Table of contents
- Atomic Units
- Coinbase Transaction
- Cryptographic Signature
- Mnemonic Seed
- Paper Wallet
- Payment ID
- Pedersen Commitment
- Ring CT
- Ring Signature
- Ring Size
- Smart Mining
- Spend Key
- Stealth Address
- Transaction Unlock Time
- View Key
Those familiar with Leviar's predecessors will be more familiar with the term wallet to describe this. In Leviar we call this an account, and it is a private account owned and operated by a Leviar user.
Your account contains all of the Leviar transactions you have sent and received. Your account balance is a sum of all the Leviar you've received, less the Leviar you've sent. When using Leviar you may notice that your account has two balances, a locked and an unlocked balance. The unlocked balance contains funds that can be spent immediately, and the locked balance contains funds that you can't spend right now. You may receive a transaction that has an unlock time set, or you may have sent some Leviar and are waiting for the change to come back to your wallet, both situations that could lead to those funds being locked for a time.
A key difference between traditional electronic currency and Leviar is that your account resides only under your control, normally on your computer, and cannot be accessed by anyone else if you practice good security.
There are no costs attached to creating a Leviar account, and there are no fees charged except for individual transaction fees that go to miners.
This means that individuals can easily create a Leviar account for themselves as well as a joint account to share with their partner, and individual accounts for their children. Similarly, a business could create separate accounts for each division or group. Since Leviar's transaction fees are quite low, moving funds between accounts is not an expensive exercise.
Leviar relies heavily on a cryptography principle known as public/private key cryptography or asymmetric cryptography, which is thoroughly detailed in this Wikipedia article.
Your account is based on two keys, a spend key and a view key. The spend key is special in that it is the single key required to spend your Leviar funds, whereas the view key allows you to reveal your transactions to a third party, for example for auditing or accounting purposes. These keys in your account also play an important role in Leviar's transaction-privacy.
The private keys for both of these must be protected by you in order to retain your account privacy. On the other hand, the public keys are obviously public (they are part of your Leviar account address). For normal public/private key cryptography someone could send you a private message by encrypting it with either of your public keys, and you would then be the only one able to decrypt it with your private keys.
Backing Up Your Account
When you manage your own Leviar Account with the private spend key, you are solely responsible for the security of your funds. Thankfully, Leviar makes it very easy to backup your account. When creating a Leviar account for the first time you will be given a unique mnemonic seed for your account that consists of 13 or 25 words in the language of your choosing. This seed is the only thing you need to backup for your account, and so it is imperative that it is written down and stored securely. Never store this seed in a form or location that would allow someone else to see it!
As the example above indicates, it is incredibly important to store these words in safe locations. If you are concerned about the risk of critical loss at your home, for instance, you may want to store a second copy of your seed with your attorney or in a safety deposit box. It is also recommended that it is stored in a way that does not make it obvious that it is your seed, so writing it into a letter or as part of other notes is advisable.
Practicing Good Security
Over and above backing up your mnemonic seed so that you have access to your account in the event of critical data loss, it is also important to practice good security. Use a secure password when creating a local Leviar account (not used on web-based account systems).
Don't ever give your Leviar account password to anyone, as this can be used to access the Leviar on your computer without knowing your mnemonic seed. Similarly, make sure you have running and up-to-date antivirus, especially on Windows computers. Finally, be careful when clicking links in emails or on unknown and untrusted websites, as malware installed on your computer can sit and wait for you to access your Leviar account before taking the funds from it.
Leaving Your Account to Next of Kin
Providing access to your Leviar account to your next of kin is just as easy as it is to backup your Leviar account. Simply leave your mnemonic seed to them in your will, or store it somewhere safe where it will be given to them upon the execution of your will. A key advantage to this is that your next of kin won't have to wait for months for a third party to release the funds to them.
When you send Leviar to someone you only need one piece of information, and that is their Leviar address. A raw Leviar address is a set of 95 characters starting with a 'L'. The Leviar donation address, for instance, is Le3FFq5kSiGBoZ4NMDwYtN18obc8AemS33DBLWs3H7otXft3XjrpDtQGv7SqSsaBYBb98uNbr2VBBEt7f2wfn3RVGQBEP3A.
