Paper 2024/246

OCash: Fully Anonymous Payments between Blockchain Light Clients

Abstract

We study blockchain-based provably anonymous payment systems between light clients. Such clients interact with the blockchain through full nodes, which can see what the light clients read and write. The goal of our work is to enable light clients to perform anonymous payments, while maintaining privacy even against the full nodes through which they interact with the blockchain. We formalize the problem in the UC model and present a provably secure solution. We show that a variation of tree ORAM gives obliviousness even when an adversary can follow how its own data elements move in the tree. We use this for anonymity via shuffling of payments on the blockchain, while at the same time allowing the light client to know a few positions among which to find its payment without knowing the current state of the blockchain. In comparison to existing works, we are the first ones that simultaneously provide strong anonymity guarantees, provable security, and anonymity with respect to full nodes. Along the way, we make several contributions that may be of independent interest. We define and construct anonymous-coin friendly encryption schemes and show how they can be used within anonymous payment systems. We define and construct efficient compressible randomness beacons, which produce unpredictable values in regular intervals and allow for storing all published values in a short digest.