Preserving transparency and accountability in optimistic fair exchange of digital signatures

Optimistic fair exchange (OFE) protocols are useful tools for two participants to fairly exchange items with the aid of a third party who is only involved if needed. A widely accepted requirement is that the third party\u27s involvement in the exchange must be transparent, to protect privacy and avoid bad publicity. At the same time, a dishonest third party would compromise the fairness of the exchange and the third party thus must be responsible for its behaviors. This is achieved in OFE protocols with another property called accountability. It is unfortunate that the accountability has never been formally studied in OFE since its introduction ten years ago. In this paper, we fill these gaps by giving the first complete definition of accountability in OFE where one of the exchanged items is a digital signature and a generic (also the first) design of OFE where transparency and accountability coexist

Decentralized Inverse Transparency With Blockchain

Employee data can be used to facilitate work, but their misusage may pose risks for individuals. Inverse transparency therefore aims to track all usages of personal data, allowing individuals to monitor them to ensure accountability for potential misusage. This necessitates a trusted log to establish an agreed-upon and non-repudiable timeline of events. The unique properties of blockchain facilitate this by providing immutability and availability. For power asymmetric environments such as the workplace, permissionless blockchain is especially beneficial as no trusted third party is required. Yet, two issues remain: (1) In a decentralized environment, no arbiter can facilitate and attest to data exchanges. Simple peer-to-peer sharing of data, conversely, lacks the required non-repudiation. (2) With data governed by privacy legislation such as the GDPR, the core advantage of immutability becomes a liability. After a rightful request, an individual's personal data need to be rectified or deleted, which is impossible in an immutable blockchain. To solve these issues, we present Kovacs, a decentralized data exchange and usage logging system for inverse transparency built on blockchain. Its new-usage protocol ensures non-repudiation, and therefore accountability, for inverse transparency. Its one-time pseudonym generation algorithm guarantees unlinkability and enables proof of ownership, which allows data subjects to exercise their legal rights regarding their personal data. With our implementation, we show the viability of our solution. The decentralized communication impacts performance and scalability, but exchange duration and storage size are still reasonable. More importantly, the provided information security meets high requirements. We conclude that Kovacs realizes decentralized inverse transparency through secure and GDPR-compliant use of permissionless blockchain.Comment: Peer-reviewed version accepted for publication in ACM Distributed Ledger Technologies: Research and Practice (DLT). arXiv admin note: substantial text overlap with arXiv:2104.0997

A P2P Optimistic Fair Exchange (OFE) Scheme For Personal Health Records Using Blockchain Technology

In today’s digital world, it is common to exchange sensitive data between different parties. There are many examples of sensitive data or documents that require a digital exchange, such as banking information, insurance data, health records. In many cases, the exchange exists between unknown and untrusted parties. Therefore, it is essential to execute the data exchange over a fair non-repudiation protocol. In digital communication, non-repudiation is undeniable evidence of one’s responsibility regarding the validity of any data he shares/receives. Usually, this is achieved by the use of a cryptographic digital signature. In this case, the parties cannot deny the authenticity of their digital signature. The protocol satisfies the fairness property if and only if it does not give the sender any advantages over the receiver or vice versa, at any step during the exchange process. Combining fair exchange and non-repudiation for digital exchange is critical in many applications and can be acquired with or without the involvement of any trusted third party (TTP). However, without the involvement of TTP, fairness becomes probabilistic, and the involvement of TTP can cause significant dependency on the third party. Therefore, a peer-to-peer (P2P) (aka offline) fair non-repudiation protocol that does not require a trusted third-party is desirable in many applications. Blockchain is designed in such a way that the network can handle the trustless environment and deliver the correct result. Thus, if the exchanges are done leveraging Blockchain, it will ensure true fairness, and at the same time, none of the participants have to deal with the trust issue. In this thesis we propose a P2P fair non-repudiation data exchange scheme by leveraging Blockchain and distributed ledger technology. The scheme combines on-chain and off-chain communication patterns to enable the exchange of personal health records between patients and healthcare providers. We provide an informal reasoning of the proposed scheme. Moreover, we propose a design and implementation agnostic to existing Blockchain platforms to enable unbiased evaluation of the proposed scheme. Finally, we make a comparative analysis of the result derived from our approach with the existing one

SoK: Log Based Transparency Enhancing Technologies

This paper systematizes log based Transparency Enhancing Technologies. Based on established work on transparency from multiple disciplines we outline the purpose, usefulness, and pitfalls of transparency. We outline the mechanisms that allow log based transparency enhancing technologies to be implemented, in particular logging mechanisms, sanitisation mechanisms and the trade-offs with privacy, data release and query mechanisms, and how transparency relates to the external mechanisms that can provide the ability to contest a system and hold system operators accountable. We illustrate the role these mechanisms play with two case studies, Certificate Transparency and cryptocurrencies, and show the role that transparency plays in their function as well as the issues these systems face in delivering transparency

Deliberative Democracy in the EU. Countering Populism with Participation and Debate. CEPS Paperback

