Bitcoindark

[pumpingiron22]

Recently, BitcoinDark, an anonymity focused crypto-currency, blasted its way into headlines as its Teleport technology is nearing completion. The “teleporting” technology works by sending coins that are moved off the blockchain but are still verified by the blockchain, creating a untraceable transaction. According to coinmarketcap.com, BitcoinDark valued has shot up to $5.92 with the news. Perhaps even more impressive, is that it has the 10thbiggest market capitalization. Its $ 7,010,464 market capitalization is gaining on a famous anonymity focused crypto-currency, Darkcoin.

BitcoinDark’s head developer, jl777 describe the teleport in greater depth by issuing this statement about it: “Anonymous teleporting of funds occurs off the blockchain but is verified using the blockchain [...] [The system] transmits funds via telepods by transporters. All information needed to spend funds is included in the telepod and sent via the encrypted network to the destination – the telepods are then cloned and passed around to ensure that commerce can be conducted in private.”

The Teleport technology is a step beyond the simple mixing that has been the focus of crypto-currencies like Darkcoin or Bitcoin. BitcoinDark is hoping to help other altcoins implement the teleport technology into their coins when it is released. Similar to mixing schemes, the anonymity is equal to the seize of the network. With a small network using the technology, transactions would still be able to be de-anonymized easily. Altcoins are much smaller than Bitcoin and that is why BitcoinDark hopes to combine the networks of various altcoins to provide a sufficient size for the technology.

“I want to openly reach out to other coins to join BTCD revolution. I am making libjl777 that can be integrated into any coin in a few days and this will allow the creation of a super network that will dramatically increase privacy levels, not to mention InstantDEX trading volumes and revenue sharing that will be earned by these other coins. BTCD will help other coins teleport for a minimal fee and it is quite possible that with the revenue sharing that they would actually get paid for integrating into BTCD network!” – jl777

More About BitcoinDark

BitcoinDark is crypto-currency that will also work like a Distributed Autonomous Corporation (DAC). When InstantDex, BitcoinDark’s decentralized exchange, and the Teleport technology is released, BitcoinDark holders will receive a portion of the revenue gained from those services. BitcoinDark, unlike other altcoins, has a small coin supply of 22 million coins. 1.2 million Coins have been premined in order to support development and fund community bounties.

BitcoinDark has no miners. Instead of using a Proof Of Work (POW) system, like Bitcoin, BitcoinDark uses a Proof Of Stake (POS) system. Proof Of Stake secures the network by incentivizing people to run nodes, which is simply keeping their wallet online and connected to the network. Web clients are rewarded by getting BitcoinDark if they keep their client connected to the network for a certain period of time. The coins rewarded to these people are created by BitcoinDark. As a result of this, BitcoinDark has a 5% yearly inflation.

The Future Of BitcoinDark

BitcoinDark is working on a decentralized exchange to trade BitcoinDark. The project is called InstantDex and would be accessed through the BitcoinDark client. It hopes a decentralized exchange can avoid the fraudulent behavior of centralized exchanges and avoid regulations. PrivateBet is a decentralized betting platform that is being worked on by the developers of BitcoinDark. If successful, this could be a big boost for BitcoinDark as gambling was one of Bitcoin’s original killer apps, but faced problems due to government regulations.

BitcoinDark teamed up with Coinomat to make a anonymous debit card which will not require a name and is be issued by a undisclosed bank in Europe. The card will cost $40 for delivery and insurance. Online transactions will be free, but ATM withdraws will be charged a fee. It is has a monthly transaction volume of $10,000, but multiple cards can be ordered. The card is a great solution to the tricky prospect of turning BitcoinDark into fiat, anonymously.

BitcoinDark is traded on 6 exchanges – Crypto-trade, Poloniex, Cryptsy, Atomic-trade, Bittrex, and Beter. You can find an active community on its subreddit, official forums, and various other social media channels.
http://www.deepdotweb.com/2014/10/09/bitcoindark-developing-new-way-transact-anonymously/

 

[pumpingiron22]

BitcoinDark's Teleport Technology Aims to Make Cryptocurrencies Truly Untraceableby Diana Ngo @ 2014-09-13 04:40 PM


Innovative digital currency BitcoinDark aims to make transactions truly anonymous through their primary innovation, the Teleport technology, a system that can be implemented on any cryptocurrency to make untraceable trades.

BitcoinDark (BTCD) is a peer-to-peer proof-of-stake cryptocurrency. There are a total of 22 million units, but 1.2 million BTCDs have already been mined during the PoW phase, according to the press release. Every year, 5% of new coins are created from stalking. BTCD holders will earn revenue from Instant DEX (a near realtime decentralized exchange currently under development) and teleport fees. These incomes will be denominated in Bitcoin.

