ethbox — AMA Summary
“Stay safe. Use ethbox.”
On Friday the 12th of February, the DuckDAO community had an AMA with the co-founders of Ethbox — Lukas Schiefer, Lukas Pratschner, and Paul Simode.
Ethbox provides a unique solution to a problem in cryptocurrency trading that is as devastating as it is widespread.
Accidentally sending funds to a mistyped or mistaken recipient address has already been the cause for hundreds of millions, if not billions, of financial damage.
Harnessing the cryptographically unbreakable safety of the underlying Ethereum blockchain, ethbox provides a smart contract based digital escrow service to completely alleviate any risk of loss while sending cryptocurrency.
Sending funds through ethbox disrupts the chain of transparently trackable blockchain transactions, thereby obfuscating their origin and destination.
- Website: https://www.ethbox.org/
- Telegram: https://twitter.com/ethbox_official
- Twitter: https://twitter.com/ethbox_official
Ethbox — Lukas Schiefer — Co-founder
Ethbox — Lukas Pratschner — Co-founder
Ethbox — Paul Simode — Co-founder
DuckDAO — Pep — DuckDAO community representative
Please note that the following summary has been edited for clarity.
Welcome everyone to another DuckDAO AMA.
We are joined today by Lukas Schiefer, Lukas Pratschner, and Paul Simode from EthBox
On behalf of the DuckDAO community, I’d like to welcome you to our channel 😀
We’re happy to be here, hello to you, all of DuckDAO & everyone watching! 😀
Can we start with an introduction for yourselves; what are your backgrounds/experiences both in the traditional space, and crypto space.
Hello guys, I will start right away. My name is Lukas Schiefer, I’m 31 years old and come from Austria. Lukas, Paul and I have known each other for ~ 15 years and since then we have been working together from time to time and using our skills together.
I studied renewable energies at the Technical University of Vienna (FH)
Wow 15 years…you guys practically grew up together 😊😊
Haha yeah totally, that brings an extra layer of trust and safety to ethbox, so to speak… 😀
Some of you may know me from different communities in the crypto space, where I was represented as a community manager or as an enthusiastic supporter of crypto and its long term potential. I have been involved in crypto since the beginning of 2017 and was immediately very interested in all the different areas in which blockchain is developing.
One of my first transactions at the time was a lost transaction, so I was fully aware of the full potential and thus the risk of a blockchain from the very beginning of my crypto journey
I am very pleased to be able to offer together with my team this product to crypto communities and offer a way for secure transactions.
Hello everyone from my side too, I’m very happy to be here with all of you. It’s actually an extraordinary pleasure to be here today, since I’ve been in Crypto since 2017 and as an enthusiastic investor and researcher. At that time I never thought that I would ever dive into this area that deep. Through regular, almost daily research, I was able to build up a good picture and understanding over the past few years. But the desire to help with your own hands and effectively expand Crypto and its wonderful community to the mainstream grew with every day. ethbox stands for this vision. And through security, simplicity and the will to stand up for the community — together with the community.
Far away from Crypto, I’ve been a chemist for more than 10 years, and I train apprentices in chemical process engineering and laboratory technology. Furthermore, I have been working in the field of quality management and environmental management for years. All of this at world-renowned companies in the chemical pharmacological field. Most recently for a large accredited company in the field of certification, auditing and inspection (Oil & Gas).
Hey all — I’m Paul, the technical one behind all of this… You could’ve probably guessed by now that I’M also 31 years old & based in Austria at the moment. 😀
Apart from being friends with Lukas & Lukas for half my life, what brought me here is my life-long interest in anything technical and scientific, be it computers, mechanical devices or classic stuff such as chemistry and physics. Everything I do, I approach with great curiosity and precision, as I find the magic of things lies in how they sparkle when you look closely.
I’ve been programming computers ever since I was a kid, mostly C/C++ and Assembly in a security-related context, and with Lukas & Lukas introducing me to crypto, I was instantly fascinated by the endless possibilities of creating a world that is fair and beneficial to everyone, using just your imagination, your fingers and a computer keyboard…
Yeah what great backgrounds and because of your history…the trust factor is awesome to build a partnership on.
Lets go ahead and start our questions that were posted from our community.
