[ldioms of use]: Consider the transaction graph in the figure below: Rectangles

Question

[ldioms of use]: Consider the transaction graph in the figure below: Rectangles represent transactions, empty circles represent fresh addresses, and filled in circles represent addresses controlled by the named entity (i.e., 'A' stands for Alice, 'B' stands for Bob, and 'C' stands for Carol). An edge labeled "change" means that the end node is the change address for that transaction (it can identified by the heuristics discussed in class). Note that not every transaction has an identified change address. a. Can an observer identify who was paid by Bob in the transaction marked (1)? Explain how or explain why they cannot be identified with certainty. Can an observer identify who paid Carol? Explain how or explain why she cannot be identified with certainty. b. change change O change change change » change, change

Explanation / Answer

a)Yes an observer can say that in Transaction 1 A was paid by Bob.

Reason:- Bob paid via Transaction1 and the change is captured by empty circle(which means fresh address). Now the same fresh address made another Transaction without any change/modification of amount and is represented via say T2. From T2 we can clearly see that A is the change address of T2 and this T2 is comming indirectly from B. Thus if we backtrack from A we can see that A was paid by B

b) We cannot say who paid C because:-

Please let me know in case of any clarifications required. Thanks!

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