29 Apr '16, 6pm

Bitcoin's $137,000 Jackpot

Bitcoin's $137,000 Jackpot

The traditional way to do this in Bitcoin is to "tumble " [1] the money. This is where I mix the cash with some other people's tainted money to make tracing it difficult. You may have seen collection bags that go around churches, where you put a bill in your closed fist and stick your hand in the bag, so no one knows how much you put in or took out. Imagine that we come up with a (cryptographic) protocol where I donate some amount to the local church's collection bag, so do others (however much they desire), and after the bag has made it through the congregation, I stick my hand in again and take out exactly as much as I put in during the first round from the same collection bag. In essence, we swap our bills so as to throw off anyone who may have recorded the serial numbers and is watching the coins. That's, roughly speaking, what happens in tumblers, though the low-level...

Full article: http://hackingdistributed.com/2016/04/29/bitcoins-137k-ja...

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Bitcoin's $137k Jackpot

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