You're using CKPs so that you can create this proof of liability without revealing everyone's account. So it's more for the privacy here that you're using. Well, this was one of the first reasons that it was proposed. But obviously you can also use it KP for compression. Compression is not a problem here. And then what you need for zero knowledge proofs, okay, I can build a zero knowledge proof scheme that I take the miracle tree. What I do is I blind the balances and then I use homomorphic encryption up to the root. You don't need FHE in practice, right? Even partial for morphic encryption works because you just need addition. Here,
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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Today’s episode is sponsored by Aleo
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.
You can also join Aleo’s incentivized testnet3 by downloading and running a snarkOS node. No sign-up is necessary to participate. For questions, join their Discord at aleo.org/discord.
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