Quote from: Quickseller on October 31, 2021, 03:48:47 AM

If this is a centralized service using a protocol they designed, it would resolve most of my concerns. Although one concern that would remain would be the fact that I was attacked by a shill when I tried to ask questions.

If I was incorrect, I would ask how they are different than CM? AFAICT, they are basically the same as CM, except for the amount of time that bitcoin can be held at the mixer. Obviously CM can handle larger amounts due to their reputation.

Yes, it is a centralised service - with a server (the 'SE') run by https://mercurywallet.com

The server (which consists of the main http server: https://github.com/commerceblock/mercury and the Lockbox, which uses hardware security to generate and securely delete key shares: https://github.com/commerceblock/lockbox ) is all open source (as is the wallet) so anyone could also run their own service.

There are several differences with CM, as I understand it. Mercury is 'proactively non-custodial', which means that if you trust that they have not acted maliciously in the past, there is no way that it can steal user deposits. The only way the server can steal funds is to 1) Not delete previous owner key shares (as claimed) and then 2) Collude with a previous owner of the coin to reconstruct the full private key. If server key shares for previous owners are deleted after transfer, there is no way the current owner can be stolen from. This still requires trust in the server not to act maliciously from the start, but prevents the operator from being able to seize of freeze coins arbitrarily or being compelled to do so (by e.g. authorities). I believe that CM is fully custodial.

Also, with regards to privacy. I think with CM, you must fully trust CM itself not to retain or leak information linking inputs and outputs (or for CM to be a honeypot). The assumption with mercury is that everything the server knows is also public (we are building an explorer). Here the privacy is trustless - coins are swapped in groups via a blinded token scheme that is similar to Zerolink (that Wasabi uses) - that are effectively off-chain coinjoins (with atomicity enforced by the server). https://blog.commerceblock.com/bitcoin-privacy-and-tainting-coinjoins-and-coinswaps-meet-statechains-b0d6c1146a24

I don't think dkbit98 is a shill, but I am