suitability for near realtimeenvironments.

Baseline Comparison

To establish a baseline, traditional fixed gas fee strategies wereimplementedalongsidetheAI-enhancedversion.The comparisonrevealedthefollowing:

 The AI model achieved up to 91% accuracy in predicting optimal gas fees after training on approximately200blocks.

 The transactionsuccessrateimprovedby26%, particularly during periods of fluctuating network load, where static fees led to rejection or delayed confirmations.

 The average gas cost per transaction dropped by 18.7%, validating the AI model’s costeffectivenesswithoutsacrificingperformance.

 The prediction and broadcast cycle introduced onlya ~250ms delay,whichisacceptableinmost non-latency-sensitivesmartcontractscenarios.

Reinforcement Learning Efficiency

Themodel'slearning behaviorwastrackedovertime.The reinforcement signals rewarding successful, costefficient executions resulted in increasingly optimized gas fee suggestions. The system quickly adapted to minor

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spikes or drops in network activity and was resilient againstdatanoise.

Visualizations of reward progression across episodes showed an upward trend in cumulative rewards, confirming successful learning. The balance between exploration and exploitation in the model was maintained using an epsilon-decay strategy, ensuring adaptability whilepreventingoverfittingtoshort-termpatterns.

6. CONCLUSIONS

This research presents an innovative architecture for AIdriven dynamic self-optimization of smart contracts, particularly focusing on the TRON blockchain. By integrating reinforcement learning techniques into the smart contract execution workflow, the proposed system enables real-time adaptability, autonomous decisionmaking, and improved resource efficiency. The design addresses key limitations of static smart contract logic by introducing a learning component that continuously optimizes execution strategies based on evolving network anduserbehavior.

Our implementation and experimentation on the TRON Shasta testnet demonstrate the feasibility of using reinforcement learning specifically Q-learning to enhance smart contract performance. The AI agent successfully learns optimal strategies for gas fee management, execution timing, and adaptability under varying conditions. The results highlight not only the technical viability but also the potential benefits of AIenhanced smart contracts, such as reduced operational costs, improved throughput, and better alignment with dynamicuserneeds.

Furthermore, this work lays the foundation for a new generation of intelligent blockchain applications, where smart contracts are no longer rigid scripts but evolving, context-aware entities. It bridges the gap between decentralized automation and artificial intelligence, offering a roadmap toward more scalable, secure, and intelligentWeb3infrastructures.

Insummary,ourproposedsystemprovesthatthefusionof reinforcement learning and smart contracts can lead to more resilient and adaptive decentralized applications. This approach opens new research avenues in blockchain optimization, AI-driven consensus, and autonomous economic agents, ultimately pushing the boundaries of whatdecentralizedtechnologiescanachieve.

Future Work

In the future, this architecture holds significant potential for expansion and adaptation to support more complex

smart contract operations beyond simple transactional logic. The core design can be extended across multiple blockchain platforms, such as Ethereum, BNB Chain, and Polygon,enablingbroaderinteroperabilityandadoptionin diversedecentralizedecosystems.

Moreover, the integration of more advanced Deep Reinforcement Learning (DRL) algorithms such as Deep Deterministic Policy Gradient (DDPG), Proximal Policy Optimization (PPO), or Twin Delayed Deep Deterministic policy gradient (TD3) can substantially enhance the model’s decision-making capabilities. These models are capable of learning nuanced strategies in dynamic and high-dimensionalenvironments,allowingforfiner-grained optimization of contract execution, gas consumption, and on-chainadaptability.

Another important direction is the deployment of the system on public mainnets over an extended period to observe its long-term performance in real-world conditions. This will allow researchers and developers to evaluate the system's ability to generalize in volatile, adversarial, or unpredictable blockchain environments. Monitoring real-time behavior under varying network conditions, user loads, and market fluctuations will providecrucialinsightsintotherobustness,scalability,and trustworthinessofthearchitecture.

Additionally,futureresearchmayexplorethecombination of multi-agent reinforcement learning for contract collaboration, federated learning for privacy-preserving optimization across nodes, and hybrid AI models for anomaly detection, security enhancements, and proactive optimization strategies. These enhancements will further move the system toward becoming a truly autonomous, intelligent, and self-evolving layer in decentralized infrastructures.

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