We’ll later open the chat for telegram users to post their questions.
First question: Quoting from your Lightpaper: “Sending funds through ethbox disrupts the chain of transparently trackable blockchain transactions, thereby obfuscating their origin and destination.”
As the crypto space is maturing and becoming more regulated, we have seen privacy coins such as monero, zcash and dash come under pressure from various governments to be delisted by exchanges to not fall foul of AML requirements.
How will you ensure that Ethbox adheres to AML rules and survives any regulatory scrutiny from obfuscating transactions?
There is some need for clarification regarding this subject. ethbox does not aim to be a full-privacy application (for now), and neither is this possible on the Ethereum blockchain without implementing off-chain mechanics.
The way ethbox provides obfuscation is as simple and straight-forward as the concept of ethbox itself: Instead of sending funds from A to B and leaving a permanent transaction log on the Ethereum blockchain that says “A sent X ETH to B”, funds are relayed through the ethbox smart contract. Transaction logs read “A sent X ETH to ethbox” and “ethbox sent X ETH to B”, without a direct connection between A and B.
For every transaction, the ethbox smart contract saves the addresses of sender & recipient (A & B). These can be retrieved programmatically, but this is not something commonly available to users, unlike transaction data on Etherscan etc.
We’re also going to implement an optional privacy feature for a minimal increase in service fee, for storing the addresses of sender & recipient (A & B) in the smart contract in an encrypted (hashed) form. This ensures that no one can read A & B from the ethbox smart contract.
Oh that will be a nice feature….anything that can help make users’ lives easier IMO.
Totally — And of course, being a project by the community for the community, we’re always open for any kind of suggestion & ideas that people have and can be beneficial for all of us! 😀
With the privacy feature enabled, the only way to reconstruct “A sent X ETH to B’’ is by analyzing all incoming and outgoing transactions of the ethbox smart contract. This is a very intricate task, and something that requires expert programming knowledge. Even then, with a growing number of ethbox users and thousands, hundreds of thousands or even millions of transactions being sent through ethbox every day, this becomes practically impossible. This is the same level of safety that major privacy-focussed projects offer.
That’s great….I’m sure the community will be invaluable because they’re the user group.
If only Vitalik would return my phone calls…half of my issues would be solved
(that was a joke…not a stalker) 😜
:D we can relate to that
(no stalkers too xD)
Ok Is there a mechanism that allows multiple users to pool funds together and allow fine granular control over how transactions are authorized? I would love a feature like this!
We’ve thought of something similar… But as an extension to the privacy feature mentioned before: Allowing users to deposit funds into one single ethbox transaction from multiple accounts, and / or receiving ethbox transactions with multiple addresses at once.
So yes, this is absolutely something that can be done, and that will definitely be implemented in some form in the future. If you want, do get in touch with us & send us a message or mail, so we can go through the details of what you have in mind! 😀
That’s great and would be a nice upgrade/announcement for the future.
This is also valid for any other great input & ideas that come from the community! 👌
Oh our Ducks love to give input 😎
Oh yeah, there’s been a lot of useful input from their side already, and we’re totally looking forward to what we’re gonna create from this awesome, mutually beneficial partnership!
Definitely. Both of our projects are designed for the community so their input is priceless.
I understand ethbox is to provide end to end security. My question is whether or not this security will be provided at an extra cost to the normal transaction cost? If yes, what will be the cost as a fraction of the transaction amount?
By its very nature, ethbox offers the level of privacy, as Paul mentioned in his answer above.
The fees are a bit higher when using the privacy feature. That is listed in detail in the whitepaper.
If you are referring to gas costs, it would be practically the same with a small increase in the addition of some features that we will announce soon 😁
I guess gas fees are a pain point for everyone and won’t really be solved until 2.0. But the good thing is the security/privacy aspect is applicable.
That, and going off-chain is always an option… 😉
hmmm, hope that leads to an announcement of some sort in the future (not speculating…just thinking 😌).
Yes definitely , can’t say much about that for now, but stay tuned, as always! 😉
Of course! Our ears are perked and will be watching your announcements channel for all updates!
Ok next question
How long will the transfer process take? Will the additional steps (security, obfuscation etc.) result in a much greater transaction transfer time?
