Blockchain Transaction Validation via Homomorphic Encryption

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Solution Overview

Problem

Existing blockchain transaction verification methods require user interaction and reveal transaction amounts or account balances, compromising privacy and increasing the risk of data leakage.

Innovation Solution

Implementing computer-implemented methods using commitment schemes and homomorphic encryption to validate blockchain transactions without revealing transaction amounts, account balances, or random numbers, allowing for privacy-protected verification and zero-knowledge proof validation by blockchain nodes.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Reliability

If traditional blockchain transaction verification methods are used, then transaction validation can be performed, but user privacy is compromised and transaction amounts or account balances are revealed

Engineering Contradiction:
Improvetransaction validationVSAvoidprivacy
Core Design Contradiction:
ReliabilityVSLoss of information

Solution Approach 1:

The patent introduces commitment schemes as an intermediary mechanism between the transaction parties and the blockchain network. The commitment scheme allows users to commit to transaction amounts without revealing them, using cryptographic commitments that can be verified later without exposing the actual values. This mediator enables validation while preserving privacy.

Inventive Principle:
Principle #24Intermediary (Mediator)

Solution Approach 2:

The patent replaces traditional cryptographic verification mechanisms with homomorphic encryption-based verification. Instead of requiring decryption and direct comparison of transaction amounts, the system uses homomorphic properties to perform computations on encrypted data, substituting the mechanical verification process with a cryptographic transformation that preserves privacy.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

2Measurement precision

If transaction amounts and account balances are revealed for verification, then validation accuracy is improved, but data leakage risk increases

Engineering Contradiction:
Improvevalidation accuracyVSAvoiddata leakage risk
Core Design Contradiction:
Measurement precisionVSObject-affected harmful factors

Solution Approach 1:

The patent substitutes traditional verification mechanics that require plaintext exposure with homomorphic encryption operations. The verification process operates on ciphertexts directly, using homomorphic properties to validate transactions without decrypting or exposing the actual transaction amounts and account balances, thereby eliminating data leakage risk while maintaining validation accuracy.

Inventive Principle:
Principle #28Mechanics substitution (Replace mechanical system)

Solution Approach 2:

Homomorphic encryption acts as an intermediary layer between the transaction data and the verification process. This intermediary enables the verification system to work with encrypted representations of transaction amounts and balances, performing validation operations without direct access to the plaintext values, thus preventing data leakage while ensuring validation accuracy.

Inventive Principle:
Principle #24Intermediary (Mediator)

3Reliability

If interactive verification methods are used, then transaction validation can be performed, but computing resources are increased due to user interaction requirements

Engineering Contradiction:
Improvetransaction validationVSAvoidcomputing resources
Core Design Contradiction:
ReliabilityVSUse of energy by moving object

Solution Approach 1:

The patent implements preliminary action by requiring users to generate cryptographic commitments and proofs before submitting transactions to the blockchain. These pre-computed proofs contain all necessary validation information in encrypted form, allowing blockchain nodes to verify transactions without requiring interactive communication or additional computational exchanges between users and validators, thereby reducing overall computing resource consumption.

Inventive Principle:
Principle #10Preliminary action

Data Source

PatentEP3545483B1Blockchain data protection using homomorphic encryption
Publication Date: 2021.04.28 ADVANCED NEW TECHNOLOGIES CO LTD
  • EP3545483B1 patent drawingFigure 1
  • EP3545483B1 patent drawingFigure 2
  • EP3545483B1 patent drawingFigure 3

AI summary

Implementations of the present disclosure include receiving, from a first account, a digitally signed copy of a commitment value of a first amount of a transaction amount generated based on a first random number, the first amount of the balance transfer and the first random number encrypted using a public key of the first account, a second amount of the balance transfer and a second random number encrypted using a public key of the second account, and a set of values generated based on one or more selected random numbers. The first account determines if the first amount and the second amount are the same and if the first random number and the second random number are the same based on the set of values, and updates the balance of the first account and a balance of the second account based on the first amount of the balance transfer.