Ripple’s developers have submitted a proposal allowing users to exchange transactions using the XRP ledger (XRPL), according to Coindesk website.
Ripple programmer Nik Bougalis said in a GitHub filing earlier this week that he and other Ripple developers had created a private payment mechanism for the XRP ledger to safeguard exchange users from malicious third parties.
Blinded tag facilitates private transactions on XRPL
Bougalis said a “blinded tag” scheme will facilitate carrying out private transactions on the ledger, adding that the company will present a series of numbers that would only be important to the recipient and look random to others.
“[I]f blinded tags are in use, an attacker capable of observing every payment transaction will be unable to isolate a pair of transactions that refer to the same unblinded tag,” Bougalis said.
Crypto platforms store the XRP of users in the same wallet address which is split into separate sub-wallets. Sub-wallets use 32-bit source and destination tags to identify a transaction recipient to distinguish between the various holdings.
Actually, tags are freely viewable and may be linked with a certain person if used regularly. Some exchanges are creating new tags for each transaction but only a limited amount of tags are available. Although this is not an urgent problem, some exchanges may not be able to generate new tags at a certain point.
Bougalis’ idea means that users may turn blinded tags on or off. They will act as a single unit, which means that such network does not get overburdened.
Bougalis added that the usage of blinded tags not only preserves the privacy of consumers but also serves as an important “workaround” for maintaining the number of destination and source tags accessible for exchanges.
As blinded tags utilize an established tag network on exchanges, it is unclear if users can send XRP between individual wallets privately.
XRPL Labs Launches Beta XUMM App
XRPL Labs, a startup behind the development of apps for the XRP ledger, has released the beta version of XUMM; an XRP-powered wallet and payment platform.
Users can now download the app from App Store and Google Play to trade various cryptocurrencies on the XRPL’s native decentralized exchange.