Ripple’s software engineer proposes to enhance privacy on XRP Ledger.
With the production and development is at the complete standstill all around the world in financial as well as technological sectors, many organisations with digital assets as their major product, continue to pursue their services around the world to build up their network. Recently, a Cryptographer and Software Engineer at Ripple Nik Bougalis made a proposal that XRP Ledger privacy feature should be improved. With his Github post he has explained how XRP Ledger supports the source and destination tags which enables one single account to control the funds for many number of users, those accounts are also called hosted wallets. While facilitating a transaction the source and destination tags are utilised. He also went on to explain that the objective behind the proposal is security. A hacker can isolate the transactions with the help of blinded tags. The proposal is to provide security so the hackers cannot isolate the transactions.
The GitHub post further explained that if the users wants to receive the transaction with blinded tags then the account must need to opt into the feature set. It is also important to know that to enable transaction with blinded tags there will be no configuration changes required in the XRP ledger.
Further, the proposal also claims that the use of Elliptic Curve Logarthirm Integrated Encryption Scheme (ECIES) is very crucial. With the help of ECIES logarithm one can obtain a shared key between the sender and the receiver, from which the blinded tag factor can be derived. However, for the proposal to work, the Github post by Nik Bougalis emphasises on the fact that both sender and receiver needs to generate the same blinding factors.