If you would like to get an OpenAlias address of your own then there is some information on the OpenAlias page.
An integrated address is an address combined with an encrypted 64-bit payment ID. A raw integrated address is 106 characters long.
The address is actually the concatenation, in Base58 format, of the public spend key and the public view key, prefixed with the network byte (the number 118 or 0x76 for Leviar) and suffixed with the first four bytes of the Keccac-256 hash of the whole string (used as a checksum).
Atomic Units refer to the smallest fraction of 1 XLC. One atomic unit is currently 1e-8 XLC (0.00000001 XLC). It may be changed in the future.
A block is a container of transactions, with a new block being added to the blockchain once every minute, on average.
Blocks are created through the process of mining, and the node that successfully mines the block then broadcasts it to each of the nodes connected to it, who subsequently re-broadcast the block until the entire Leviar network has received it.
Fake or bad blocks generally cannot be created, as nodes that receive blocks always verify the transactions they contain against a set of consensus rules that all nodes adhere to, including validating the cryptographic signatures on each transaction.
A blockchain is a distributed database that continuously grows with a record of all of the transactions that have occurred with a given cryptocurrency. This database is often referred to as a ledger because the data contains a large list of transactions that have taken place. In Leviar, these transactions are packaged together into 'blocks' every 2 minutes (on average), and all miners and nodes on the network have copies of these blocks.
Unlike Bitcoin and other cryptocurrencies, transactions in the Leviar blockchain do not reveal where funds came from or went to, providing anonymity and making the currency completely fungible. Additionally, the amounts of all transactions are hidden by ringCT, a feature of Leviar. For auditing or other transparency purposes a user can share a view key to prove they control certain amounts of Leviarj.
The daemon running on a local node has to sync with other (remote) nodes. While it is not fully synced, wallet may still be connected to the local node. Therefore, the wallet cannot access the blocks that are not yet synced on the local node.
To allow the wallet to be immediately usable, the daemon on the local node uses a bootstrap node to which the RPC request are proxying to, giving access to the missing blocks.
Note: the replies from the bootstrap node may be untrustworthy.
Leviar sent as part of a transaction, that returns to your account instead of going to another recipient.
The wallet in the Leviar software makes change automatically, but when you send a transaction, you are taking an input that you control and telling the Leviar network what to do with it. The input is a "deposit" to your account that you are able to spend. Outputs are the part of the transaction that tells the Leviar network where to send the funds.
You might have multiple inputs in your account, in many different denominations (For example: you deposited 0.5 XLC on Friday, and 0.75 XLC on Saturday). So, when have a transaction with an input of 0.5 XLC, but you only want to send 0.1 XLC, your transaction will include a fee to pay the miner, an output for 0.1 XLC to send to the recipient, and the rest that you want to send back to yourself will be an output back to you (this is called "change"). Once the transaction is completed, the change becomes available to you as an input that you can again split and send with a new transaction.
A special type of transaction included in each block, which contains a small amount of leviar sent to the miner as a reward for their mining work.
Consensus describes a property of distributed networks like leviar where most of the participants follow the rules, and thus reject bad participants.
A digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, usually operating independently of a central bank.
Cryptocurrency is the generic term for a large set of digital assets that use encryption techniques to generate units of currency, verify the transactions, and transfer value. Generally, cryptocurrencies are considered to be decentralized. Cryptocurrency should not be confused with virtual currency which is a type of digital money that is usually controlled by its creators or developers. Some examples of virtual currency are gametime in World of Warcraft, ROBUX in Roblox, reward points programs, or Ripple, all of which can be exchanged for currency or cash value, but are not considered cryptocurrency because they are centalized and controlled/issued by a single entity.
Leviar is one of many cryptocurrencies currently available. Other examples are Monero, Bitcoin, Litecoin, Dogecoin, Dash, Zcash, etc, but nearly all other cryptocurrencies lack features that make them a true money (most importantly fungibility which is a requirement for it to be a store-of-value).
