Anonymity Analysis of Bitcoin

E-cash Proposals

  • Centralized Payment System

    Blind Signatures for Untraceable Payments
    David Chaum, CRYPTO 1982
  • Decentralized Payment System

    Bitcoin: A peer-to-peer electronic cash system.
    Nakamoto Satoshi, 2008

Properties Required for ECash System

  • Double Spending Prevention
  • Non-Repudiation of Transactions
  • Anonymity and Anonymity Revocation
  • Transferability
  • Divisibility and fungibility
  • Scalability
  • Hardware Independence

Anonymity Definition

  • Pseudonymity

    Public keys must not reveal real identities.
    Transactions must not reveal real identities.
  • Unlinkability

    It is not possible to link different pseudonyms of a real identities.

Anonymity = Pseudonymity + Unlinkability

2012 Bitter to Better - How to Make Bitcoin a Better Currency
2013 Analysis of Anonymity in the Bitcoin System. A fistful of bitcoins: characterizing payments among men with no names. Quantitative Analysis of the Full Bitcoin Transaction Graph. CoinJoin
Zerocoin: Anonymous Distributed E-Cash from Bitcoin. Pinocchio coin: building zerocoin from a succinct pairing-based proof system.
2014 An Analysis of Anonymity in Bitcoin Using P2P Network Traffic. Deanonymisation of Clients in Bitcoin P2P Network. Mixcoin: Anonymity for Bitcoin with Accountable Mixes. Xim: Sybil-resistant mixing for bitcoin. CoinShuffle: Practical Decentralized Coin Mixing for Bitcoin. Zerocash: Decentralized Anonymous Payments from Bitcoin.
2015 Bitcoin over Tor isn't a good idea. CoinParty: Secure Multi-Party Mixing of Bitcoins. Privacy-Enhancing Overlays in Bitcoin.