CoinMingle: A Decentralized Coin Mixing Scheme with a Mutual Recognition Delegation Strategy

Bitcoin is the first decentralized cryptocurrency proposed by Satoshi Nakamoto. Although transactions are conducted between pseudonyms, Bitcoin cannot offer strong privacy guarantees. Mixing coins, to some extent, can address this drawback through different technologies, but also meets flexibility, storage and anonymity problems. This paper proposes a decentralized coin mixing scheme CoinMingle, based on ring signature, one-time output address, CoinJoin and our mutual recognition delegation strategy. Our mutual recognition delegation strategy is simple but effective: when a user prepares to submit messages, he will delegate it to other users for anonymity. Users in CoinMingle don’t need pre-compute. And CoinMingle can tolerate different input amounts and plug the leak of personal information in shuffling phase. In addition, CoinMingle owns parallel structure which is more efficient than other coin mixing schemes.