Not all cryptocurrencies operate the same, but they usually share the properties of decentralization, encryption, and the ability to send and receive transactions. Most are irreversible, pseudonymous, global, and permissionless. Most aim to be a store-of-value or be digital cash that allows you to transact.
Most cryptocurrencies (including Leviar) use a distributed ledger (called a blockchain) to keep track of previous transactions. The blockchain serves to tell other users on the network that transactions have happened. There are many different ways for cryptocurrencies to create their blockchain, and not all are the same. Leviar uses proof-of-work to craft blocks, where other cryptocurrencies may use proof-of-stake or other consolidated methods.
Ultimately, cryptocurrency is an attempt to create trustless value; that is free from borders, governments, and banks. Whether that be to transact or to be digital gold is up to the users of each.
A cryptographic method for proving ownership of a piece of information, as well as proving that the information has not been modified after being signed.
The smallest fraction of Leviar in the current leviard implementation is also known as the atomic unit, which is currently 0.00000001 XLC.
In cryptography, encryption is the process of encoding messages or information in such a way that only authorized parties can decode and read what is sent. Encryption does not of itself prevent interception, but denies the message content to the interceptor.
In an encryption scheme, the intended communication information or message (referred to as plaintext), is encrypted using an encryption algorithm, generating ciphertext that can only be read if decrypted. For technical reasons, an encryption scheme usually uses a pseudo-random encryption key generated by an algorithm. It is in principle possible to decrypt the message without possessing the key, but, for a well-designed encryption scheme, large computational resources and skill are required. An authorized recipient can easily decrypt the message with the key provided by the originator to recipients, but not to unauthorized interceptors.
The purpose of encryption is to ensure that only somebody who is authorized to access data (e.g. a text message or a file), will be able to read it, using the decryption key. Somebody who is not authorized can be excluded, because he or she does not have the required key, without which it is impossible to read the encrypted information.
By actively managing a distributed network-database, a router with floodfill capability has the ability to help maintain network stability and resiliancy while also being decentralized and trust-less.
Though floodfill itself is a simple storage system, the technical underpinnings of floodfill as it relates to Network Database and other protocols within I2P are much more complex. Visit the Network Database page for details.
Property of a currency whereby two units can be substituted in place of one another.
Fungibility means that two units of a currency can be mutually substituted and the substituted currency is equal to another unit of the same size. For example, two $10 bills can be exchanged and they are functionally identical to any other $10 bill in circulation (although $10 bills have unique ID numbers and are therefore not completely fungible). Gold is probably a closer example of true fungibility, where any 1 oz. of gold of the same grade is worth the same as another 1 oz. of gold. Leviar is fungible due to the nature of the currency which provides no way to link transactions together nor trace the history of any particular XLC. 1 XLC is functionally identical to any other 1 XLC.
Fungibility is an advantage Leviar has over Bitcoin and almost every other cryptocurrency, due to the privacy inherent in the Leviar blockchain and the permanently traceable nature of the Bitcoin blockchain. With Bitcoin, any BTC can be tracked by anyone back to its creation coinbase transaction. Therefore, if a coin has been used for an illegal purpose in the past, this history will be contained in the blockchain in perpetuity. This lack of fungibility means that certain businesses will be obligated to avoid accepting BTC that have been previously used for purposes which are illegal, or simply run afoul of their Terms of Service. Currently some large Bitcoin companies are blocking, suspending, or closing accounts that have received Bitcoin used in online gambling or other purposes deemed unsavory by said companies.
Leviar has been built specifically to address the problem of traceability and non-fungibility inherent in other cryptocurrencies. By having completely private transactions Leviar is truly fungible and there can be no blacklisting of certain XLC, while at the same time providing all the benefits of a secure, decentralized, permanent blockchain.
The process of cryptographically computing a mathematical proof for a block, containing a number of transactions, which is then added to the blockchain.
Mining is the distributed process of confirming transactions on the public ledger of all transactions, aka blockchain. Leviar nodes use the blockchain to distinguish legitimate transactions from attempts to re-spend coins that have already been spent elsewhere.