Not at all — Given how ethbox achieves obfuscation, the transactions are still reguler Ethereum smart contract transactions, that take as short or as long to finalize as any other… 😊
What fascinates me about Ethereum smart contracts is the incredible simplicity in everything — You can get great things done with simple concepts, I mean… Blockchain logic is a complicated subject, from a technical viewpoint, but if you break it down to its essence, it’s really straight-forward. Thanks to the consensus that is generated by blockchain architecture, things like our optional privacy feature can be achieved in a safe and transparent way, easily.
I think that’s what attracts so many people…it’s complicated but transparent also.
As ethBox gives a reliable environment for OTC trading, are you also planning to develop an OTC platform or are you planning for existing OTC trading platforms to implement ethBox?
I’m very happy because we still have a lot of good ideas and things in the pipeline as Lukas/Paul mentioned above
Building an API is one of those, and we will present the world what we imagine can be done with the API with an ethbox OTC trading platform. As the other Lukas already said, stay tuned for that, it’s not something we’re able to promise for mainnet release (because we want to keep our credo: Simple/Safe/User Friendly, and for that we need it to be perfect both in our point of view and that of the communities), but it won’t take all too long either, haha
So as our very own Lukas says “this is just the beginning” 😎😎😎
Just the beginning. If you know, you know!
I’m interested to know what Layer 2 solutions ethbox may explore in the future as there are several types of solutions: some to scale payment, some are used for scaling smart contracts, and some to do computation off chain.
But one is the same: move most of the work off chain and use permissionless blockchain as anchors to ensure security. Can you talk about any future plans for this?
As of now, having future plans is all we can and want to say about this. Implementing off-chain mechanics is definitely an extremely useful thing to do, and there’s no way we’ll leave this out, but any further details have yet to be thought through and refined, in order to be able to provide the one thing that is perfect in what we want it to be: Infallible and reliable by design.
Fair enough. I think the fact that you’re stating its something you’re possibly thinking about it is a good response. 👍
We kinda danced around this earlier but I’ll ask it again in case there’s anything you can add:
Can you tell us more about the gas fee optimization roadmap point that is coming in Q2 2021?
One thing that’s probably nice to be mentioned in this context is Polkadot, just saying, haha… 😊
Always a nice keyword!
Regarding gas fee optimization — on the one side we will add layer 2 solutions in the near future, and on the other side further fine-tune the code to have maximum efficiency for the mainnet ready — together with our code auditing partners.
Excellent. I think users really want to just be comforted with the fact that this is a very high priority in the eyes of the community and as long as the team is somehow addressing it is great.
Working on it 😊 more to be announced soon
Beautiful….that’s what we want to hear!
The connection with our community is key to success. Not just for us. For everyone.
Ok this is the last question that I have. Again we slightly discussed it earlier but if there’s anything else to add.
ethBox is only functional for ERC-20 tokens at launch. Are there any developments/plans ongoing for other main protocols?
Duck community is one of the best examples. :D
Absolutely…! As of now, as you know, ethbox allows for sending & receiving Ether and ERC-20 tokens. Implementing the ERC-721 protocol (NFT = non-fungible tokens) is something we’re looking forward to, especially considering the interest NFTs have been getting lately.
As a developer, I’m personally very intrigued by the concept, I have to admit that, haha…
Apart from that… Any upcoming & interesting new possibilities, such as the ERC-1155 protocol that is being developed by Enjin, are always on our radar!
Yeah there’s a ton of interest. That would be interesting.
Sounds good! We’ll be looking forward to all of your updates and announcements.
Many, many more incoming 😉
That’s one I’m personally looking forward to in a very particular way… I believe that on top of this tremendous potential of revolutionizing the world & the Internet that blockchain technology already has, NFTs add their own universe on top of that…
Brainstorming nearly everyday, to find the best improvements for our vision together.
Sounds great! And also fun to brainstorm with friends who are your partners
Ok with that said I’m going to open our chat up to the community. Please give them a minute to post and then I’ll re-mute the chat. Feel free to answer what you can.
Reminder to the Community, please be respectful and keep questions nice and concise.
