PARScoin: A Privacy-preserving, Auditable, and Regulation-friendly Stablecoin

Amirreza Sarencheh; Aggelos Kiayias; Markulf Kohlweiss

Paper 2023/1908

PARScoin: A Privacy-preserving, Auditable, and Regulation-friendly Stablecoin

Amirreza Sarencheh

, University of Edinburgh, IOG

Aggelos Kiayias

, University of Edinburgh, IOG

Markulf Kohlweiss, University of Edinburgh, IOG

Abstract

Stablecoins are digital assets designed to maintain a consistent value relative to a reference point, serving as a vital component in Blockchain, and Decentralized Finance (DeFi) ecosystem. Typical implementations of stablecoins via smart contracts come with important downsides such as a questionable level of privacy, potentially high fees, and lack of scalability. We put forth a new design, PARScoin, for a Privacy-preserving, Auditable, and Regulation-friendly Stablecoin that mitigates these issues while enabling high performance both in terms of speed of settlement and for scaling to large numbers of users. Our construction is blockchain-agnostic and is analyzed in the Universal Composition (UC) framework, offering a secure and modular approach for its integration into the broader blockchain ecosystem.

Metadata

Available format(s): PDF
Category: Applications
Publication info: Preprint.
Keywords: Stablecoin Privacy Regulation Auditing DeFi Cryptography Transaction fee Scalability Universal Composition.
Contact author(s): Amirreza Sarencheh @ ed ac uk
Aggelos Kiayias @ ed ac uk
Markulf Kohlweiss @ ed ac uk
History: 2023-12-15: approved; 2023-12-12: received; See all versions
Short URL: https://ia.cr/2023/1908
License: CC BY

BibTeX

@misc{cryptoeprint:2023/1908,
      author = {Amirreza Sarencheh and Aggelos Kiayias and Markulf Kohlweiss},
      title = {PARScoin: A Privacy-preserving, Auditable, and Regulation-friendly Stablecoin},
      howpublished = {Cryptology ePrint Archive, Paper 2023/1908},
      year = {2023},
      note = {\url{https://eprint.iacr.org/2023/1908}},
      url = {https://eprint.iacr.org/2023/1908}
}