Leviar is powered strictly by Proof of Work. It employs a mining algorithm that has the potential to be efficiently tasked to billions of existing devices (any modern x86 CPU and many GPUs). Leviar uses the CryptoNight Proof of Work (PoW) algorithm, which is designed for use in ordinary CPUs and GPUs.
The smart mining feature allows transparent CPU mining on the user's computer, far from the de facto centralization of mining farms and pool mining, pursuing Satoshi Nakamoto's original vision of a true P2P currency.
A 13 or 25 word phrase used to backup a leviar account, available in a number of languages. This 25-word phrase has all the information needed to view and spend funds from a Leviar account.
In the official wallet, the mnemonic seed comprises 25 words with the last word being used as a checksum. Those words correspond to a 256-bit integer, which is the account's private spend key. The private view key is derived by hashing the private spend key with Keccak-256, producing a second 256-bit integer. The corresponding public keys are then derived from the private keys.
By storing the 25 word mnemonic key in a secure location, you have a backup of your private keys. Sharing this 25 word key is the equivalent of allowing another person complete access to your funds.
It's not a good idea to store more than you want to lose in a "hot wallet" aka a wallet which is currently or has ever been connected to the Internet or loaded onto any device that has or may in the future be connected to the Internet or any untrusted source!
A device on the internet running the leviar software, with a full copy of the leviar blockchain, actively assisting the leviar network.
Nodes participate in the Leviar network and secure transactions by enforcing the rules of the network. Nodes download the entire blockchain to know what transactions have taken place. Nodes assist the network by relaying transactions to other nodes on the network. Nodes may also choose to contribute to the Leviar network by participating in crafting blocks (this is called mining).
Mining is the process by which nodes create a block from the previously accepted block, transactions that are waiting to be processed in the transaction pool, and the coinbase transaction. When a node believes it has crafted a valid block it will transmit the completed block to other nodes on the network and those nodes signal agreement by working on the next block in the chain.
The rules that nodes follow are built into the Leviar software; When all nodes agree about the rules to follow this is called consensus. Consensus is necessary for a cryptocurrency because it is how the blockchain is built; If nodes don't agree about which blocks are valid, for example people who have not updated their Leviar software, those nodes that don't agree will no longer be able to participate in the Leviar network.
Payment ID is an arbitrary and optional transaction attachment that consists of 32 bytes (64 hexadecimal characters) or 8 bytes (in the case of integrated addresses).
The Payment ID is usually used to identify transactions to merchants and exchanges: Given the intrinsic privacy features built into Leviar, where a single public address is usually used for incoming transactions, the Payment ID is especially useful to tie incoming payments with user accounts.
Compact Payment IDs and Integrated Addresses
Since the 0.9 Hydrogen Helix version, Payment IDs can be encrypted and embedded in a payment address. The Payment IDs of this type should be 64-bits and are encrypted with a random one-time key known only to the sender and receiver.
Creating a Payment ID
It is recommended to use the official wallet's integrated_address command to automatically generate Integrated Addresses that contain Compact Payment IDs. If you want to use the command line, you can generate Payment IDs as follows:
Creating a compact Payment ID for an Integrated Address:
- openssl rand -hex 8
Creating an old-style Payment ID:
- openssl rand -hex 32
Pedersen commitments are cryptographic algorythms that allow a prover to commit to a certain value without revealing it or being able to change it.
When you spend Leviar, the value of the inputs that you are spending and the value of the outputs you are sending are encrypted and opaque to everyone except the recipient of each of those outputs. Pedersen commitments allow you to send Leviar without revealing the value of the transactions. Pedersen commitments also make it possible for people to verify that transactions on the blockchain are valid and not creating Leviar out of thin air.
What It Means
As long as the encrypted output amounts created, which include an output for the recipient and a change output back to the sender, and the unencrypted transaction fee is equal to the sum of the inputs that are being spent, it is a legitimate transaction and can be confirmed to not be creating Leviar out of thin air.
Pedersen commitments mean that the sums can be verified as being equal, but the Leviar value of each of the sums and the Leviar value of the inputs and outputs individually are undeterminable. Pedersen commitments also mean that even the ratio of one input to another, or one output to another is undeterminable.
