- Crypto / Web3
- BNB Chain
Transfer Funds anonymously on the Blockchain without reveiling your adddress
So, picture this: you’re in the world of blockchain, where transparency is the name of the game. But what if you could be like a digital ninja and keep your financial moves hiddem? That’s where Xcrypt draws inspiration from cool privacy champs like Monero and Tornado Cash. They’re like those fancy gadgets spies use, but they can be a bit pricey and complicated. But wait, here’s the twist – we’re making privacy simple and accessible for everyone, just like your favorite comfort food.
Speaking of twists, have you heard of Vitalik’s article about “Stealth Addresses”? It’s like finding the missing piece of the puzzle! Inspired by this ninja move, we’re crafting a tool that lets you go hidden while making transactions. And why opBNB and BNB, you ask? Well, it’s like the perfect partner in crime – fast and wallet-friendly transactions. And Xcrypt? It’s like your digital alter ego, keeping you anonymous while you make transactions. Cool, right?
Issue Addressed: Xcrypt addresses the pressing concern of inadequate privacy in blockchain transactions. While the blockchain guarantees transparency and immutability, it simultaneously exposes sensitive details of transactions, such as sender and recipient addresses. This lack of privacy imposes significant risks on both individuals and businesses, potentially connecting their financial actions to real-world identities.
Fundamental Privacy: Privacy holds a crucial role in financial transactions. Without a robust privacy layer, users remain vulnerable to an array of risks:
Identity Exposure: Open blockchain transactions create an avenue for observers to correlate transactions with specific people or entities. This jeopardizes financial privacy and exposes individuals to potential targeting or surveillance.
Financial Profiling: In-depth profiling of individuals and businesses becomes possible through the analysis of blockchain transactions. This includes identifying spending habits, income sources, and financial associations. Such data can be exploited for targeted ads, discrimination, or even extortion.
Security Gaps: Transparent blockchains, when repeatedly used for transactions, render users susceptible to hacking and phishing threats. Criminals can analyze transaction histories to discern patterns, monitor balances, and exploit security vulnerabilities.
Business Exposure: Transparent transactions inadvertently reveal confidential financial information of companies, like sales figures, supply chain connections, and partnerships. Competitors can leverage this intel to gain an edge, potentially undermining business competitiveness.
Regulatory Hurdles: Certain industries, such as healthcare and finance, mandate stringent privacy regulations. Transparent blockchain transactions could clash with these standards, resulting in legal complications or penalties for non-compliance.
Significance: Addressing this issue assumes paramount importance due to its direct impact on safeguarding financial confidentiality. Preserving the integrity of personal and corporate information from prying eyes is central. By introducing a user-centric solution that leverages stealth addresses for anonymous transactions, Xcrypt empowers users to regain control over their financial privacy and alleviate the potential pitfalls linked with identity exposure.
Enhanced Privacy: Xcrypt utilizes stealth addresses, allowing users to receive funds without revealing their real addresses. This provides a significant level of privacy for individuals and businesses, ensuring that their financial activities are shielded from prying eyes.
User-Friendly Solution: Xcrypt aims to be accessible and user-friendly for both power users and non-power users. The generation and usage of Xcrypt IDs and stealth addresses are designed to be simple and intuitive, enabling a wide range of users to adopt and utilize the solution without technical complexity.
Affordability and Speed: Xcrypt is built on the opBNB and BNB Blockchain, chosen for its fast and affordable transactions. By leveraging opBNB and BNB blockchain, Xcrypt offers users the benefits of privacy without sacrificing transaction speed or incurring high fees commonly associated with other privacy-focused solutions.
Bridge the Gap: Xcrypt fills the gap between expensive and complex privacy solutions, such as Monero, and non-private transfers on transparent blockchains. It provides an intermediate solution that offers a significant level of privacy without the need for specialized tools or high costs.
Wide Applicability: Xcrypt's privacy solution can be applied to various use cases. It can benefit individuals who want to keep their financial transactions private, businesses that need to protect their financial information, and anyone concerned about the risks associated with revealing their identity during transactions.
Market Differentiation: Xcrypt stands out in the market by offering a unique approach to privacy in blockchain transactions. While other solutions rely on heavy computations or complex methodologies, Xcrypt simplifies the process with stealth addresses and Xcrypt IDs, making it more accessible and user-friendly.
The Xcrypt solution implements stealth addresses on the opBNB and BNB Blockchain using a combination of cryptographic techniques to ensure transaction security and user privacy. Let’s break down the key steps and encryption methods involved:
Receiver, generates a root spending key (receiver private key) and computes a stealth meta-address (receiver public key or receiver’s address) using elliptic curve cryptography. This stealth meta-address (receiver’s address) becomes a publicly known identifier for the receiver on the blockchain.
The Sender, generates an ephemeral key (sender’s private key) which the sender keeps secret. This key is like a temporary secret code.
The Sender combines his ephemeral key (sender’s private key) with Receiver’s stealth meta-address (receivers public key) to create a shared secret (S). This shared secret is a private connection between Sender and Receiver.
Sender creates an ephemeral public key (senders public key) from his ephemeral key (senders private key) and publishes it on a public registry. This public key can be seen by anyone.
Sender sends funds to a stealth address, which is derived from the combination of his ephemeral key (senders private key) and Receiver’s meta-address (receivers public key).
Receiver scans the public registry for ephemeral public keys (senders public key) and tries to unlock special addresses (stealth addresses) using his spending key (receivers private key) and the shared secrets (S). If funds are found in an address, Receiver can access them.
The transaction details are recorded on the blockchain, but the connection between the recipient’s real address and the stealth address remains private. This adds a layer of privacy by making it difficult for external observers to link transactions to specific recipients. The cryptographic techniques used in this process include:
This is used to generate private and public keys, compute shared secrets, and create addresses. ECC provides a secure way to perform mathematical operations that ensure transaction security and privacy.
Hashing is used to derive addresses from public keys and shared secrets. Hash functions are one-way functions that add an extra layer of security to the process.
The public registry where ephemeral public keys are published allows participants (like Receiver) to scan and identify stealth addresses. This mechanism helps maintain privacy without revealing the actual recipient’s address.