Author: Tim Ruffing 2014-08-06 22:22:31
Published on: 2014-08-06T22:22:31+00:00
A group of researchers in Germany has proposed a decentralized protocol for CoinJoin, called CoinShuffle, to improve anonymity. The protocol is a way to implement CoinJoin in the original spirit of Bitcoin, without trusted third parties and mixing with one single transaction that has multiple input addresses and multiple fresh output addresses. The difficulty in CoinJoin is to let the participants announce their fresh output addresses without breaking anonymity. A proof-of-concept implementation is available on the project page, but it is only a demonstration of feasibility and not well-written. Plans are underway for a full, open-source implementation of the protocol. CoinShuffle has several features, including decentralization, unlinkability of input and output addresses, security against thefts, robustness against denial-of-service, only public-key encryption and signatures, efficiency, and compatibility with the current Bitcoin system. The NXT cryptocurrency has picked up the idea, and an implementation of CoinShuffle for a part of NXT is underway.
Updated on: 2023-06-09T01:55:14.723432+00:00