Not only BitcoinDark is in line with the original concept of Bitcoin of being a decentralized currency and a system payment, but the project as a whole also includes many other products making BitcoinDark encompass its big brother. Aside of building a cryptocurrency, BitcoinDark developers are creating a new technology in the digital currency world called the Teleport technology. The infrastructure, which is still under development, will enable any other cryptocurrency to become anonymous:

"Anonymous teleporting of funds occurs off the blockchain but is verified using the blockchain [...] [The system] transmits funds via telepods by transporters. All information needed to spend funds is included in the telepod and sent via the encrypted network to the destination – the telepods are then cloned and passed around to ensure that commerce can be conducted in private."
http://cointelegraph.com/news/112512/bitcoindarks-teleport-technology-aims-to-make-cryptocurrencies-truly-untraceable

 

[Millard]

Teleport technology that powers bitcoindark:

Teleport uses a completely different approach to anonymity. Like many of the best ideas, Teleport is elegant in its simplicity – it’s just that there are complex concepts to negotiate along the way. Instead of looking for a way to obscure the source of a transaction, Teleport considers the methods by which an attacker might find out who is sending a transaction and aims to avoid them altogether. To explain further:

Transaction linkage. With Bitcoin, every address can be linked to the one used before it, right back to the block from which it was mined. If you know the identity of the owner of one address or take an interest in the activity which a certain address displays, you can follow the transactions to and from it – and very likely eventually link that person with another known address. Teleport avoids this by using one-time addresses called telepods. If no address is used more than once, it’s impossible to link it to any other part of the network. In the original Bitcoin white paper, Satoshi Nakamoto recommends using new addresses for every transaction. Suffice to say that few people do so because it’s too much trouble. Teleport builds this into the system.

Timing attack. Perhaps you know that a given transaction was supposed to happen at a certain time. Because everything is on the blockchain, any transaction within the relevant time frame falls under suspicion. This can be used in conjunction with other methods to narrow down the list of transactions to analyse. Teleport introduces random delays and allows recipients to decide when to move the money they have been sent in a telepod, so a change might only show up on the blockchain much later.

Mantissa attack. If you send a distinctive amount of money – whether that’s a very large sum, or one with a characteristic mantissa (the numbers after the decimal point), then it’s extremely easy to spot on the blockchain and follow. A mantissa attack – a term coined in the Teleport DarkPaper – is particularly effective if you know someone is transferring a dollar equivalent of money, perhaps because they have posted the information in a forum or it has otherwise been intercepted. Knowing the exchange rate and the rough timing of the transfer allows a high degree of correlation with blockchain transactions that fit the right criteria. Teleport uses standard denomination telepods – units of 100, 50, 10, 5, 1 and so on – so that unusual amounts won’t raise any flags.

Whilst taking care of the above vulnerabilities should be sufficient for everyday privacy requirements, you do of course also need to guard against voluntarily disclosing personal information; a huge amount of data relevant to cryptocurrency addresses and transactions can be and is harvested from forums and other sources in a method known as fingerprinting. As an aside, if you have your crypto address in your signature, you might want to think again – at least, if you take anonymity seriously.

However, even having adopted good personal practice as regards securing your privacy online you could still be vulnerable to a well-resourced attacker correlating activity from your IP address to movements on the blockchain.

IP address detection. For those wanting a really robust solution suitable for hi-tech business (think industrial espionage) or resistant to intrusive government surveillance (China, US, UK…) it’s necessary to hide the fact that you are the one conducting a transaction at all. This is where the privacyServer comes into play. It’s the piece de resistance of Teleport, and it’s what makes it a platform capable of supporting so much more than just a simple cryptocurrency transaction.

Instead of submitting a transaction directly to the network, the privacyServer encrypts it multiple times and passes it through several other nodes (other privacyServers) first – a technique known as onion routing, used by other applications including the infamous TOR project. Not only that, but every transaction is also split into several pieces and sent to a number of different nodes, only some of which send it on to its final destination (and this is the simplified version!).

The result is that even if an attacker knows that you are part of the network, and even if they compromise one or even many nodes, it becomes incredibly difficult to link the user with the transaction that ultimately follows, given that it’s bouncing around many intermediaries and being pulled to pieces and reconstituted at the end. As a broad analogy, imagine printing a paper wallet for your bitcoins, photocopying it several times, shredding the copies, then sending multiple nested packets of the paper fragments to lots of different people, some of whom forward the contents on to others, some of whom forward those contents to the final recipient, who piece the shreds back together… ‘Impossible’ isn’t a word that should be used in these circumstances, because a determined attacker with unlimited resources can always find ways to cause you trouble, but it’s about the closest thing to complete anonymity available in the foreseeable future.

Source: http://nxter.org/a-closer-look-at-teleport/