What's your take on the Ethereum Zcash privacy add-on?
https://www.reddit.com/r/ethtrader/comments/4wamhp/raiden_network_proof_of_concept_is_now_live_huge/?st=iripkdqx&sh=7e92a376
https://github.com/raiden-network/raiden/wiki/Raiden-PoC
http://raiden.network/ wow
Payment-Channel Network for Ethereum
Raiden is a technology that leverages off-chain state networks to extend Ethereum with some nice properties for asset transfers:
Scalable: it scales linearly with the number of participants (1,000,000+ transfers per second possible)
Fast: Transfers are confirmed and final within the fraction of a second
Confidential: Single transfers don’t show up in the global shared ledger
Interoperable: Works with any token that follows Ethereum’s standardized token API
Low Fees: Transaction fees can be 7 orders of magnitude lower than on the blockchain
Micro-payments: Low transaction fees allow to efficiently transfer tiny values
The technology enabling this is similar to the proposed Bitcoin Lightning Network.
The basic idea is to switch from a model where all transactions hit the shared ledger on the blockchain (which is the bottleneck) to a model where users can privately exchange messages which sign the transfer of value.
Raiden uses a network of p2p payment channels and deposits in Ethereum to preserve the guarantees expected from a blockchain system.
Raiden is implemented as an extension to Ethereum. A Raiden node runs alongside an Ethereum node and communicates with other Raiden nodes to facilitate transfers and with the Ethereum blockchain to manage deposits. It offers a simple API which makes it easy to use Raiden in DApps.
Applications
Micropayments for content distribution: Alternative to Paywalls, Ads and Subscriptions. (Figure a decentralized youtube where the creators of a video are paid for every second watched)
Decentralized M2M markets: especially in IoT where tiny chunks of bandwidth, storage, cpu time, energy, sensor data, etc. can be traded.
Frictionless Token Systems: Game Tokens, Reward Tokens, Private Currencies
API Access: Accessing and monetizing APIs on a per use basis is at the core of the upcoming Machine-to-Machine economy
Fast Decentralized Exchanges
Vitalik Buterin: “State channels are an important technology that has the potential to greatly improve the scalability and privacy of many categories of blockchain applications; in conjunction with sharding and other privacy-preserving cryptographic technologies, they are an important ingredient in helping decentralized systems to achieve the properties that mainstream individual and institutional users expect and deserve.”
Raiden, Hawk and Zksnarks will become essential requirements for any crypto that intends to be used by big mainstream business and IOT ( which is the biggest use case for ETH imo ) https://github.com/raiden-network/raiden/wiki/Raiden-PoC
http://raiden.network/ wow
Payment-Channel Network for Ethereum
Raiden is a technology that leverages off-chain state networks to extend Ethereum with some nice properties for asset transfers:
Scalable: it scales linearly with the number of participants (1,000,000+ transfers per second possible)
Fast: Transfers are confirmed and final within the fraction of a second
Confidential: Single transfers don’t show up in the global shared ledger
Interoperable: Works with any token that follows Ethereum’s standardized token API
Low Fees: Transaction fees can be 7 orders of magnitude lower than on the blockchain
Micro-payments: Low transaction fees allow to efficiently transfer tiny values
The technology enabling this is similar to the proposed Bitcoin Lightning Network.
The basic idea is to switch from a model where all transactions hit the shared ledger on the blockchain (which is the bottleneck) to a model where users can privately exchange messages which sign the transfer of value.
Raiden uses a network of p2p payment channels and deposits in Ethereum to preserve the guarantees expected from a blockchain system.
Raiden is implemented as an extension to Ethereum. A Raiden node runs alongside an Ethereum node and communicates with other Raiden nodes to facilitate transfers and with the Ethereum blockchain to manage deposits. It offers a simple API which makes it easy to use Raiden in DApps.
Applications
Micropayments for content distribution: Alternative to Paywalls, Ads and Subscriptions. (Figure a decentralized youtube where the creators of a video are paid for every second watched)
Decentralized M2M markets: especially in IoT where tiny chunks of bandwidth, storage, cpu time, energy, sensor data, etc. can be traded.
Frictionless Token Systems: Game Tokens, Reward Tokens, Private Currencies
API Access: Accessing and monetizing APIs on a per use basis is at the core of the upcoming Machine-to-Machine economy
Fast Decentralized Exchanges
Vitalik Buterin: “State channels are an important technology that has the potential to greatly improve the scalability and privacy of many categories of blockchain applications; in conjunction with sharding and other privacy-preserving cryptographic technologies, they are an important ingredient in helping decentralized systems to achieve the properties that mainstream individual and institutional users expect and deserve.”
Im sure pos also allows for Scalability and many more extra features that are not possible on pow.
Hawk and ZKsnarks are just two of many...
Cryptographic mixers - essentially, the ZK-SNARK verification enforces the rule that if you put one coin in you can take one coin and only one coin out, but the input-output mapping is completely hidden.
Hawk - essentially, smart contracts with encrypted state, where the full power of the blockchain is still used to verify that state transitions are correct because anyone updating the state needs to include a ZK-SNARK proving that the change from the old encrypted state to the new encrypted state is a valid state transition (proving all of this without revealing what the decrypted old or new states, or the decrypted transaction data, is!).
https://www.reddit.com/r/ethereum/comments/4v2ug3/zksnarks_zero_knowledge_proofs_now_possible_via/
Hawk: The Blockchain Model of Cryptography and
Privacy-Preserving Smart Contracts
https://eprint.iacr.org/2015/675.pdf
Hawk and ZKsnarks are just two of many...
Cryptographic mixers - essentially, the ZK-SNARK verification enforces the rule that if you put one coin in you can take one coin and only one coin out, but the input-output mapping is completely hidden.
Hawk - essentially, smart contracts with encrypted state, where the full power of the blockchain is still used to verify that state transitions are correct because anyone updating the state needs to include a ZK-SNARK proving that the change from the old encrypted state to the new encrypted state is a valid state transition (proving all of this without revealing what the decrypted old or new states, or the decrypted transaction data, is!).
https://www.reddit.com/r/ethereum/comments/4v2ug3/zksnarks_zero_knowledge_proofs_now_possible_via/
Hawk: The Blockchain Model of Cryptography and
Privacy-Preserving Smart Contracts
https://eprint.iacr.org/2015/675.pdf
