A rather significant bug has been spotted in Monero's decoy selection algorithm that may impact your transaction's privacy. Please read this whole thread carefully. Thanks @justinberman95 for investigating this bug.

1/6
@justinberman95 If users spend funds immediately following the lock time in the first 2 blocks allowable by consensus rules (~20 minutes after receiving funds), then there is a good probability that the output can be identified as the true spend.

2/6
This does not reveal anything about addresses or transaction amounts. Funds are never at risk of being stolen. This bug persists in the official wallet code today.

3/6
Users can substantially mitigate the risk to their privacy by waiting 1 hour or longer before spending their newly-received Monero, until a fix can be added in a future wallet software update. A full network upgrade (hard fork) is not required to address this bug.

4/6
The Monero Research Lab and Monero developers take this matter very seriously. We will provide an update when wallet fixes are available.

5/6

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More from @monero

15 Sep 20
The long-awaited Perkins Coie whitepaper is now available!

"Anti-Money Laundering Regulation of Privacy-Enabling Cryptocurrencies"

This 40 page report is the most comprehensive to-date on compliance and Monero and will greatly assist adoption of XMR!

perkinscoie.com/en/news-insigh…
Some top quotes from the whitepaper:

"Allowing VASPs to support privacy tokens under current, tested AML regulations strikes the appropriate policy balance between preventing money laundering and allowing beneficial, privacy-preserving technology to develop."
"Not only do privacy coins provide public benefits that substantially outweigh their risks, existing AML regulations properly and sufficiently cover those risks, providing a proven framework for combatting money laundering and related crimes."
Read 12 tweets

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