"2) I think that some of our analysis would be possible to foil. Its probably possible for client software to avoid a lot of the account 'linking' that is due to transactions inputs being merged,"
I think it should be adopted by the official client, and, ideally, the users educated as to its usage; it would mitigate a lot of the entity resolution, which our work shows is a widespread problem.
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"2) I think that some of our analysis would be possible to foil. Its probably possible for client software to avoid a lot of the account 'linking' that is due to transactions inputs being merged,"
I already did some work on this:
http://coderrr.wordpress.com/2011/06/30/patching-the-bitcoin...
That's really nice work.
I think it should be adopted by the official client, and, ideally, the users educated as to its usage; it would mitigate a lot of the entity resolution, which our work shows is a widespread problem.