The Spectre project (has no relation to the SPECTRE platform), has released two cryptographic tokens – Spectre and Xspec – in 2016, but still hasn’t received special attention of cryptocurrency community. Tokens of the project have the general market capitalization in $5.7 million, insignificant to today’s measures.
Now the team of the project shows the increasing interest in proof-of-stake technology. Recently with different degree of success a row of alternative systems with an algorithm proof-of-stake (EOS, Tezos, Neo, Tron) with much more serious capitalization has been started.
Within these systems verification of transactions in a blockchain trusts in a certain number of delegates – representatives who were elected by owners of tokens of network. Though owners of tokens aren’t obliged to identify themselves, according to the anonymous founder of Spectre – Mandica, in these systems there is a huge problem with confidentiality.
“All UTXO the [unspent exits of transactions] spent for creation of transactions within the proof-of-stake system are traced in a blockchain, and connection of all transactions can be among themselves easily established, and your balances are visible to all who know how to analyze a blockchain”, – Mandica has told.
The Spectre team which within the last two years tried to use various tools of confidentiality for blockchains considers that it has found a way to hide transactions in such systems. Though the technology also finally isn’t developed, the team of the project is ready very ambitiously.
“From the point of view of the user you will be able to leave all balance of anonymous coins hidden from any observer, and you need to rely on the purse that and further to receive anonymous coins which nobody will be able to connect with you”, – Mandica has told. “This unique offer, and any other cryptocurrency, as far as I know, doesn’t possess similar system”.
Entropy in open purses
Though the full picture of how all this works, isn’t clear yet (the group hasn’t published the White book yet, though promises to make it soon), the basis of technology is borrowed from Monero – other cryptocurrency focused on confidentiality. In particular, it is about technology of ring signatures (ring signature).
Ring signatures allow any to sign transaction in a certain group that makes impossible exact definition of what keys of participants have signed it. However knots at the same time all the same can see transaction. The Spectre team wants “to correct” this part of technology.
“Anonymous” coins are created with use of technology of concealment of addresses and disposable couples of keys. They act as UTXO which can’t be traced and which can be spent only after the proof of possession by them by means of use of the ring signatures and key images based on the Cryptonote protocol”, – Mandica has told.
It is rather difficult to explain the principle of work of technology, without disclosing at the same time important details. However it is possible to assume with what image the system works.
For example, users who make the contribution to network, leaving the purses connected to the Internet, can gain at least 5% revenue of the tokens. At the same time the less people who leave the purses opened and connected to the Internet, the profitability is higher.
Mandica has refused to explain in detail what is done by these purses, but it has told that the algorithm of “the proof of invisibility” (proof-of-stealth) which is used by team is intended for extraction of benefit from creation of new tokens without background with the purpose to increase the entropy used for masking of the real transactions. He has noted:
“The entropy is a key element of the system using ring signatures for creation of a big pool of “fictitious” coins which can be used in the anonymous transactions protected by ring signatures”.
Judging by other descriptions of schemes of ring signatures, protocols the constant stream of unspent transactions for masking of real transactions is required. Also can be open purses are responsible for it.
According to team, in the following large release the new proof-of-stealth mechanism for anonymous coins will supplement an algorithm proof-of-stake of version 3 (PoSv3) which already uses a blockchain.
However it is development – only one of the last systems focused on confidentiality, the created Spectre.
Even those who poorly understand questions of confidentiality are usually familiar with Tor – the scheme of masking of the activity of users on the Internet providing access to the websites purposely hidden for such search engines as Google. Spectre has already built in Tor the systems and has even gone further, having introduced a product of Tor OBSF4 which gives to users the chance to bypass national fayervola, for example, in China and Iran.
The team of the project also works on the condition of anonymity. The representative of Spectre has told that even developers don’t know real names of each other.
And even while with such anonymity everything was simple to be thrown and not to draw anger of representatives of community upon the name, the team didn’t give up. Even when their ICO didn’t work well and the project lacked means of livelihood while other cryptocurrency projects, many of which weren’t anything special, collected millions on sales of the tokens.
“We have begun work in 2016 with very unsuccessful ICO which has attracted only 16 BTC when the price of BTC was about $600-700. These means haven’t strongly helped us”, – Mandica has told.
At the beginning of this year Spectre has received private financing (the sum doesn’t reveal), however for developers the project remains only the additional area of work, but not primary activity so far. In fact Mandica and its team work at pure enthusiasm as doesn’t bring notable income of Spectre to them yet.