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TumbleBit: An Untrusted Bitcoin-Compatible Anonymous Payment Hub

Home Page: https://eprint.iacr.org/2016/575.pdf

C++ 64.82% C 2.16% Makefile 1.27% Python 31.39% Shell 0.36%

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tumblebit's Issues

Question: clearing ability of TumbleBit protocol (cost reduction)

Dear TumbleBit developers

I've skimmed the TumbleBit paper with excitement, and although it goes into great detail on the anonymity aspect of the TumbleBit protocol, I can't find any direct mentions of its ability to clear payments. That is, aggregating payments from multiple clients into a single receiver output in the blockchain, with the purpose of saving money on blockchain fees.

Let's say we have 10 clients connected to the same TumbleBit hub as a single merchant. Each of the clients make 10 payments of 0.01 BTC each to the merchant, totalling 100 payments with a sum value of 1.0 BTC (disregarding fees). Now, the merchant wants to redeem his Bitcoins. What will the settling Bitcoin transaction -- that's published to the network -- look like? Will it have 10 different outputs, one from each client, all paying to the merchant's address, or can payments from different clients be cleared into a single blockchain UTXO?

Also, what happens if one of the 10 clients wants to leave the hub prematurely, before the merchant wants to redeem? Can the value, sent by this client to the merchant, stay in the payment hub, while the client is paid back only the remaining, unspent balance in a Bitcoin transaction?

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