Published on: 2016-03-09T01:17:11+00:00
The Bitcoin Improvement Proposal (BIP) 70 Payment Protocol extension aims to create a permissioned and encrypted exchange of payment information between two parties. The extension enhances the Payment Protocol by ensuring that payment details can only be seen by the participants in the transaction. It also allows for store and forward servers to sign and serve Payment Requests, and gives the sender of funds the option of sharing their identity with the receiver.The proposed update to the Payment Protocol has three main goals. Firstly, it ensures that payment details are only visible to the participants in the transaction, enhancing privacy. Secondly, it allows for store and forward servers to enable mobile wallets to sign and serve Payment Requests, making the process more convenient. Lastly, it gives the senders of funds the option to share their identity with the receiver. This feature could be used to make bitcoin logs more human-readable or to help regulated financial entities meet regulatory requirements.The protocol is designed to be flexible, allowing developers to build different types of schemes while maintaining standard messages that can be forwarded between services if needed. The email thread also discusses the possibility of a user uploading authenticated PaymentRequests to an untrusted server, which would then encrypt and pass them on in response to InvoiceRequests.A draft BIP proposal has been made to update the Payment Protocol, with the goal of enabling two parties to exchange payment information in an encrypted manner. This update would automate wallet address communication and allow for off-blockchain transaction logs that are human-readable. The motivation behind this extension is to ensure payment details are only visible to participants, enable store and forward servers, and give senders the option of sharing their identity with the receiver.The proposed extension to BIP70 has several potential benefits. It could make bitcoin logs more human-readable, allow users to control who they release payment details to, help political campaigns meet regulatory requirements, and provide a way for regulated financial entities to meet their own regulatory requirements. The full proposal can be found on GitHub, and feedback is welcomed.In summary, the proposed update to the Payment Protocol aims to create a permissioned and encrypted exchange of payment information. It allows for automated communication of wallet addresses and enables the creation of human-readable off-blockchain transaction logs. The extension ensures that payment details are only visible to participants, allows for store and forward servers, and gives senders the option of sharing their identity with receivers. This update has the potential to make bitcoin logs more human-readable, help political campaigns comply with regulations, and provide a way for regulated financial entities to meet requirements. Justin W. Newton, Founder/CEO of Netki, Inc., has shared the full proposal on GitHub and is seeking feedback.
Updated on: 2023-08-01T17:54:09.999711+00:00