(context post by dsg)

4 messages BitcoinTalk dsg, Xunie, Satoshi Nakamoto May 9, 2010 — May 16, 2010
dsg May 9, 2010 Source · Permalink

Bitcoin addresses also provide better anonymity. In my opinion they are ideal. Otherwise it’s necessary to use tor or the like also to guarantee anonymity.

Xunie May 14, 2010 Source · Permalink

Quote from: dsg on May 09, 2010, 05:09:38 PM

Bitcoin addresses also provide better anonymity. In my opinion they are ideal. Otherwise it’s necessary to use tor or the like also to guarantee anonymity.

Isn’t that “unsafe”? Say I am an exit node listening for bitcoin transactions and grab them? Or is everything public/private key encrypted?[1]

[1]Which is my guess.

Xunie May 14, 2010 Source · Permalink

[Deleted] Quote from: soultcer on May 14, 2010, 07:58:57 PM

Actually no, transfering coins via IP address isn’t encrypted. When you transfer coins to an IP, the recipient creates a new address just for that transaction and tells you to transfer coins to that address. A malicious exit node could sniff all Bitcoin traffic and intercept those transactions easily.

So for everyone: DO NOT USE IP ADDRESSES AS DESTINATIONS, ALWAYS USE BITCOIN ADDRESSES.

I suggest we disable IP transactions while the user uses a Proxy! Just to be on the safe side.

Quote from: Xunie on May 14, 2010, 09:52:53 PM

I suggest we disable IP transactions while the user uses a Proxy!

Just to be on the safe side. That’s a good idea.  At the very least a warning dialog explaining that it’ll connect to the IP and send the information cleartext, giving the chance to cancel.