BTC donation address owner ("Burningman")

[ManfredKarrer]

Docs: https://bisq.wiki/Donation_Address_Owner Team: @bisq-network/donation-address-owners

[wiz]

@burning2019 can you please make your monthly report? also, I checked the current DAO parameter for recipient BTC address 3EtUWqsGThPtjwUczw27YCo6EWvQdaPUyp and it seems there are no transactions there?? https://blockstream.info/address/3EtUWqsGThPtjwUczw27YCo6EWvQdaPUyp

[ripcurlx]

@burning2019 can you please make your monthly report? also, I checked the current DAO parameter for recipient BTC address 3EtUWqsGThPtjwUczw27YCo6EWvQdaPUyp and it seems there are no transactions there?? https://blockstream.info/address/3EtUWqsGThPtjwUczw27YCo6EWvQdaPUyp

This will be relevant when the new trade protocol is live. Until then there won't be any transactions.

[gordonel]

IMHO, it makes much more sense to make a multisig address and have multiple key owners: two main owners, on or a few keys for arbitrators and for trusted developers. We don't want the address owner getting away with funds or worse, scamming people into failing trades

[wiz]

@gordonel Security for trusted roles in the Bisq DAO is actually pretty well thought out. Of course, the donation address keyholder is a very trusted role, right up there with domain name owner and github admin, but this is why it requires posting such a large bond and requires the accountability with monthly reports. I simply made the mistake thinking the role was already active, when it actually just started a few days ago (check the address on block explorer).

If the donation address owner does anything to betray the trust, the DAO can vote to revoke the bond and change the donation address parameter easily. In other words, it would be painful but Bisq is prepared to survive such an attack.

[gordonel]

Can this mechanism and DAO guarantee the user funds will be reimbursed if needed? Do we have protocols in place that would detect malicious behaviour before it's too late?

-------- Original Message -------- On 1 Nov 2019, 15:26, wiz wrote:

@gordonel Security for trusted roles in the Bisq DAO is actually pretty well thought out. Of course, the donation address keyholder is a very trusted role, right up there with domain name owner and github admin, but this is why it requires posting such a large bond and requires the accountability with monthly reports. I simply made the mistake thinking the role was already active, when it actually just started a few days ago (check the address on block explorer).

If the donation address owner does anything to betray the trust, the DAO can vote to revoke the bond and change the donation address parameter easily. In other words, it would be painful but Bisq is prepared to survive such an attack.

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[wiz]

Bisq doesn't hold any user funds. They're always stored in your own wallet, on your own keys, on your own hardware.

[gordonel]

I know that, @wiz. I'm an oldie (more than a year) on Bisq. Asking because this thread really got me thinking: https://bisq.community/t/bisq-donation-address-huge-risk/8618/9

[wiz]

Well then what are you talking about? This address is only for trading fee revenue which is less than 50K BSQ worth of BTC each cycle

[burning2019]

After ending my role as donation address holder I continue to get BTC into the address. Today I send the current balance, 0.19206080 BTC, to burningman2 at address: 3A8Zc1XioE2HRzYfbb5P8iemCS72M6vRJV in transaction: bf863cef33fb1cef44c430b9b7c685bf59545a4e02aacff5415fbeaa9969f0bb

Burning.3 I burnt 34950 BSQ in a transaction fe115185937... having preimage qqrr giving the hash in the OP_RETURN I also burnt 31230 BSQ in transaction dadc281a772... having preimage pobuk giving the hash in the OP_RETURN.

The BTC were sent from the donation address to 14HiewybGjEWVatSm1WPzdpmxyJq4QJRJQ in four installments:

-2.25826040 | b5628ef69f31722ed818ad482380bf87c40a174123d62811d624a29ad5c763e4 -0.01011660 | 27b52e38de262bf3ae60c95551da1ed8175ed5d0b44c151f534724b4a25a24b7 -2.15934260 | f7c76df1f041b5b66840538fec634d126746a2baaec815159797ffc2a9ed119d -0.50648780 | 761cd370582e56f3fc3192480c78c2d66d7ac73a6758e7136132362ea35d751f

I have now 0.11503848 BTC in my wallet and 21.21 BSQ. The donation address contains 0.14486820 BTC which will be sent to 14HiewybGjEWVatSm1WPzdpmxyJq4QJRJQ where I will later buy BSQ and burn.

