INTRODUCTION
We believe privacy is a human right as enshrined in article 12 of the Universal Declaration of Human Rights of the United Nations. Transactions of value are an essential part of our daily lives.
As such we strive to provide you with tools to transact in confidence[1].
Ecash systems, or virtual currencies[2], have become a very common way to transact due to the many benefits they hold over traditional methods of exchange. One of the largest problems for virtual currencies is preventing doublespending, where a currency holder sends the same coins to multiple recipients. Bitcoin solves this problem using the blockchain, a public record of all transactions in the system. By viewing the blockchain, all participants in the currency can see the current state of the system at the same time, thus the doublespending problem is solved. However, adding the blockchain causes a severe reduction of the anonymity and privacy of the participants in the currency[3]. As the blockchain is public, anyone can see the transactions and total holdings of participants, unless suitable precautions are taken.
Overview
In this paper we will present our anonymous cryptographic transaction protocol which utilises: dualkey stealth addresses, traceable ring signatures and noninteractive zero knowledge proofs.
We prove how our scheme introduces a much higher level of privacy and anonymity to the network while still preserving the core principles of trustless decentralization, unforgeability and doublespend prevention. We will also present performance data of our scheme which includes proof sizes, signature generation times and verification times.
Finally, we will present planned future improvements to the current scheme. We present this paper as a first draft towards receiving peer review.
ShadowCash