Elections are the preferred way to freely transfer power from one term to the next and from one political party or coalition to another. They are an essential element of democracy. But if the process of power transfer is corrupted, democracy risks collapse. Reliance on voters, civil society organisations and neutral observers to fully exercise their freedoms as laid down in international human rights conventions is an integral part of holding democratic elections. Without free, fair and regular elections, liberal democracy is inconceivable. Elections are no guarantee that democracy will take root and hold, however. If the history of political participation in Europe over the past 800 years is anything to go by, successful attempts at gaining voice have been patchy, while leaders’ attempts to silence these voices and consolidate their own power have been almost constant (Blockmans, 2020). Recent developments in certain EU member states have again shown us that democratically elected leaders will try and use majoritarian rule to curb freedoms, overstep the constitutional limits of their powers, protect the interests of their cronies and recycle themselves through seemingly free and fair elections. In their recent book How Democracies Die, two Harvard professors of politics write: “Since the end of the Cold War, most democratic breakdowns have been caused not by generals and soldiers but by elected governments themselves” (Levitsky and Ziblatt, 2018)

A vision for global privacy bridges: Technical and legal measures for international data markets

From the early days of the information economy, personal data has been its most valuable asset. Despite data protection laws and an acknowledged right to privacy, trading personal information has become a business equated with "trading oil". Most of this business is done without the knowledge and active informed consent of the people. But as data breaches and abuses are made public through the media, consumers react. They become irritated about companies' data handling practices, lose trust, exercise political pressure and start to protect their privacy with the help of technical tools. As a result, companies' Internet business models that are based on personal data are unsettled. An open conflict is arising between business demands for data and a desire for privacy. As of 2015 no true answer is in sight of how to resolve this conflict. Technologists, economists and regulators are struggling to develop technical solutions and policies that meet businesses' demand for more data while still maintaining privacy. Yet, most of the proposed solutions fail to account for market complexity and provide no pathway to technological and legal implementation. They lack a bigger vision for data use and privacy. To break this vicious cycle, we propose and test such a vision of a personal information market with privacy. We accumulate technical and legal measures that have been proposed by technical and legal scholars over the past two decades. And out of this existing knowledge, we compose something new: a four-space market model for personal data

Towards practicalization of blockchain-based decentralized applications

Blockchain can be defined as an immutable ledger for recording transactions, maintained in a distributed network of mutually untrusting peers. Blockchain technology has been widely applied to various fields beyond its initial usage of cryptocurrency. However, blockchain itself is insufficient to meet all the desired security or efficiency requirements for diversified application scenarios. This dissertation focuses on two core functionalities that blockchain provides, i.e., robust storage and reliable computation. Three concrete application scenarios including Internet of Things (IoT), cybersecurity management (CSM), and peer-to-peer (P2P) content delivery network (CDN) are utilized to elaborate the general design principles for these two main functionalities. Among them, the IoT and CSM applications involve the design of blockchain-based robust storage and management while the P2P CDN requires reliable computation. Such general design principles derived from disparate application scenarios have the potential to realize practicalization of many other blockchain-enabled decentralized applications. In the IoT application, blockchain-based decentralized data management is capable of handling faulty nodes, as designed in the cybersecurity application. But an important issue lies in the interaction between external network and blockchain network, i.e., external clients must rely on a relay node to communicate with the full nodes in the blockchain. Compromization of such relay nodes may result in a security breach and even a blockage of IoT sensors from the network. Therefore, a censorship-resistant blockchain-based decentralized IoT management system is proposed. Experimental results from proof-of-concept implementation and deployment in a real distributed environment show the feasibility and effectiveness in achieving censorship resistance. The CSM application incorporates blockchain to provide robust storage of historical cybersecurity data so that with a certain level of cyber intelligence, a defender can determine if a network has been compromised and to what extent. The CSM functions can be categorized into three classes: Network-centric (N-CSM), Tools-centric (T-CSM) and Application-centric (A-CSM). The cyber intelligence identifies new attackers, victims, or defense capabilities. Moreover, a decentralized storage network (DSN) is integrated to reduce on-chain storage costs without undermining its robustness. Experiments with the prototype implementation and real-world cyber datasets show that the blockchain-based CSM solution is effective and efficient. The P2P CDN application explores and utilizes the functionality of reliable computation that blockchain empowers. Particularly, P2P CDN is promising to provide benefits including cost-saving and scalable peak-demand handling compared with centralized CDNs. However, reliable P2P delivery requires proper enforcement of delivery fairness. Unfortunately, most existing studies on delivery fairness are based on non-cooperative game-theoretic assumptions that are arguably unrealistic in the ad-hoc P2P setting. To address this issue, an expressive security requirement for desired fair P2P content delivery is defined and two efficient approaches based on blockchain for P2P downloading and P2P streaming are proposed. The proposed system guarantees the fairness for each party even when all others collude to arbitrarily misbehave and achieves asymptotically optimal on-chain costs and optimal delivery communication

New Applications Of Public Ledgers

The last decade and a half has seen the rise of a new class of systems loosely categorized as public ledgers. Public ledgers guarantee that all posted information is permanently available to the entire public. Common realizations of public ledgers include public blockchains and centralized logs. In this work we investigate novel applications of public ledgers. We begin by describing enclave ledger interaction, a computational method that allows the execution of trusted execution environments or cryptographically obfuscated programs to be conditioned on the contents of the ledger. We then show how this conditional execution paradigm can be used to achieve fairness in dishonest majority secure multiparty computation, which is impossible in the plain model. Finally, we show how conditional execution can be used to build systems that facilitate law enforcement access to ciphertext while ensuring robust transparency and accountability mechanisms