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Chainalysis Successful Deanonymization Attack on Monero

This isn't deanonymization, it is modifying and infiltrating nodes to then listen what is happening from naive users connecting to them.

There was never an expectation of privacy when you connect to servers outside your control with non-encrypted data. That is the reason why the article itself mentions that this isn't working when running your own node, as most people do.

This is the same thing as complaining that Monero is no longer anonymous because Windows is capturing screenshots and keyboard presses when you open the desktop app.

Monero remains anonymous by default.

2 hours agonunobrito

> running your own node, as most people do.

Huh, surprising -- it's very different from most people using most software. (Of course HN is not most people.)

I tried to fill myself in by asking Claude Opus neutrally "do most users of Monero run their own node?" and was told it couldn't find good data, it's community-promoted behavior, but there were multiple reasons for skepticism.

I have no idea, I'm just noting my surprise.

23 minutes agoabecedarius

In practice they (allegedly) took anonymouse transaction and linked it to real world identity. Call it what you want.

2 hours agododomodo

It always seemed weird from Day 1 when I reviewed Monero vs Zcash to rely on anonymization that depends on other nodes and number of honest peers, instead of relying on technical anonymization that Zcash does, seems much more reliable and long-term workable, even though it was much harder and took them longer to arrive at good solutions.

3 hours agoembedding-shape

If Zcash had privacy by default, they would have won against Monero for being the private cryptocurrency. As it stands, any private transaction on the Zcash chain stands out like a sore thumb and the use of de-anonymized transactions around it make it easy to figure out how much money was moved. It was a missed layer 8 opportunity on the part of Zcash.

This attack doesn't seem to work if you run a monero node, though.

2 hours agopclmulqdq

You'd have a bit more credibility if your complaint was more up to date :) Zcash wallets have defaulted to shielded accounts and transactions for some time already.

2 hours agoembedding-shape

It took at least half a decade if not a full decade to get to the obvious place and I (and everyone else) wrote Zcash off in that time.

32 minutes agopclmulqdq

> and I (and everyone else) wrote Zcash off in that time

Seemingly in the ecosystem you exists in yeah, but in the world at large Zcash seems to have at least 6x the volume. I guess "everyone else" didn't get your memo. Regardless, I don't really care personally which one is better or which one you specifically use, as long as what we say is being truthful :)

23 minutes agoembedding-shape

You said

> As it stands, any private transaction on the Zcash chain stands out like a sore thumb

Is that actually still the case or has the change to defaults made anonymity more common?

25 minutes agovosper

If you look at recent mined blocks, a majority of transactions are still public. So yes, even if the default is shielded wallets and private transactions for a specific wallet, most of the chain is not using them.

9 minutes agopclmulqdq

Chainanalysis is certainly not running the Tor attack as described here.

It’s technically possible, but not really practical. We’d have seen darknet markets as they currently exist eradicated a long ago.

an hour agowalletdrainer

September 17, 2024

3 hours agopjdkoch

surprising how often this happens...

21 minutes agokobieps

So chainalysis is working for governments now? I guess it makes sense.

an hour agobhouston

Now? Chainalysis has always worked for governments…

It was basically spawned out of the government needing help with investigating crypto - I think it was Mt. Gox…

an hour agoMadsRC

Exactly. “Tracers in the Dark” (https://a.co/d/aos3Nka) does a good job of telling that story and a couple of others from the early days of blockchain analytics

21 minutes agoAnon84

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