- Nik Bougalis, the head of Ripple’s C++ team, says tag blinding is the solution to more privacy for the XRP ledger.
- Writing in a blog, he explains that the ledger uses both sauce and destination tags when it comes to transactions.
A software engineer and cryptographer at ripple has just recently published a proposed method of insuring more privacy in transactions for the XRP ledger.
Nik Bougalis, the head of Ripple’s C++ team, says that tag blinding is the solution to this issue. Writing in a recent blog post, he explains that the ledger uses both sauce and destination tags when it comes to transactions. Essentially, this means that when a transaction is initiated, the account doing this uses a source tag that transfers the information and data in regards to the origin of the transaction. From here, the destination tag and describes where the transaction is meant to end up.
The engineer further explains that even though these destination tags have more than 4 billion potential combinations, there is still a massive risk when it comes to privacy. He further says that a way to avoid this would be the aforementioned tag blinding. It would mean crypto platforms can assign several new tags as often as they want in order to reduce the possibility of correlation to addresses or users.
“A blinded tag is mutated in such a way that it is meaningful only to the sender and the recipient of a transaction, but appears random to everyone else.”
This or can potentially pose a question of transparency when it comes to cryptocurrency transactions. Even though privacy will be increased, many decentralised blockchains are an open book.