A Survey on Privacy Preserving and Trust Building Techniques of Blockchain-Based Systems

Abstract

Blockchain technology has gained significant attention in recent years due to its decentralized and immutable nature, and has made itself ideal for various applications such as finance, supply chain management, and healthcare. However, privacy and trust issues have emerged as major challenges in blockchain-based systems/applications. This work provides a detailed explanation of the existing privacy-preserving and trust-building techniques in blockchain-based systems. The authors begin by discussing the fundamental concepts of blockchain technology and its features that affect privacy and trust. Further, they discuss the privacy challenges faced by blockchain systems. Various privacy-preserving techniques, such as encryption, zero-knowledge proofs, and mix-zones, are explained in detail (with highlighting their strengths and limitations). In addition to privacy, trust is an important aspect of blockchain-based systems.