Duck (user @cryptolover1010)
Assets have great potential risks of centralization, including wBTC which are managed by centralized institutions. How to form a decentralized asset cross-chain is a concern of the industry. How does ethbox realize decentralized asset cross-chain? How to prevent evil in the cross-chain process and sufficient assets?
This clearly requires a safe possibility of travelling from chain to chain… Again, looking towards Polkadot should answer everything for now…
Duck (User @Idee01)
Can anonymous transactions be performed on Ethbox network in order to protect the confidential information and privacy of owners and tokens?
Yeah totally, that’s what we do already… And even more so with the upcoming optional privacy feature! Have a look at our Whitepaper & our answers in this AMA, and if anything is unclear, join our Telegram channel & get all the answers you want!
Duck (User @bluefacebaby07)
Because the public chain is different, users participating in DeFi farming have installed a lot of mobile wallets, which is not conducive to management and has some security risks. And ethbox’s asset cross-chain agreement seems to be able to solve this problem, how does ethbox ‘s asset cross-chain realize? What are the advantages and disadvantages of comparing the existing cross-chain protocols on the market?
We’ll go into that in detail once we get there. Again, Polkadot is an option, but of course, there’s also others. We’ll see, and you’ll know in due time. :)
Duck (User @ineed688btc)
The existence of Gas fees has always had a negative impact on user experience, which not only involves many processes but also occupies most of the revenue of users with small funds. How does ethbox achieve zero cost in terms of Gas? Excluding this part of revenue, how does the platform or system maintain its own operating costs?
There seems to have been a slight misunderstanding here, haha… ethbox does not offer “zero gas” at all, and we never stated that this was a goal of ours. Gas fees can and will be decreased with code optimizations and layer 2 solutions, but as of now, we’re a fully on-chain Ethereum application.
As for our operating costs, we’re charging a small service fee for using ethbox (free for all transactions below $300!).
Duck (User @marjadan)
While you build your project, do you take into account community feedback and demands?
Yeah, absolutely… This is really a big thing for us. Saying that we are “a project from the community, for the community” is not just a shallow marketing phrase or anything. As you’ve “heard” in this AMA, we’re three friends who have been growing up together since our youth. We’re all crypto and tech enthusiasts, and Lukas & Lukas have been actively investing and participating DuckDAO members for a long while.
Duck (User @Idee01)
Ethbox uses smart contract based escrow services. Is the smart contract only private between the two parties or can it be viewed by the public? Is it accessible to everyone? How safe and secured is the smart contract from a security breach?
the smart contract of ethbox is accessible to everyone — We had already our first code-audit from CertiK.foundation — the report is already published and we will update Github
On the way to our TGE we will have another audit with the final code + tokenmetrics to ensure everything is checked :)
Duck (User @Ruj_Royati)
Now a lot of Many fake defi projects promising insanely high APR, but ended up pulling liquidity or minting. How does your project respond to this case ? Explain the reasons why we should invest in your project because we know you’re a team without a name?
To be bluntly honest, there is no way you can ever trust anyone on the Internet 100%. That’s not even something that happens in real life. It’s up to you and what you believe in. It’s up to you to make up your mind whether you consider us, what we do and the people that have our backs trustworthy.
Having said that, I think it speaks for itself that we are supported by the mighty DuckDAO and their partners.
Duck (User @luckydraw66)
Are you afraid that hackers are stalking and attacking your system?
Which technology is behind is responsible for protecting your platform?
The Ethereum blockchain — I’m aware that this is a very bold thing to say, but that’s how it is.
Wow this was truly an amazing job of teamwork in answering all these questions. If you’re that good in an AMA…I can’t even imagine how well you must work together on a project you’re so passionate about.
Thank you so much!!!
Ok, guys, you must be exhausted too so with that we can start to wrap up the AMA
It was a sheer pleasure to host this AMA for you guys. I can see your friendship turned partnership is rock solid
We appreciate every kind of feedback, and such one for sure :)
It was a pleasure for us as well!!
Awesome. The ducks will be paying attention to all of your announcements and we wish you the best of luck
Back to you… Great moderation, great everything… Thank you Pep, looking forward to more of this! 😁 👌 Big up to all the people out there for having our back & believing in our project!
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