Nostr Web Client

Some people think I am btc maxi. I am not a maxi yet.

When btc can be as private as cash via end-2-end encrypted transactions then I will be a maxi.

I support bitcoin the most because it’s the most decentralised, verifiable the blockchain, 21 million cap and it’s proof of work algorithm is a mind blowing genius solution.

But having your friends, family, employers or bad actors being able to see your entire financial history when they get access to your public address using chainanalysis software is very concerning to me.

I am big fan of any potential BIPs that could allow for end2end encrypted btc like BIP-300 drivechains or some kind of soft fork that would allow for Zero Knowledge or Validity roll ups on bitcoin.

Resource links for those interested to learn more:

https://layertwolabs.com/

https://bitcoinrollups.org/

If bitcoin never achieves true privacy then maybe there is reason for me to look into privacy coins just incase because I really don’t trust the state knowing my entire my financial history.

I’m no computer science expert so maybe it’s possible to have complete privacy with lightning but atm it seems like wishful thinking. Love to be educated or proven wrong.

Regardless always be thankful for bitcoin which has taken me where I am today.

cryptowolf 2y ago

Actually page 6 section 10 of the Bitcoin white paper does talk about Privacy:

"The traditional banking model achieves a level of privacy by limiting access to information to the

parties involved and the trusted third party. The necessity to announce all transactions publicly

precludes this method, but privacy can still be maintained by breaking the flow of information in

another place: by keeping public keys anonymous. The public can see that someone is sending

an amount to someone else, but without information linking the transaction to anyone. This is

similar to the level of information released by stock exchanges, where the time and size of

individual trades, the "tape", is made public, but without telling who the parties were."

The way I interpret this, if you always use your node to connect to the network, and you have not identified yourself during any transactions, then there is zero knowledge of your identity. Adding VPN and/or Tor to the mix is not even necessary if you only connect to your own node from your wallet.

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Discussion

Sovereign Matt 2y ago

But as soon as you do business with someone. That someone can reveal your public address?

cryptowolf 2y ago

1 wallet for Savings

1 wallet for transactions

only send full UTXOs in order to break blockchain heuristics

Here is a great article on the topic from my favourite wallet Sparrow Wallet: https://sparrowwallet.com/docs/spending-privately.html

Sovereign Matt 2y ago

This is kinda my point. This seems like a lot of work to figure out for the non tech savy person.

It should be as private and easy to use as cash imo.

I may be persuaded but atm i need to learn more about it.

Sovereign Matt 2y ago

Thanks for commenting with the links. Will do some reading.

cryptowolf 2y ago

no problem. only good intentions here and trying to promote my point that Bitcoin is private. its us who make it not private lol

Nostr is anonymous too, unless you paste your npub somewhere where its associated to your real identity or dont protect your ip address.

Sovereign Matt 2y ago

Yeh pseudo anonymous.

I am only an anon because I do not want to reveal my identity and btc bags to people I transact with.

Am sure some very nosey onchain analyst has worked out my stack already lol.

I would love to just be myself online. But I risk revealing my stack so I don’t.

cryptowolf 2y ago

Maybe. If you do everything by the book, even the nosey on-chain analysist cant figure out shit about you.

Saberhagen The Nameless 2y ago

Not trying to be contentious, but Bitcoin can't be private it's a public blockchain viewable by the world. Only psuedonymous (user unknown, actions known) if bought and transacting p2p/NoKYC.

You can coinjoin to make your actions probabilistic, but that is obfuscation, not privacy (all information is known, data is "muddied", but not hidden). Similar to leaking metadata. Can be saved and potentially used with future data to deanonymize the user or deobfuscate the data.

Sovereign Matt 2y ago

Yeh that’s what I thought. But you could have a Monero style trustless sidechain if btc would implement bip 300.

Saberhagen The Nameless 2y ago

Yes agree, it is possible, and if bip 300 goes thru I'm sure will happen. But it will have it's own unique trade offs that won't be the same as Monero's (both good and bad).

Sovereign Matt 2y ago

I am seeing lot of chat on twitter between btc core devs debating it. I think it’s in the realm of possibility that it gets pushed forward.

cryptowolf 2y ago

its one thing if the devs do it or not, a whole other thing if node operators follow or not. There could be a temporary chain split, and the stronger one will win out and be called Bitcoin.

cryptowolf 2y ago

Im sorry I used the wrong word. Private was the wrong word. Anonymous is what I should have wrote. Bitcoin is anonymous by default. It is us who de-anonymyze ourselves through our careless usage of the internet.