I will retire from this role which has been taken over by a different person as soon as I have burnt the rest of the funds.

Burning.2 I burnt 30 000 BSQ in transaction: 2452902d1299f36394ad3011a9b8a51e888d594ed3095bc55577091d1ca45ec8

The OP_RETURN contains the number b4f7a135641683aed2312fd2d65d1ae6df750466 which is the hash of the preimage: 13768

The BTC were sent from the donation address to 14HiewybGjEWVatSm1WPzdpmxyJq4QJRJQ in two installments:

-0.57872371 | dae43fd564683bf68da4d4a18a9f2d5842365be6b739f8e7d8af2a4df5cbcee2 -2.00000509 | 9fcd6d22f3a4b48efb5f847d689aa88850fe008bc3f50a3af717db027703f5ce

where the first column is the amount of BTC and the second column is the transaction ID.

I took the best offers unless they were very small and insignificant in the following transactions:

9d17826e62a74aa926732274e50d1714b624275625ea075e482be3e0f3c05c28 674c0eae8f49721e20d80c521aa16b2accc57118243bd925df5ec9fcec13a085 46067ce5b158d62cc52dcbb1c11372ef8966ee50dc3b7c1b974c5abeeb3ca2b2 5e710ec30fc5b0d189cfd814ef724e3de043bfa6bd0b93f59ff66ceb06d548cf 90c6ae5d96f33a0c2c9d4910ea28b6f8673f7e78c5cce365102547bc81d69334

giving an estimated average price of 0.000096 BTC for one BSQ.

I now have 92.98 BSQ and 0.14078686 BTC left in my Bisq application.

Burning.1: I burnt 36000 BSQ in transaction: caf7410187735ac013a3fec0ae6566ee1c9dd2dcf974f0d92d75bb9d22feba6c The burnt amount can be seen in the Bisq application.

The OP_RETURN contains the number 694aa8a44cec8206a0e49f191c875d1279bf2b8f which is the hash of the preimage: Burning.1 Only I could know the preimage.

The BTC were sent from the donation address to 14HiewybGjEWVatSm1WPzdpmxyJq4QJRJQ in several instalments (due to technical issues) as follows:

-0.00876779 | 6871ab282994e1b39906e491693b4fe568da1e3c25d20a15643202be7d4e4a2e -0.01004809 | fbb6025dc9867d33d2c65ede8779f8270bba0f314daa8831135c98d1be3fc743 -0.01092012 | 012773cbe33da53fed484ae67c505627cb881e25bd1286a70179c0467fb4a55d -0.01002642 | 4e74d201fb78840114a1b91f6a395f0bd67b266ac6fb84b52662917573ec8754 -0.01093398 | b0f92cac67bc8a3f48f9f320e54c6575a3610ea1af2bf6ee82d0a555ba93b217 -0.02080280 | 782a487fba40df1c10564b56729ba4f2a8695103ad4f708db6ad32a5df16b91d -0.05000000 | f779431bf378afa5620cd1e93a47acbfb1d6c36b0f5910b4e6c5e2ef0e007aaf -0.30216574 | 19362cbcc7543ead594fae52e576085fc6958e14e94e9bd759fa1e1cc4c73124 -0.40000427 | b59604541295152cdc23633499a35a5af13ddb2669f822d8ed17ae142c613001 -0.40000427 | 45a429c11890c1ffd0b6d36d528b0d6c5cd452cd15b87dbba6e6af57d6c52b9c -0.40000427 | 388b431d681250b5129e761bca0432b2c20e682b45cb31d73c31b84e0f96fb4e -0.40000427 | 4ba08a81d1ff0718219a2ecaa42fb8aaf4cc5797f4ba6fa2ee85b53da33a2543 -0.40000427 | 487bec212d8948f045675bca30921aacb501ac02ffb434a6671153389b2b715b -0.40102720 | 1d434183dff441ee4b06c5e34a4c2bd0470d7016a65a3b0376a563cc3fe73e60 -0.50011900 | 7cd9e34bab8a32f9853ba06107620a0dc5fa3969e99ae32fd0d4a7a3ab852b5c -0.50000000 | b7fcc355bb3d1c0453b884c664932d0f150c799612cd01ea12f9d34178e4c021 -0.01000860 | cf4fcd917cfa9a7a2ade0b8c52ee93465eab3a03acc71d80ad3c6ef9446260cc

