Blockchain Blinded Outcome Selection for Transaction Anonymity
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Solution Overview
Problem
The Bitcoin blockchain system faces challenges in maintaining user anonymity due to de-anonymization attacks, which can link public keys to real identities through IP addresses and behavioral patterns, compromising transaction privacy.
Innovation Solution
A blockchain-implemented security method involving the combination of encrypted secrets from two parties to generate cryptographic locks, introducing randomness into transaction behavior, and using elliptic curve cryptography for secure key management across phases like commitment, payment, and refund transactions.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If traditional blockchain transaction methods are used, then transaction processing is simple and direct, but user anonymity is compromised due to de-anonymization attacks linking public keys to real identities
Solution Approach 1:
The patent segments the transaction structure into multiple outputs (first output and second output) with different locking scripts. The first output contains a first public key lock requiring a first private key, while the second output contains a second public key lock requiring a second private key. This segmentation allows the user to control which output is spent based on the secret received, thereby maintaining anonymity by preventing linkage between the transaction and the user's identity.
Solution Approach 2:
The patent implements preliminary action by creating multiple transaction outputs with different locking scripts before the actual payment is made. The transaction includes both a first output locked by a first public key and a second output locked by a second public key, along with corresponding change outputs. This preliminary structuring enables the user to selectively spend from either output based on the secret received, enhancing anonymity before the transaction is finalized on the blockchain.
2Reliability
If multiple transaction outputs with different locking scripts are used to enhance anonymity, then user privacy is protected, but transaction validation and processing become more complex
Solution Approach 1:
The patent applies self-service by enabling the user to automatically determine which output to spend based on the secret received from the payment processor. The user's wallet software autonomously selects between the first and second outputs by checking which locking script corresponds to the received secret, eliminating the need for manual intervention or complex external validation processes. This self-service mechanism simplifies operation while maintaining privacy.
Solution Approach 2:
The patent utilizes parameter changes by dynamically selecting which transaction output to spend based on the secret received. The locking scripts in the first and second outputs have different cryptographic parameters (different public keys and corresponding private keys), allowing the system to change the active transaction parameter depending on which secret is received. This parameter switching enables flexible, privacy-preserving transaction processing without requiring complex external validation.
Data Source
AI summary
There may be provided a blockchain-implemented security method. It may be implemented using a blockchain network. Embodiments of the blockchain-implemented security method involve a first party and a second party. The blockchain-implemented security method generates a plurality of n cryptographic locks based on combinations of encrypted versions of a first plurality of n secrets generated by the first party and encrypted versions of a second plurality of n secrets generated by the second party. One secret belonging to the first plurality of n secrets generated by the first party is randomly selected. And a cryptographic key that unlocks a particular cryptographic lock of the plurality of n cryptographic locks is generated, wherein the particular cryptographic lock corresponds to the randomly selected one secret belonging to the first plurality of n secrets generated by the first party.