DarkCoin Introduces Trustless Instant Payment Confirmations

DarkSend releases InstantX payments update. Allows for sub five second confirmation of transactions of DarkCoin.
DarkSend releases InstantX payments update. Allows for sub five second confirmation of transactions of DarkCoin.

DarkSend releases InstantX payments update. Allows for sub five second confirmation of transactions of DarkCoin.

DarkCoin has released a new core update to its DarkSend system allowing for the implementation of their InstantX (IX) protocol for immediate payment confirmations. The new v0.11.1 release allows users to select the IX protocol for use in their transactions of the altcoin. The new system should mean that those receiving a transaction should get a confirmation within five seconds in most cases.

InstantX logo

Based on a trustless network of “Master Nodes,” the IX system seeks a consensus decision from a random selection of these nodes to lock the user's funds that are to be spent, from input to output. This “distributed lock manager” means that the funds cannot be used in a double spend attack, as an attempted multiple payment would not lead to a consensus between the nodes. When the Master Nodes do not reach consensus the payment is reverted to a normal “proof of work” confirmation process and the double-spend is rejected.

In their white paper on the subject, DarkCoin explains the system in the following way:

“Transaction locking is a concept where a client sends the network an intention to lock funds from a specific input to a specific output (or multiple of each). This is done by relaying an object consisting of a full transaction and the locking command. The user will sign a message using the input(s), and relay the message throughout the network.”

The speed of these successful IX payments means that transactions can be completed faster than the normal proof-of-work manner. Backers of the IX system point to potential uses of the technology in “over-the-counter” transactions, where shoppers already expect instant confirmations akin to credit cards. Early users of IX on Reddit's /r/bitcoin board have been reporting four second transaction speeds, similar to digital card payments.

Currently, instant digital-currency payment providers largely rely on using services such as BitPay as a merchant clearing service. By having a large amount of floating capital available, these clearing firms are able to offer merchants instant payment while awaiting for full blockchain confirmation.

DarkCoin's lead developer Evan Duffield

Speaking to Cointelegraph, DarkCoin's lead developer Evan Duffield had the following to say about the implementation of IX as well as his plans for the future:

"The goal of Darkcoin, is to be the best possible e-currency. With Darksend (for anonymity) and InstantX providing nearly instant payment technology, we can reinvent the way digital currency is used on the internet and in bricks-and-mortor locations. Future users will be able to enjoy phone-to-phone transactions that allow privacy and provide payments instantly for quick settlement. All of this is possible without any centralization and in a trustless way using the Masternode concept."

Cointelegraph also recently reported on BitPay's own white paper proposal for “Impulse,” a concept for immediate payments within the main Bitcoin blockchain. Whilst not truly “trustless,” Impulse can be seen to be based on “as little trust as possible.” The zero-confirmation system is constructed around the more traditional financial model of “operator” clearing houses holding users' funds in pre-confirmed payment chains ready for use in co-signed transactions.

DarkCoin itself is an open source, privacy-centric, alternative to the pseudo-anonymous Bitcoin. Using a decentralized network of Master Nodes through which multiple payments are processed at the same time, payments are transferred in smaller sections making tracking them difficult for outsiders.

Duffield added:

“These nodes are the foundation of DarkSend, all transactions will be routed through these nodes. Each masternode requires that 1000DRK be kept on the node and each time that node is selected the network will dedicate 10% [As of this writing, the reward has been changed to 20%] of that block to these nodes.”

Users are also encourage not to reuse wallet addresses but generate new wallets for each payment instead. By finally adding a layer of IP address obfuscation to this service, the Master Nodes create a payment structure in which it is hard to trace who sent what to who through coin mixing.

The introduction of instant payments could make DarkCoin much more attractive not just for those looking for greater privacy but also for brick-n-mortar businesses and e-commerce as a whole. 


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