It is unclear which inputs are really being spent as the ring signature lists both the real inputs being spent and decoy inputs, therefore you don't actually know which input Pedersen commitments need to be summed. That's okay, because the ringCT ring signature only has to prove that for one combination of the inputs the outputs are equal to the sum of the inputs. For mathematical reasons, this is impossible to forge.
RingCT, short for Ring Confidential Transactions, is how transaction amounts are hidden in Leviar.
Ring CT was implemented in block #1220516 in January 2017. After September 2017, this feature became mandatory for all transactions on the network.
RingCT introduces an improved version of ring signatures called "A Multi-layered Linkable Spontaneous Anonymous Group signature", which allows for hidden amounts, origins and destinations of transactions with reasonable efficiency and verifiable, trustless coin generation.
For more information, please read the creator Shen Noether's paper here.
In cryptography, a ring signature is a type of digital signature that can be performed by any member of a group of users that each have keys. Therefore, a message signed with a ring signature is endorsed by someone in a particular group of people. One of the security properties of a ring signature is that it should be computationally infeasible to determine which of the group members' keys was used to produce the signature.
For instance, a ring signature could be used to provide an anonymous signature from "a high-ranking White House official", without revealing which official signed the message. Ring signatures are right for this application because the anonymity of a ring signature cannot be revoked, and because the group for a ring signature can be improvised (requires no prior setup).
Application to Leviar
A ring signature makes use of your account keys and a number of public keys (also known as outputs) pulled from the blockchain using a triangular distribution method. Over the course of time, past outputs could be used multiple times to form possible signer participants. In a "ring" of possible signers, all ring members are equal and valid. There is no way an outside observer can tell which of the possible signers in a signature group belongs to your account. So, ring signatures ensure that transaction outputs are untraceable. Moreover, there are no fungibility issues with Leviar given that every transaction output has plausible deniability (e.g. the network can not tell which outputs are spent or unspent).
To read how Leviar gives you privacy by default (unlinkability), see stealth addresses.
Ring size refers to the total number of possible signers in a ring signature. If a ring size of 4 is selected for a given transaction, this means that there are 3 foreign outputs in addition to your “real” output. A higher ring size number will typically provide more privacy than a lower number. However, reusing an odd, recognizable ring size number for transactions could possibly make transactions stand out.
Ring size = foreign outputs + 1 (your output)
Leviar has no hardcoded maximum block size, which means that unlike Bitcoin it does not have a 1 MB block size limit preventing scaling. However, a block reward penalty mechanism is built into the protocol to avoid a too excessive block size increase: The new block's size (NBS) is compared to the median size M100 of the last 100 blocks. If NBS>M100, the block reward gets reduced in quadratic dependency of how much NBS exceeds M100. E.g. if NBS is [10%, 50%, 80%, 100%] greater than M100, the nominal block reward gets reduced by [1%, 25%, 64%, 100%]. Generally, blocks greater than 2*M100 are not allowed, and blocks <= 60kB are always free of any block reward penalties.
Smart mining is the process of having a throttled miner mine when it otherwise does not cause drawbacks. Drawbacks include increases heat, slower machine, depleting battery, etc. The intent of smart mining is to increase network security by allowing as many people as possible to let the smart miner on all the time. For this to work, the miner must prove unobtrusive, or it will be turned off, depriving the Leviar network from a little bit of security. As such, it is likely that a smart miner will mine slower than a normal miner on the same hardware.
Smart mining is available in the official CLI and GUI wallet, which are available in the downloads page.
It is hoped that the relative slowness of a smart miner (especially on low-power machines) will be offset by the large amount of people running a miner for a possible "lottery win", and thus increase the Leviar network security by a non trivial amount. The increased hash rate from many different sources helps keep the Leviar network decentralized.
One of the two pairs of private and public cryptographic keys that each account has, with the private spend key used to spend any funds in the account.
The private spend key is a 256-bit integer that is used to sign Leviar transactions. With the current deterministic key derivation method of the official wallet, the private spend key is also an alternate representation of the mnemonic seed. It can be used to derive all other account keys.
