Blockchain Transaction Partitioning for Privacy and Security
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Solution Overview
Problem
Public blockchain transactions lack adequate privacy and security, as they often reveal the identity of entities involved and are susceptible to impersonation and eavesdropping attacks due to the use of public addresses and keys.
Innovation Solution
The method involves partitioning digital asset transactions into an arbitrary number of transactions with randomly selected outputs, generating public addresses associated with entities for secure use in blockchain transactions, while maintaining anonymity, by determining possible integer partitions and selecting an arbitrary integer partition to split the digital asset value across multiple UTXOs on a public blockchain.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Reliability
If public addresses and keys are used for blockchain transactions, then transaction verification and network security are improved, but entity privacy and anonymity deteriorate
Solution Approach 1:
The patent segments a single transaction request into multiple child transactions, each with different output configurations. This segmentation allows the system to maintain public key verification while obscuring the relationship between the entity and the actual transaction outputs, thereby preserving privacy while ensuring transaction validity.
Solution Approach 2:
The patent introduces an intermediary mechanism where child transactions act as mediators between the entity's public key and the final UTXO outputs. The child transactions verify the entity's authorization without directly exposing the link between the entity and the ultimate destination of funds, thus maintaining both verification and privacy.
2Reliability
If public addresses are used for transactions, then network security and verification are improved, but susceptibility to impersonation and eavesdropping attacks increases
Solution Approach 1:
By segmenting the transaction into multiple child transactions with randomized outputs, the patent makes it difficult for attackers to predict or impersonate transaction patterns. Each child transaction appears independent and unrelated to the entity's actual intent, thereby reducing the effectiveness of eavesdropping and impersonation attacks while maintaining cryptographic verification.
3Loss of information
If transactions are partitioned into multiple child transactions with randomized outputs, then entity privacy and security are improved, but transaction structure complexity increases
Solution Approach 1:
The patent applies segmentation to break down a complex privacy-preserving transaction into manageable child transactions. Each child transaction has a simplified structure with standard inputs and outputs, but the collective set of child transactions achieves the privacy goal. This segmentation reduces the complexity burden on individual transaction components while maintaining overall privacy effectiveness.
Data Source
AI summary
In one aspect, the present disclosure proposes methods, devices and systems for partitioning a request associated with a digital asset into an arbitrary number of transactions. The partitioning is based on knowing or obtaining a maximum number of outputs allowed for a request and an arbitrarily selection of a possible integer partition of an arbitrarily selected integer. The randomly selected integer partition then forms the basis for determining the number of transactions and UTXOs, so that a digital asset value can be arbitrarily split across the determined UTXOs before being stored on a public blockchain. In another aspect, the present disclosure proposes methods, devices and systems for arbitrarily distributing a digital asset value associated with a request across an arbitrarily determined number of transactions. This is based on an arbitrarily selected number of transactions, and a maximum number of outputs allowed for each request. In another respect, the present disclosure proposes methods, devices and systems for generating or determining one or more public addresses associated with a given entity for use in blockchain transactions for the given entity, so that such addresses may be securely and correctly associated with the given entity, while maintaining anonymity of the entity's identity.