where the first column is the amount of BTC and the second column is the transaction ID. This were subsequently used to buy BSQ on the market. 0.26195067 BTC remains to be used to buy BSQ in my Bisq application out of 3.82607221 BTC received.

[ghost]

@burning2019 wrote :

The OP_RETURN contains the number 694aa8a44cec8206a0e49f191c875d1279bf2b8f which is the hash of the preimage: Burning.1

Hello, Could you please give more details about how you obtain this hash ? What exact command(s) did you use in the CLI ? Thanks

[wiz]

@HarryMacfinned go to DAO -> Proof of Burn and you will see the TX, click "verify" and enter the string as the preimage text to verify

@burning2019 in the future maybe it's best to also add the average fill rate, for example this cycle was 3.56412154 BTC to buy 36000 BSQ = average rate of 9900 sats per BSQ! why so high?

[devinbileck]

@HarryMacfinned go to DAO -> Proof of Burn and you will see the TX, click "verify" and enter the string as the preimage text to verify

To actually verify, a signature is needed.

[ghost]

Thanks @wiz and @devinbileck , My Bisq appli was unable to connect yesterday for the whole morning, so I couldn't do anything. I'll retry.

[wiz]

To actually verify, a signature is needed.

The fact that the TX appears in the box means it has already been verified by your Bisq app. The burning man could sign additional messages with this key, but instead he disclosed the pre-image so he proved it was him. Nobody else would randomly burn 36K BSQ with a message of "Burning.1" lol

[wiz]

FYI this is how you verify a Proof of Burn. When the Burning Man disclosed the pre-image string, you can type the string in and get the hash. The hash is what appears in the Proof of Burn box, so it matches and verifies. The "verify" button is if the burning man wants to sign additional messages with the same key, but this functionality is not necessary to verify the burn.

[ghost]

I tried to verify the hash from my CLI. I tried several shaxxxsum functions, but none returns the showed hash. Does somebody know which hash function is used ? (Bisq appli is running today, issues must have been related to seed nodes yesterday morning).

[chimp1984]

I tried to verify the hash from my CLI. I tried several shaxxxsum functions, but none returns the showed hash. Does somebody know which hash function is used ? (Bisq appli is running today, issues must have been related to seed nodes yesterday morning).

Sha256 + Ripemd160

[ripcurlx]

caf7410187735ac013a3fec0ae6566ee1c9dd2dcf974f0d92d75bb9d22feba6c

Do we have a problem with our explorer right now? When visiting https://explorer.bisq.network/tx.html?tx=caf7410187735ac013a3fec0ae6566ee1c9dd2dcf974f0d92d75bb9d22feba6c to check the burn transaction it doesn't show anything right now.

Looking it up in a regular explorer does work (e.g. https://blockstream.info/tx/caf7410187735ac013a3fec0ae6566ee1c9dd2dcf974f0d92d75bb9d22feba6c)

[chimp1984]

For me it works: https://explorer.bisq.network/tx.html?tx=caf7410187735ac013a3fec0ae6566ee1c9dd2dcf974f0d92d75bb9d22feba6c

But yes explorer is pretty unstable and often delayed. Needs some dev love....

[wiz]

@chimp1984 since we added Bitcoin block explorer into the mempool-space project, it would be pretty easy to tweak that to display BSQ transactions as well, I would just need to modify the Bisq node to insert the BSQ transactions into an indexed DB of some kind

[burningman2]

My request to take over the role was accepted by voting. I will start Dec 28th 2019 with first trades and will do it each weekend.

