Bitcoin Wallet Cost Function Analysis
This repository proposes a framework for studying cost functions for the decision space available to Bitcoin wallets when creating transactions. A primary goal is accounting for user defined liabilities incurred by transactions lacking the desired level of privacy or confidentiality, and their interaction with confirmation times. This is in addition to well established objective metrics such as the blockspace or fees required for a transaction, which are taken for granted.
1. Introduction
This repository and document are both a work in progress.
This document is meant to provide an overview of the findings which will be presented in more detail in separate sidetrack documents or chapters.
In rough priority order, materials that are currently (April 2022) being reworked into this repository:
- quantitative modeling of aspects of privacy and ambiguity
- agentpy based simulations
- concrete cost function for use in CoinJoins
These will be integrated first into the different "sidetrack" documents, and then summarized here for a broader audience.
After consolidating disparate and incomplete writings produced over the last few years and organizing them here, the scope can be widened to include new materials.