Payjoin privacy with the receiver of the transaction



Summary:

The idea of "pre-fragmenting" wallet UTXOs to improve privacy is interesting but impractical for normal users due to resulting big and cost-ineffective transactions. However, users who prioritize privacy can enable an auto-splitting feature in the wallet that automatically makes a transaction splitting high-value BTC amounts into several addresses. This could work with small amount addresses and Payjoin to provide real privacy to Bitcoin users. ZeroLink post-mix wallets must prevent joining inputs together, limiting the maximum amount the user can pay. One solution could be to split one of multiple post-mix coins or support a Payjoin as either receiver or sender. If both ZeroLink and Payjoin become commonly used, it may become common for a Chaumian CoinJoin mix transaction to have outputs that merge into Payjoin two-input two-output transactions, allowing a ZeroLink post-mix wallet some limited amount of merging its post-mix UTXOs.


Updated on: 2023-06-13T17:46:27.763562+00:00