For a website taking payments with bitcoins, which is better: taking payments through IP solely or using tons of bitcoin addresses that you have to reuse and reuse?
And why?
For a website taking payments with bitcoins, better: IP or bitcoin addresses?
BitcoinTalk forum · 6 messages · from 9 May 2010 · with Minsc, Satoshi Nakamoto, Xunie, dsg, dwdollar
Read in Satoshi Mail Archive source
Right now, Bitcoin Addresses are the only option if you want automation. If you're only taking donations, or only handling manual transactions, IP Addresses might be better suited. That way they can send you comments or messages about their account info.
Bitcoin addresses also provide better anonymity. In my opinion they are ideal. Otherwise it's necessary to use tor or the like also to guarantee anonymity.
Quote from: dsg on May 09, 2010, 05:09:38 PMBitcoin addresses also provide better anonymity. In my opinion they are ideal. Otherwise it's necessary to use tor or the like also to guarantee anonymity.
Isn't that "unsafe"?
Say I am an exit node listening for bitcoin transactions and grab them?
Or is everything public/private key encrypted?[1]
[1]Which is my guess.
Quote from: soultcer on May 14, 2010, 07:58:57 PMActually no, transfering coins via IP address isn't encrypted. When you transfer coins to an IP, the recipient creates a new address just for that transaction and tells you to transfer coins to that address. A malicious exit node could sniff all Bitcoin traffic and intercept those transactions easily. So for everyone: DO NOT USE IP ADDRESSES AS DESTINATIONS, ALWAYS USE BITCOIN ADDRESSES.
I suggest we disable IP transactions while the user uses a Proxy!
Just to be on the safe side.
Quote from: Xunie on May 14, 2010, 09:52:53 PMI suggest we disable IP transactions while the user uses a Proxy! Just to be on the safe side.
That's a good idea. At the very least a warning dialog explaining that it'll connect to the IP and send the information cleartext, giving the chance to cancel.