State of the transaction privacy work in Bitcoin

[Kruw]

@craigraw

If you go to the trouble of creating a pseudonym, creating a second unlinkable static address is a trivial step.

The fact that generating a new address is trivial is one that undermines the argument for silent payments, not strengthens it. As I already said: The current status quo is that every transaction gets its own pseudonym.

@craigraw

That second static address can then privately receive an unlimited number of payments from any number of different entities. … I’m not sure why you claim this is only useful for receiving multiple payments from the same entity. This is untrue.

It is true, I already explained why this behavior is risky:

@Kruw

Worse, this leak occurs passively if Alice and Charlie both use the same custodian. The custodian is able to correlate payment relationships between Alice, Bob, and Charlie even if Alice and Charlie don’t know each other.