To increase privacy, each person could create as many public addresses as they like, making it difficult to link transactions to the same person. If additional privacy were required, it is possible to launder coins through a trusted third party, where the input coins are mixed in a large pool and output to a new address.
Regardless of the best precautions, by data mining of the block chain, it becomes possible in certain cases to link a set of public addresses to a specific unnamed individual.
For example, this could be done by the analysis of spending habits, or by having the change of a transaction from one public address being sent to another. Furthermore, by utilizing information external to the block chain, such as public addresses posted on a web site, or the postal address used with an internet purchase, the possibility exists that every single transaction of a given person could be determined.
The Zerocoin  extension to bitcoin would have functioned like a money laundering pool, temporarily pooling bitcoins together in exchange for a temporary currency called Zerocoins. While the laundering pool is an established concept already utilized by several currency laundering services, Zerocoin would have implemented this at the protocol level, eliminatating any reliance on trusted third parties. It anonymizes the exchanges to and from the pool using cryptographic principles, and as a proposed extension to the Bitcoin protocol, it would have recorded the transactions within the existing block chain.
The anonymity afforded by Zerocoin is the result of cryptographic operations involved with separate zerocoin mint and spend transactions. The coin C is added to a cryptographic accumulator by miners, and at the same time, the amount of the base currency equal in value to the denomination of the zerocoin is added to a zerocoin escrow pool. To redeem the zerocoin for the base currency, the owner of the coin needs to prove two things by way of a zero-knowledge proof.
A zero-knowledge proof is a method by which one party can prove to another that a given statement is true, without conveying any additional information apart from the fact that the statement is indeed true. The first is that they know a coin C that belongs to the set of all other minted zerocoins C1 , C2 , Cn , without revealing which coin it is. The second is that the person knows a number r , that along with the serial number S corresponds to a zerocoin. The proof and serial number S are posted as a zerocoin spend transaction, where miners verify the proof and that the serial number S has not been spent previously.
After verification, the transaction is posted to the blockchain, and the amount of the base currency equal to the zerocoin denomination is transferred from the zerocoin escrow pool. Anonymity in the transaction is assured because the minted coin C is not linked to the serial number S used to redeem the coin. One criticism of Zerocoin is the added computation time required by the process, which would need to have been performed primarily by miners. If the proofs were posted to the block chain, this would also dramatically increase the size of the block chain.
Recognizing that Bitcoin was unlikely to be implement Zerocoin, the authors of Zerocoin expressed hope that other cryptocurrencies would incorporate Zerocoin anonymity features. Jump to: navigation , search.
CoinDesk CoinDesk Ltd. Foundation Member. Apr 9, 8, 6, 1, DarkSend is coming along well and this is a great feature for this project and also for using crypto currency more safely in the future. I was intending to start a 'Tor Enclave' project for Anoncoin, however I'm a fan of CPU coins and some 'default' features of DarkCoin actually make it more suited to network connectivity when using Tor.
So, I have set-up 2 DarkCoin nodes which are running as dual stack i. Here is the darkcoin.
ANONCoin (ANON) Mining Calculator & Information
Note that the Tor Browser Bundle uses Socks 5 port instead of Please note that these settings are advised for DarkCoin connectivity, although potentially enforce making single hop connections via Tor when browsing, which can actually lower your anonymity when using Tor for browsing, although making Tor very fast.
If ExcludeSingleHopRelays is set to 0, these relays will be included. Note that these relays might be at higher risk of being seized or observed, so they are not normally included.
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Also note that relatively few clients turn off this option, so using these relays might make your client stand out. Circuits for streams that use these ports will contain only high-uptime nodes, to reduce the chance that a node will go down before the stream is finished.
Note that the list is also honored for circuits both client and service side involving hidden services whose virtual port is in this list. Default: 21, 22, , , , , , , , , , " " EnforceDistinctSubnets 0 1 If 1, Tor will not put two servers whose IP addresses are "too close" on the same circuit.
If set to 1, clients can use this server as an exit even if it is the only hop in the circuit. Note that most clients will refuse to use servers that set this option, since most clients have ExcludeSingleHopRelays set. DiCE New Member.
Semi-clued up article about Darkcoin in Wired | Overclockers UK Forums
Nov 23, 8 1 3. Very cool! A step in the right direction IMO. Feb 20, 36 53 58 Atlantis. Not sure wether this works for the masternode setup. If someone gives me DRK i can try xD.
Reactions: tungfa. Mar 28, 2, 1, 1, Unimatrix Zero One. Tried the nodes in the OP, but they do not work, tungfa - I guess this needs some more work. And I think Masternodes are communicating via ipv4 only, so I guess this is not possible yet.
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But worth a try. I am happy we have the discussion going. Apr 22, 3 0 1