Quote from: Sukrim on May 13, 2012, 12:24:25 AM

Quote from: Luke-Jr on May 13, 2012, 12:10:12 AM

Quote from: randomproof on May 12, 2012, 11:57:30 PM

Doesn't this eliminate some of the anonymity of the system by advertising who the receiver of a transaction is?

No.

Input: 5 BTC to 1someaddress
Output: 4.99 BTC to 1someaddress
Net fee: 0.01 BTC to miner

Maybe:

Original transaction:
Input: 4.99 BTC to 1someaddress from Alice
Output: 4.99 BTC to 1someaddress

Appended transaction
Input: 4.99 BTC to 1someaddress from Alice
appended Input: 0.01 BTC from someone who really wants to get these 4.99 BTC to 1someaddress, presumably the address owner
total new Input: 5.00 BTC to 1someaddress
Output: 4.99 BTC to 1someaddress
Net fee: 0.01 BTC to miner

Only the person who controls 1someaddress can create such a transaction, so there's no reason for him to add an outside input - unless it's a regular transaction going to someone else (in which case the same privacy methods apply).