We are proud to announce the creation of a new app on the EOSIO platform: eosBlender, deployed as a smart contract on the EOS and TELOS mainnets, is the first fully decentralized token mixer.
The service aims to make transactions safer and untraceable. It’s a service that mixes different streams of potentially identifiable EOSIO payments. This improves the anonymity of token transfers while contributing towards privacy over internet transactions.
How it works
The execution of private transfers is extremely easy:
1. The sender deposits a given amount of EOS or TLOS on the eosioblender smart contract and assigns the deposit to a specific receiver.
2. The receiver can then activate a claim action for the same amount and receive the corresponding transfer from the smart contract.
The sender’s payment gets mixed with that of other users in the eosioblender account while the transaction data is not publicly disclosed. In fact, the name of the receiver and amount of the transfer are temporarily recorded in form of cryptographic hash values. Only the smart contract can decrypt the transaction data when the receiver claims the funds.
The protocol eliminates the explicit link between the original transaction and the receiver address. At the same time, it maintains the same security properties of the EOSIO token transfers.
In practice, the service removes transaction’s traceability while inheriting all the other key features from the EOSIO blockchain protocol.
The same protocol can also be used on the mainnet to generate anonymous accounts that are not related to the payer of the resources which are required for the account creation.
Any payment from the smart contract requires the authorization from the intended receiver. This ensures that only the specified receiver can activate the claim action on a given transfer and that there is no way to maliciously divert the transferred amount towards other beneficiaries.
As an additional safety measure, any unclaimed transaction can always be returned to the initial sender through a refund/withdraw action available on the smart contract. This ensures that no amount can ever be lost while using the service.
The eosioblender smart contract is made temporarily immutable using the EOSIO-Lock technology. Hence, even the smart contract developer has no control on the deposited funds during the lockup period. This means that users do not have to trust the service provider and do not incur any risk of loosing their money.
Mixing depends on the number of community users that take advantage of this service. The more users on eosBlender, the more difficult will be to trace single transactions. In fact, the distribution of funds among numerous accounts makes it impossible to establish a link between a single sender and receiver.
In order to increase the user base, eosBlender will be free of charge for an initial ramp-up period. Moreover, we are planning to setup a reward scheme for early users.