Bitcoin could enhance your privacy if this protocol improvement proposal is approved


Bitcoin is a network whose transparency can sometimes work against you, so any suggestion to improve your privacy is welcome. This is as long as the solution does not put users at risk.

Andrew Zhao, Bitcoin developer and engineer at Blockstream, has presented a proposal to improve the Bitcoin Protocol, or BIP, for its English acronym. The said proposal includes changes to the performance of transaction descriptors in order to improve their level of privacy.

Bitcoin Transaction Descriptions It is a kind of script written in a programming language that dictates each of the steps it must fulfill.

Zhao explained his proposal through the Bitcoin developer mailing list, where he provides technical details of the procedure for implementing the change he is proposing. It is about allowing one descriptor to be used for both external and internal transactions. This refers to transactions from other Bitcoin addresses, on the one hand, and to the change or change received when the available balance is not fully spent, on the other.

Currently, according to BIP32, most wallets use separate methods for receiving transactions from other addresses and for changing. This is in order to maintain as much privacy as possible in Bitcoin. However, Chow presents a hypothetical scenario in which Bitcoin wallet external addresses are leaked, The attacker will have access to information about when and how much the wallet was received and spent.

Several developers gave Zhao feedback on his proposal and confirmed that wallets like Trezor and Sparrow are already ready to support a scheme like the one he is offering. According to developer Dmitry Petukhov, Bitcoin wallets currently use only external and internal paths; for this reason. Developing improvements designed for other types of methods will only lead to unnecessary complications of the proposal..

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