Damus
Tim Bouma profile picture
Tim Bouma
@Tim Bouma
An infographic of the Silent Payments flow (thanks, Codex!).

With Silent Payments, you get two additional properties:

1. Verifiability - you can independently verify that the Silent Payment address belongs to an npub (or NIP-05 address from a trusted provider)

2. Deniability - only the npub owner (having the nsec) knows how to scan and identify transactions intended for sweeping/spending.

Of course, this does not solve all the privacy issues related to downstream spending, but there is no way to implicate the npub or the sender of the funds. This is crucially important in high risk situations where the donor might be as at risk as the receiver.

I have working code for all of this and am now testing various wallet implementations. More to come!

#silentpayments

74โค๏ธ8๐Ÿงก2๐Ÿ’œ1๐Ÿ”ฅ1๐Ÿค™1
silentius-satoshi · 1w
Hey Tim โ€” I've been working on a NIP draft for private on-chain zaps using Silent Payments and your OpenETR work is directly relevant. Quick technical question before I open the PR: your diagram shows BIP32 derivation for nostr-sp/scan and nostr-sp/spend โ€” is that what your code actually uses,...
. · 1w
Can you help me understand something? If alice sends to bobs silent payment... Can alice track the utxo when Bob spends it to bc1xxx ? Does Bob only gain doubt that his spend was not to an address he controls? I thought silent payments were supposed to hide the actual recieve address derived?