Blockchain & Cryptocurrency Glossary

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Stealth Address

1 min read
Pronunciation
[stelth uh-dress]
Analogy
Like giving out single-use P.O. boxes for each sender so nobody can see who’s receiving mail.
Definition
A privacy feature generating unique one-time addresses for each payment to a recipient, unlinkable on-chain.
Key Points Intro
Stealth addresses protect privacy via:
Key Points

Ephemeral keys: Sender derives unique address per tx.

Recipient scan: Wallet scans blockchain for payments.

Unlinkability: Observers cannot link payments.

Optional metadata: Shared via off-chain channel.

Example
A recipient publishes a stealth public key; senders compute one-time P2PKH addresses so only recipient can spend.
Technical Deep Dive
Implement using Diffie-Hellman: sender computes R = r·G, P = H(r·Q)·G + Q. Output to address P. Sender includes R in OP_RETURN. Recipient computes P’=H(d·R)·G+Q and recognizes UTXO.
Security Warning
Wallet must scan all transactions for R values; heavy resource use.
Caveat
Not widely supported in mainstream wallets; custom implementation needed.
Related Terms
Ring Signature
UTXO

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