anonymity - Pwim.Net

US Election 2020: Can I Change My Vote?

As the United States 2020 election day approaches, a large number of US citizens have already cast their votes by mail due to the COVID-19 pandemic precautions. But what if these early voters decided they wanted to change their vote before Election Day?

In the lead up to one of the most divisive US elections in history it has been reported that as of Nov.1, just two days before Election Day, 91 million Americans have already cast their ballots.

But what if some of the early US voters have had a change of a heart and want to change their votes? Is it possible to do so before Election Day?

The answer is simply no for the current voting process in the US election, but what if the ballots were cast using blockchain?

Blockchain in Elections

When considering the application of a blockchain voting system for the nation-wide election, there are two major concerns—first is preserving the anonymity of voters, and the second one is low cost for high transparency. As a result, we could not simply allow voters to choose an option and submit it to the blockchain, as anyone could trace the identity of the voter and their selection by monitoring the transaction of the address.

What if we make use of the Homomorphic Encryption?

Homomorphic encryption can be used for privacy-preserving outsourced storage and computation. This allows data to be encrypted and out-sourced to commercial cloud environments for processing, all while encrypted.

Homomorphic Encryption can be used to do the summation or production of messages by the public keys and encrypted messages themselves.

Let say a vote counter is represented by an encrypted number. if a person voted, a number of 1 or -1 will be encrypted and store in blockchain. Using this system, if the voter wanted to alter their vote, it could be done by the production of the existing vote with an encrypted number -1 using Homomorphic Encryption. No one will be able to know who is voting for which candidate. In addition, the government authority would receive the summation of voted and get the election result rapidly.

To make sure the voting record would not be leaked after the election is completed, the secure deletion of the private key held by the election authority is required. Just simply encrypt the key and drop the private key. The private key could never be recovered after the above operations, preserving the privacy of the voter’s choice.

While the debate has raged between the Trump administration and the Democrats on the potential fraud of mail-in votes, maintaining voter identity, and the speed at which the results are counted and calculated—leveraging blockchain and encryption could expedite and enhance the electoral process as well as maintain the voters’ anonymity and create transparency in the voting system.

References:

Craig Gentry, “Fully homomorphic encryption using ideal lattices, Symposium on the Theory of Computing”, STOC, 2009, pp. 169-178.

Yang Tang, Patrick P. C. Lee, John C. S. Lui, and Radia Perlman, “FADE: Secure Overlay Cloud Storage with File Assured Deletion.”, SecureComm 2010, Singapore, September 2010.

Bitcoin Anonymity

More than ten years ago, Satoshi Nakamoto created Bitcoin. The aim was to come up with a financial system that included no third-party intermediaries and that’s owned by everyone and no one. Another reason behind Bitcoin’s creation, however, was anonymously transferring funds.

But why is anonymity so important here? This is one of the questions that we’re hoping to answer by the end of this article. Additionally, this anonymous Bitcoin wallet guide is going to cover various other aspects of Bitcoin anonymity.

The Anonymity of Bitcoin

If you want to “stay off the grid” and still send and receive funds, the good old-fashioned cash method is the first thing that comes to mind. Still, cash transfers take place in-person and aren’t completely anonymous. Plus, the government doesn’t only print the bills but also tracks them and keeps a check on them.

Using a credit/debit card reveals vital information such as the transaction location, the nature of one’s purchase, and all other details. Even if you make a purchase online, it’s still subject to tracking.

If we’re talking about fiat (non-digital) currency, cash is the most anonymous way to go.

Cryptocurrencies like Bitcoin are a new step towards financial anonymity. First of all, one doesn’t “send” or “receive” Bitcoin, even though people use these two terms regularly in crypto trading. However, this is done with the goal of simplification. Behind the curtain, things are vastly different.

You don’t “own” Bitcoin. No one does. It’s stored on a blockchain ledger. Each new, freshly “mined” Bitcoin is stored that way. What you and every other Bitcoin owner actually “owns” is the information about the particular address where the specific amount of Bitcoin is stored. This information is what you trade, and this is the pillar behind Bitcoin anonymity –you don’t trade funds, so tracking them doesn’t reveal anything.

Yes, Bitcoin is truly anonymous, as long as you take proper precautions (like VPN, for instance).

Bitcoin Addresses

The entire essence behind Bitcoin anonymity boils down to the beauty of a Bitcoin address. This address doesn’t hold any details about you – it looks like a lengthy string of seemingly random letters and numbers that only hold the information about the corresponding funds on the blockchain.

The Uses of Bitcoin Anonymity

One of Bitcoin’s pillars is anonymity. The reason behind it – everyone deserves to have anonymity and be free of government tracking. Unfortunately, where there’s anonymity, there is always crime; after all, criminals will always seek to conceal their identity.

This is why Bitcoin was often used in less than legal waysafter its inception. Silk Road is an excellent example of this – this was an illegal marketplace that enabled users to purchase illegal goods like weapons and drugs online, even order various illicit services.

But you don’t have to have criminal activity in mind to wish to keep anonymity. People are supposed to remain anonymous, which is exactly what Bitcoin helps you achieve.

The most important thing to keep in mind here, however, is staying anonymous when first buying Bitcoin. Every blockchain transaction is transparent, meaning that anyone can view it. If you don’t buy Bitcoin anonymously, no matter how anonymous you try to be, all the transactions will be traceable back to you.

