For bitcoin to work politically, authority over the currency needs to be distributed over a large group of peers. If power is concentrated at a single point, the state can dominate that point, whoever controls that point can steal other people’s currency and do a variety of bad things. Bitcoin was designed so that “voting” depended on computing power and network connection. Initially, almost everyone who had a client was …
Category: crypto
Lessons from the silk road.
As I said earlier, without providing evidence or explanation, the big flaw was that the server kept the messages in the clear. A recent news report has confirmed this from official sources:
The underground economy continues
I, and others, have been assuming that the takedown of Silk Road represents competent action by the NSA. Outside In, however, points out the interesting coincidence that the takedown of Silk Road follows, rather than precedes, the appearance of competition to Silk Road. Atlantis, however, appears to have skedaddled with its user’s money, thus this looks like a successful shutdown of the online black market, hence likely to be primarily …
Technological failure of the silk road system
Silk Road servers stored all messages in the clear forever. The government placed malware on Tor exit nodes, located the Silk Road servers, raided servers, game over. Private messages should have been end to end encrypted, existing in the clear only on the computers of the sender and recipient, and should have been deniable, except for messages containing money, where the sender needed to be able to prove that the …
Cryptography standards
If everyone was to do their own thing in cryptography, that would be very bad. But committees are less intelligent than their individual members and are prone to evil and madness. Â IEEE 802.11 was stupid. If NIST was not stupid, it was because evil was calling the shots behind the scenes, overruling the stupid. Linux was a success because Linus is unelected president of linux for life. Let us follow …
Moving away from NIST
Jon Callas, a leading cryptographer, is issuing a new version of Silent Circle, which by default uses only non NIST cryptography. It was necessary to change the curves, since the NIST curves are probably backdoored. It was arguably not necessary to change the symmetric encryption and the hash, since they are unlikely to be backdoored. Nonetheless, he replaced AES with Twofish, and SHA with Skein-MAC. absolutely, this is an emotional …
NIST curves backdoored
Gregory Maxwell on the Tor-talk list has found that NIST approved curves, which is to say NSA approved curves, were not generated by the claimed procedure, which is a very strong indication that if you use NIST curves in your cryptography, NSA can read your encrypted data. So don’t use anything NIST approved.
RDRAND
Cryptography needs random numbers, numbers unpredictable to an adversary. Computers are built to be as non random as possible, so this is a problem. Intel created an instruction, RDRAND, that supposedly creates a random number on each read. This instruction appears to be backdoored by the NSA.
How not to be spied on
It looks as though the major NSA tricks are: Taking over routers using tricks similar to those botnet operators use to take over individual computers. Twisting the arms of major corporations to backdoor their products and share information, for example Skype. Encouraging the adoption of flawed cryptography with hidden backdoors through its standards arm, NIST. Taking over individual computers using tricks similar to those of botnet operators. However they do …
All your keys are belong to us
The official truth, which for once seems believable, is: because strong encryption can be so effective, classified N.S.A. documents make clear, the agency’s success depends on working with Internet companies — by getting their voluntary collaboration, forcing their cooperation with court orders or surreptitiously stealing their encryption keys or altering their software or hardware. So, the NSA has the private key that is used by your https server. The question …