See https://github.com/bisq-network/proposals/issues/149

[burningman2]

Report Dec. 28th 2019

Moved 0.12448339 BTC from cold storage to trade app with tx ID: 7ea3e8a13fe5ebb0b05635c71f5aa196a89a81b6d1b21053dca30322199cc3c8 (miner fee 0.00055521 BTC) Bought 1235.96 BSQ with 0.11 BTC at price 0.000089 BSQ/BTC by taking best offer. Remaining BTC balance for next trade event: 0.01490359 BTC

Burned 1220 BSQ with tx ID: 2f3e9059804107d3d9578badc92ff86ae4f857653c425638d3878339c7ad6ae1 Pre-image for burning: GZxyV4rgmXeUJrqkx Hash: 9bf57db339274b1c6e7267a3b0112840e4dbc858 Signed tx ID 2f3e9059804107d3d9578badc92ff86ae4f857653c425638d3878339c7ad6ae1 Signature: HwdDqFAziMTyrl3wER8MN83ZPpW9/wFfZ/Ew5lVIu6z8O3WUJxRsFxfn5WPSnVFgRTIVdi0miaYr1vsLuUV2l6M=

Remaining BSQ balance: 15.96 BSQ (proof of burn requires a change output)

Next trade event Jan. 4th, 5th 2020.

Trade:

Transactions:

Burn BSQ:

BSQ transactions:

Sign tx id:

Signature verification:

[burningman2]

Report Jan. 5th 2020

Moved 0.26472266 BTC from cold storage to trade app with tx ID: b7769725de388c4ace331920a123eb2448517d9a5aebe6cb350f7f58a347949c (miner fee 0.00061041 BTC)

• Bought 3229.97 BSQ with 0.25 BTC at price 0.0000774 BSQ/BTC by taking best offer (could not take instant offer as I was not sure if I can complete trade in 1 hour, other better offer had too high amount).
• Bought 137.67 BSQ with 0.011 BTC at price 0.0000799 BSQ/BTC by taking best offer (other offers with better prices had too high amounts).

Remaining BTC balance for next trade event: 0.02104337 BTC

Burned 3350 BSQ with tx ID: e69ff42cf6f360ba85338782adef7b69f5201efecc7a52c6c88f6e9793a7d907 Pre-image for burning: DfRr9CHXvL4hMp Hash: 36d75054c56f2ebdf7aa8df1eaaf72c1ff06f928 Signed tx ID e69ff42cf6f360ba85338782adef7b69f5201efecc7a52c6c88f6e9793a7d907 Signature: IJTvra8B9pQr1ejybZL6OLXMUrF4ZkpndpNi2GBpTjx2Knb5FC+Uba/zh0xQgRPUIaLafpM00UGKb41y3IkfR6k=

Remaining BSQ balance: 25.77 BSQ (proof of burn requires a change output)

Next trade event Jan. 11th, 12th 2020.

Trade:

Transactions:

Burn BSQ:

BSQ transactions:

Sign tx id:

Signature verification:

[ifarnung]

@burningman2 Thanks for the report.

One thing I am confused on, what is the donation address at this time? At the beginning of the thread it was: 3EtUWqsGThPtjwUczw27YCo6EWvQdaPUyp Now it seems to be a new address? And what is the 2.21 BTC sitting in the old address for? Thanks for any clarification, I am missing something.

[wiz]

@ifarnung FYI the current Bisq donation address is 3A8Zc1XioE2HRzYfbb5P8iemCS72M6vRJV and can be verified by going to DAO -> Governance -> Make Proposal -> Proposal for changing a parameter -> Recipient BTC Address -> you will see "current value"

[burningman2]

Yes its: 3A8Zc1XioE2HRzYfbb5P8iemCS72M6vRJV Its a cold wallet and I move it to a Bisq app only before the trades.

[burningman2]

3EtUWqsGThPtjwUczw27YCo6EWvQdaPUyp is the old burning man. Still old trades which have been started when he was burningman are using that address for delayed payout when entering arbitration. Should fade out over next weeks.