Buying Bitcoin Anonymously

Purchasing Bitcoin anonymously has been made impossible for most major exchanges. You can create an account anonymously, but the moment you use fiat currencies, you are required to provide a lot of personal information. Most major exchanges require you to upload copies of valid ID and proof of address.

If you provide all or some of this information to an exchange when purchasing Bitcoin, your purchases can be traced back to you, meaning that you aren’t anonymously using Bitcoin. Years ago, most exchanges didn’t require all this information, which made using Bitcoin anonymously much easier.

Bitcoin Anonymity Services

There are reliable services that specialise in enabling the user to purchase Bitcoin and other cryptocurrencies anonymously. It’s just a matter of finding a decentralised service, and it will likely offer anonymous Bitcoin purchasing services. Although the essence behind blockchain is decentralisation, most exchanges are very much centralised.

Even if you are using a reliable anonymous Bitcoin purchasing service, make sure you use a VPN as an extra safety measure. And don’t just go with a free VPN, either; use a reputable service, able to emphasize your online anonymity.

Bitcoin ATMs

Alternatively, you can use Bitcoin ATMs to purchase Bitcoin for cash. It’s just as simple as using your regular ATM; only, instead of using a card, you deal with QR codes and other modern validation measures. Remember, though, that not every Bitcoin ATM is anonymous. Some may require an ID scan before you use them. Most Bitcoin ATMs feature fees that are 8%-20% higher than the current market fees, particularly if they’re anonymous. Anonymity has a price tag.

Bitcoin Mixing

As mentioned earlier, Bitcoin transactions are traceable by anyone – they are all recorded in a public, transparent ledger. A protocol-level procedure that allows the user to anonymise their Bitcoin doesn’t exist.

You can resort to Bitcoin mixing to break traceability and linkability. Essentially, mixing is used to break the connection between Bitcoin addresses. This is done either by swapping coins with other addresses that hold the same value or by means of temporary (“burner”) addresses. Mixing, however, doesn’t come with a 100% success rate. It only makes a Bitcoin transaction hard to follow on the blockchain, sometimes to the point of impossibility. It isn’t a fool-proof solution for Bitcoin anonymity, though.

Retaining Crypto Anonymity

Bitcoin anonymity starts with the purchase of the cryptocurrency. If you use an anonymous method, chances are that you’ll be able to stay anonymous, despite blockchain’s complete transparency. If not, you can resort to Bitcoin mixing, but this isn’t a guaranteed method of staying hidden.

To stay safe and hidden, use all that you’ve learned from this article. Buying Bitcoin from a service that supports anonymity and using Bitcoin mixing is the safest way to go.

Author Bio: Hitesh is a digital marketing strategist and entrepreneur with more than 15 years of experience in digital marketing, start-ups, branding, and customer acquisition strategies. Hitesh is the CEO and Founder of Reposition Group, which specializes in digital growth strategies for companies in the cryptocurrency market, such as Bitamp.com.

CFTC Commissioner Calls for Reduced Cryptocurrency Anonymity

Christy Goldsmith Romero, a commissioner of the US Commodity Futures Trading Commission (CFTC), has called for reduced anonymity for cryptocurrencies. Speaking at the City Week 2023 conference in London on April 25, Romero emphasized the need to manage the risks associated with digital assets. She believes that anonymity is the primary feature that makes cryptocurrencies appealing to illicit finance and that this issue must be addressed by both governments and the industry.

In her keynote speech on Illicit Finance and Other Key Risks of Digital Finance, Romero stated that the risks associated with digital assets must be managed. She stressed that market integrity, national security, and financial stability are crucial and cannot be compromised. Romero’s proposal for reducing anonymity in cryptocurrencies could help to address these risks.

Cryptocurrencies are often used by criminals to evade detection and launder money. With the anonymous nature of transactions, it is difficult to trace the movement of funds and identify the parties involved. By reducing anonymity, it would become easier for law enforcement agencies to track down criminals who use cryptocurrencies for illegal activities.

Romero’s proposal may also help to address concerns around the regulation of cryptocurrencies. With greater transparency and traceability, governments and regulatory bodies would have greater visibility into cryptocurrency transactions, which could help them to identify potential risks and take appropriate action.

The issue of anonymity in cryptocurrencies has been a topic of debate for several years. Some argue that anonymity is an essential feature of cryptocurrencies and that reducing it would compromise privacy and security. However, others argue that anonymity enables criminal activities and that reducing it would make cryptocurrencies more legitimate in the eyes of the public and regulators.

Despite the debate, there have been several initiatives to reduce anonymity in cryptocurrencies. For example, the Financial Action Task Force (FATF) has introduced guidelines for virtual asset service providers (VASPs) that require them to implement measures to identify and verify their customers. Similarly, several countries have introduced Know Your Customer (KYC) and Anti-Money Laundering (AML) regulations for cryptocurrency exchanges and other service providers.

In conclusion, Romero’s proposal for reduced anonymity in cryptocurrencies could help to address the risks associated with digital assets. However, it remains to be seen whether the industry will adopt such measures and whether they will be effective in managing the risks of cryptocurrencies. The debate around anonymity in cryptocurrencies is likely to continue, as governments and industry stakeholders grapple with the challenges posed by digital assets.