You can hide the value. Why? Because obviously it's an outcome of some homomorphic encryption addition. And then you eventually have a Pedersen commitment or let's assume an Elgama encryption of something. What you do is you have the proof of assets, and by using systems similar regarding the output also Pedersen commitment,. You can have a zero knowledge proof that my assets are less, are more than the liabilities. But that's it. It just says it's solvent, not it has this kind of percentage solvency or something. If you receive these at a continuous level, it seems that something is wrong with your solvency.
This week, Anna explores the topic of proof of solvency with Kostas Chalkias, co-founder and chief of Cryptography at MystenLabs. They cover Kostas’ background in Cryptography and explore his work on Proof of Reserves, otherwise known as Proof of Solvency. They review past Proof of Solvency models using ZKPs and look at the protocols that major centralized exchanges are currently using. Then they dive into the security vulnerabilities, privacy issues, and general bugs that Kostas and his collaborators have identified in these protocols and their recommendations on how to better build Proof of Solvency systems.
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Aleo is a new Layer-1 blockchain that achieves the programmability of Ethereum, the privacy of Zcash, and the scalability of a rollup.
If you’re interested in building private applications then check out Aleo’s programming language called Leo. Visit leo-lang.org to start building.
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