[burningman2]

Report Jan. 12th 2020

Moved 0.3957178 BTC from cold storage to trade app with tx ID: 2d86af25f8affee4e9bcb28b991c475bd18fff15a3f3c0d99352e1388752ee6a (miner fee 0.00066837 BTC)

• Bought 5448.72 BSQ with 0.34 BTC at price 0.0000624 BSQ/BTC by taking best offer.

Remaining BTC balance for next trade event: 0.08131450 BTC

Burned 5430 BSQ with tx ID: 876420799b098938bc9ae242c30eef06aefeb1361c93302411aa8c7ab55794f9 Pre-image for burning: sdafljl77dsfaklhasd Hash: cf2201718be6f9dae74b613866fd489e867cf208 Signed tx ID 876420799b098938bc9ae242c30eef06aefeb1361c93302411aa8c7ab55794f9 Signature: IMyOaQfcFXdhY2ZJgBQsuOclWdLkkSM9uzmc2Ir9Bw+4OmBakhlRh5ABsGBelki0r6ohQXCRmU21BcqFozBctJw=

Remaining BSQ balance: 14.29 BSQ (proof of burn requires a change output)

Next trade event Jan. 18th, 19th 2020.

Trade:

Transactions:

Burn BSQ:

BSQ transactions:

Sign tx id:

Signature verification:

[ifarnung]

Just my two cents: I monitor the BSQ market everyday and people are generally jumping in front of each other to make better and better offers (especially in front of a BIG order) and often just a few satoshis less. The amount is very specific but my guess is that the other person made a variable order offer, like .1 to .5 for example and the buyer just bought the precise amount needed. Should be easy enough to show the JSON text to verify that is the case... I'm not completely sure though.

[burningman2]

Report Jan. 19th 2020

Received 0.36668715 BTC from cold storage to trade app with tx ID: 7e932473fd23c19b118ff1c3b0d314a2f0a2e419c532513bbf9179e25e42258d Received 2.84184154 BTC from default donation address to trade app. Tx ID: 8d72aab9160ea87c416831c21e5578aecb0f2eab06b1bbb8f1c2715912581582 [1]

• Bought 6666.67 BSQ with 0.36 BTC at price 0.000054 BSQ/BTC by taking offer from refund agent [2] (offer with best price).
• Bought 36851.85 BSQ with 1.99 BTC at price 0.000054 BSQ/BTC by taking offer from refund agent [2] (offer with best price).
• Bought 9259.26 BSQ with 0.5 BTC at price 0.000054 BSQ/BTC by taking offer from refund agent [2] (offer with best price).
• Bought 6481.48 BSQ with 0.35 BTC at price 0.000054 BSQ/BTC by taking offer from refund agent [2] (offer with best price).

Remaining BTC balance for next trade event: 0.14530809 BTC

Burned 59000 BSQ with tx ID: 289c14537ac468b29ec03159bd000dbe49e524c426936e234c574f9923de7857 Pre-image for burning: sdaf923dfsg Hash: a78386dd3b687134101ebb44a4e0606bb32b9fcb Signed tx ID 289c14537ac468b29ec03159bd000dbe49e524c426936e234c574f9923de7857 Signature: IPsgUwurtL3nQlqSZzC7nc/JG+9mp4li3Pyg0dHOXfFjSJ7htcsDVrbS3wk5SqisZ45JUUqtFHwlcPcT6Hvnipo=

Remaining BSQ balance: 186.35 BSQ (kept more BSQ for paying trade fee in next trade event)

Next trade event Jan. 25th, 26th 2020.

Trades:

Transactions:

The received funds at tx ID 289c14537ac468b29ec03159bd000dbe49e524c426936e234c574f9923de7857 is from the burned BSQ (converted to BTC and as it exceeded miner fees it went to the BTC wallet).

Burn BSQ:

BSQ transactions:

Sign tx id:

Signature verification:

[1] The default donation address (set in DAO Params) receives still some funds from BTC trade fees and possibly also from trades ending up in arbitration. This is expected for users who have deactivated the DAO. The owner of the default donation address will send the BTC to @burningman2 once there is some relevant balance (e.g. > 0.5 BTC) collected.

[2] According to https://github.com/bisq-network/proposals/issues/171