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tidying ac, mixer
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glasgowm148 committed Oct 23, 2023
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13 changes: 3 additions & 10 deletions docs/eco/auction-coin.md
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# Whitepaper (to be merged with below)
# Auction Coin: A Decentralized Token Issuance Model on Ergo Blockchain

Auction Coin is a decentralized token distribution protocol designed for fairness and trustlessness in the open market. It autonomously manages price discovery and offers several advantages:

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- **Emission Schedule:** Every 4 days, 10 batches of declining price auctions with a total of 1k AuctionCoins will start and last for 3 days, resulting in a one-year emission schedule.

The protocol offers a novel approach to decentralized token distribution and financial interactions on the Ergo blockchain.

[More Details](https://www.ergoforum.org/t/auction-coin-auction-based-emission-and-degen-finance-autonomous-machine/4287)


# Auction Coin: A Decentralized Token Issuance Model on Ergo Blockchain

Auction Coin (AC) introduces a pioneering approach to token issuance that operates autonomously and decentralizes the process within the Ergo blockchain ecosystem. Powered by smart contracts, Auction Coin transforms digital assets into a dynamic commodity, resembling digital gold. This innovative concept not only facilitates asset issuance but also creates an intriguing game-theoretic environment, ushering in a unique form of decentralized finance, often referred to as "DegFi."
The protocol offers a novel approach to decentralized token distribution and financial interactions on the Ergo blockchain. You can try it out at [auctioncoin.app](auctioncoin.app).

You can try it out at [auctioncoin.app](auctioncoin.app).
Join the discussion on [Telegram](https://t.me/auction_coin) or [Discord](https://discord.gg/ergo-platform-668903786361651200)

## How Auction Coin Functions

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- [GitHub](https://github.com/ergoMixer/)


## *Covert* Addresses
## Covert and Stealth Addresses

You can configure a covert address in ErgoMixer; this is handy for displaying an address publicly to receive funds. You can set this address to automatically mix and withdraw your erg (or sigUSD if you prefer).
ErgoMixer provides two methods to enhance privacy during transactions: Covert Addresses and Stealth Addresses. Both prevent the linking of transactions to a user's public address, providing a layer of anonymity that's not typically present in standard blockchain transactions.

## *Stealth* Addresses
### Covert Addresses

A tool to hide recipient privacy.
Covert addresses allow a user to provide a public-facing address that is not directly linked to their wallet's actual address. This is akin to using a pseudonym that forwards to your real name, protecting your identity. This is particularly useful in scenarios where a user, such as a shop owner, wants to receive payments without exposing their actual wallet address to every customer. This helps in preventing tracking of transactions linked to their personal wallet. Typically, this might involve the creation of a new address that forwards to the user's actual address, keeping the real address out of public view.

A stealth address preserves recipient privacy without per-transaction interaction needed (so the receiver publishes an address, e.g. on its website, and then the sender can obtain some unique one-time address from it.
### Stealth Addresses

As a receiver, create and manage your Stealth Addresses in ErgoMixer.
Stealth addresses take user privacy a step further. They involve the creation of a unique, one-time address for each transaction, even if these transactions are between the same parties. This is ideal for situations where users need to publicly display an address (like on a website) and receive numerous transactions. Since each transaction uses a unique address, it's nearly impossible to link them to each other or to the original published address. The operation is based on a non-interactive cryptographic procedure. The recipient publishes a public key, and the sender uses this in conjunction with their own keys to generate the one-time address. The recipient can recognize and spend funds sent to this one-time address using their private key. In Ergo's context, this involves a Diffie-Hellman key exchange, which is a method of securely exchanging cryptographic keys over a public channel.

Stealth addresses are not payable directly. If you are a sender, use this tool to create a Stealth Payment Address and use this address as a regular address.

https://ergomixer.github.io/stealth/


Our latest ERGOHACK saw not one but two separate teams working on the stealth address concept introduced in [this forum post](https://www.ergoforum.org/t/stealth-address-contract/255)

Some [draft contracts](https://www.ergoforum.org/t/stealth-address-contract/255) are available.

`@aragogi` - [Stealth Scanner project + customized version of mixer in this repo](https://github.com/aragogi/Stealth-doc)

`@_jd_` - [adds addSignWithDhtData so user can sign a transaction w/ single dht tuple](https://github.com/ergoplatform/ergo-playgrounds/pull/24)

## Covert vs Stealth Addresses

Both covert addresses and stealth addresses are cryptographic methods used in the realm of digital currencies to enhance privacy during transactions. They prevent the linking of transactions to a user's public address, providing a layer of anonymity that's not typically present in standard blockchain transactions. Here's how they differ:

Covert Addresses:

1. **Function**: Covert addresses allow a user to provide a public-facing address that is not directly linked to their wallet's actual address. This is akin to using a pseudonym that forwards to your real name, protecting your identity.
2. **Use Case**: In scenarios where a user, such as a shop owner, wants to receive payments without exposing their actual wallet address to every customer. This helps in preventing tracking of transactions linked to their personal wallet.
3. **Operation**: Typically, this might involve the creation of a new address that forwards to the user's actual address, keeping the real address out of public view.

Stealth Addresses:

1. **Function**: Stealth addresses take user privacy a step further. They involve the creation of a unique, one-time address for each transaction, even if these transactions are between the same parties.
2. **Use Case**: Ideal for situations where users need to publicly display an address (like on a website) and receive numerous transactions. Since each transaction uses a unique address, it's nearly impossible to link them to each other or to the original published address.
3. **Operation**: Based on a non-interactive cryptographic procedure. The recipient publishes a public key, and the sender uses this in conjunction with their own keys to generate the one-time address. The recipient can recognize and spend funds sent to this one-time address using their private key. In Ergo's context, this involves a Diffie-Hellman key exchange, which is a method of securely exchanging cryptographic keys over a public channel.
In summary, while both covert addresses and stealth addresses serve the purpose of enhancing transactional privacy, stealth addresses provide a higher level of privacy due to their per-transaction uniqueness, making transaction tracking significantly more difficult.

The "Ergo magic" mentioned is a workaround specific to the Ergo platform, which doesn't natively support custom generators in its ProveDLog (Prove Discrete Logarithm) function, an essential part of the cryptographic process in creating stealth addresses. The proveDHTuple is a more advanced cryptographic function that allows for this process to happen despite the platform's limitations.
You can configure both covert and stealth addresses in ErgoMixer. For stealth addresses, use this tool to create a Stealth Payment Address and use this address as a regular address: https://ergomixer.github.io/stealth/

In summary, while both covert addresses and stealth addresses serve the purpose of enhancing transactional privacy, stealth addresses provide a higher level of privacy due to their per-transaction uniqueness, making transaction tracking significantly more difficult.

## Tor support

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