Stealth addresses are an important part of Leviar's inherent privacy. They allow and require the sender to create random one-time addresses for every transaction on behalf of the recipient. The recipient can publish just one address, yet have all of his/her incoming payments go to unique addresses on the blockchain, where they cannot be linked back to either the recipient's published address or any other transactions' addresses. By using stealth addresses, only the sender and receiver can determine where a payment was sent.
When you create a Leviar account you’ll have a private view key, a private spend key, and a Public Address. The spend key is used to send payments, the view key is used to display incoming transactions destined for your account, and the Public Address is for receiving payments. Both the spend key and view key are used to build your Leviar address. You can have a “watch only” wallet that only uses the view key. This feature can be used for accounting or auditing purposes but is currently unreliable due to the inability to track outgoing transactions. You can decide who can see your Leviar balance by sharing your view key. Leviar is private by default and optionally semi-transparent!
When using the Leviar Wallet all this is handled by the software. Sending Leviar is as easy as entering the destination address, the amount, and pressing Send. To recieve Leviar, simply provide the sender your Public Address.
To learn how Leviar prevents tracking history (untraceability), see ring signatures.
A special transaction where the recipient can only spend the funds after a future date, as set by the sender.
Unlock time allows you to send a transaction to someone, such that they can not spend it until after a certain number of blocks, or until a certain time.
Note that this works differently than Bitcoin's nLockTime, in which the transaction is not valid until the given time.
A cryptographically signed container that details the transfer of leviar to a recipient (or recipients).
The parameters of a transaction contain one or more recipient addresses with corresponding amounts of funds and a ring size parameter that specifies the number outputs bound to the transaction. The more outputs that are used, a higher degree of obfuscation is possible, but that comes with a cost. Since a transaction gets larger with more outputs, the transaction fee will be higher.
It is possible to form a transaction offline, which offers additional privacy benefits.
A transaction can be uniquely identified with the use of an optional Transaction ID, which is usually represented by a 32-byte string (64 hexadecimal characters).
Every transaction involves two keys: a public spend key, and a public view key. The destination for an output in a transaction is actually a one-time public key computed from these two keys.
When a wallet is scanning for incoming transactions, every transaction is scanned to see if it is for "you". This only requires your private view key and your public spend key, and this check is immutable and cannot be faked. You cannot receive transactions and identify them without a corresponding private view key.
In order to spend the funds you have to compute a one-time private spend key for that output. This is almost always done automatically by the Leviar Wallet software.
One of two sets of private and public cryptographic keys that each account has, with the private view key required to view all transactions related to the account.
Leviar features an opaque blockchain (with an explicit allowance system called the view key), in sharp contrast with transparent blockchains used by any other cryptocurrency not based on CryptoNote. Thus, Leviar is said to be "private, optionally transparent".
Every Leviar address has a private viewkey which can be shared. By sharing a viewkey, a person is allowing access to view every incoming transaction for that address. However, outgoing transactions cannot be reliably viewed as of June 2017. Therefore, the balance of a Leviar address as shown via a viewkey should not be relied upon.
A Leviar account, or wallet, stores the information necessary to send and receive Leviarj. In addition to sending and receiving, the Leviar Wallet software keeps a private history of your transactions and allows you to cryptographically sign messages. It also includes Leviar mining software and an address book.
The term "hot wallet" describes a Leviar account which is connected to the Internet. You can send funds easily but security is much lower than a cold wallet. Never store large amounts of cryptocurrency in a hot wallet!
A cold wallet is generated on a trusted device or computer via an airgap. If the device is to be reused, the data storage should be securely overwritten. As soon as a cold wallet is connected to the Internet or its mnemonic phrase or spend key is entered on an Internet-connected device, it's no longer "cold" and should be considered "hot".
A Leviar paper wallet can be generated by downloading the source code of ( https://paperwallet.leviar.io/ Coming soon). Verify the signature of the code on a trusted airgapped device. Create the wallet and print or store it on the media of your choice.
Adapted from The Moneropedia