Shielding bitcoin problems

I don’t know if this is on other coins but this is problematic:

If you dont create a subaccount, the bridge will not create a new address for deposit funds. So by sending to a reused address you litteraly dox yourself because it’s like everybody haves a different reused bridge with the total amount they own…

How did this will be resolved ?

Hello @heyabrb,

Just for clarification are you using the mobile app (Android or iPhone) or another method?

It’s the same on all wallets, when you use a bitcoin bridge, you always have the same address

I think you mean OTA shielding. Here is the latest news :point_down:

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Hi @heyabrb, thanks for your question.

As you said, one incognito address uses the same Bitcoin shielding address for each shield. So anyone can track all shielding requests of an incognito address in the network. But after the entry step to Incognito, all activities on users’ assets are private.

Let’s go through an example for more details:

  • User A shields 0.5 BTC, and then he shields 0.7 BTC. Anyone is able to see 2 shields from the same user A.

  • After shielding, A receives 1.2 pBTC totally, and he can use his pBTC privately, no one can trace the assets flow or track the users’ behavior.
    E.g. transfer to other users or another A’s address, swap cross-chain, make limit orders, stake to earn rewards.

In addition, unshielding is unlinkable. When unshielding, the bridge protocol chooses Bitcoin utxos randomly, and if users use Bitcoin receiving address differ from the one that sent funds to the shielding address before, no one can link the shield and the unshield from the same user.

In order to enhance privacy for shielding flow, our team is building the one-time shielding address. It helps the shielding flow is unlinkable and untraceable.

If there is any feedback, feel free to leave us a comment. Thank you! :heart_eyes: