 anonymous internet banking is the proposed use of strong financial cryptography to make electronic bank secrecy (or more precisely pseudonymous banking) possible. the bank issues currency in the form of electronic tokens that can be converted on presentation to the bank to some other currency. this concept has a long history in which free banking institutions have issued their own paper currency often backed by a physical commodity. ==history== while the academic study of trust relationships and systems has long been the domain of intelligence services such as the nsa, the growth of the internet in the 1990s and the contemporary declassification of related knowledge allowed for greater public discussion of the potential for anonymous banking services by groups such as the cryptoanarchists and cypherpunks. ==example system implementations== for a full list see list of anonymous internet banking systems *bitcoin: the first cryptocurrency (a decentralized digital currency).what does cryptocurrency mean?, technopedia, 2013-07-14 * cryptonote: a cryptocurrency that provides anonymity along with untraceability, unlike bitcoin. are bitcoin transactions traceable?, bitcoin.stackexchange.com/ *open-transactions: open-source transaction software and financial crypto library, including untraceable cash. *ecache: an anonymous digital currency operating over the tor network. *pecunix: a centralized digital gold ledger, similar to e-gold. *private payments system: an anonymous digital currency (offshore registered). ==the underlying mathematics== anonymous internet banking depends on the mathematics of public key cryptography and blind signature algorithms. in this simple example we have alice and bob and a banker. the banker generates an rsa public key with modulus n= p q, where p and q are large primes, making n a semiprime. as described in rsa operation, the bank also generates public key exponent e and private key exponent d. bob asks the banker for a $100 deposit slip in anticipation of alice wanting to transfer money to him. to generate a deposit slip the bank selects a large, globally unique random number r and encrypts it using the bank's public key; this means that it can only be decrypted with the bank's secret key: r' = r^e\pmod n this encrypted value r' is sent to bob with the promise to deposit $100 into his account when bob sends the value r back to the bank. the bank is confident that bob won't be able to break rsa to generate r from r' within a reasonable period without knowledge of d, so it does not worry about handing out
Anonymity_networks Banking Crypto-anarchism Financial_cryptography