WHIT

EP
AP
ER

Resistance. The First Anonymous

Decentralized
Exchange &
Privacy Coin

RELEASE DATE WEBSITE

August 2018 www.resistance.io
Version 1.0
Contents

PART ONE
ABSTRACT 4

PART TWO
INTRODUCTION: WHY RESISTANCE? 6

2.1 The Resistance Vision 7

2.2 The Problems with Cryptocurrency Exchanges 7
2.2.1 Problem 1: Centralized Exchanges Lack Security 8
2.2.2 Problem 2: Decentralized Exchanges Need Refinement 8
2.3 The Problems with Existing Blockchains 9
2.3.1 Problem 1: The Biggest Blockchains are not Privacy Oriented 9
2.3.2 Problem 2: Mining Should Be for Everyone, Not a Monopoly 9
2.4 The Resistance Solution: The First Anonymous Decentralized Exchange 10
2.4.1 Prototype 10

PART THREE
RESISTANCE DECENTRALIZED EXCHANGE: 11
ANONYMOUS, PRIVATE, AND SECURE
3.1 A Trustless Exchange Prevents Malicious Attacks 13
3.2 Not All Decentralized Exchanges are Created Equal 13
3.3 Competitive Advantages of the Resistance Anonymous DEX 14
3.4 How Resistance Powers Anonymous Decentralized Trading 15
3.4.1 The Anatomy of an Atomic Swap 15
3.4.2 Atomic Swaps Cut Out the Middleman 16
3.4.3 Making Atomic Swaps User Friendly 17
3.5 What Makes the Resistance Anonymous DEX Unique? 17

PART FOUR
RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED 18
TRANSACTIONS
4.1 The Privacy Myth 19
4.1.1 Privacy is a Human Right 19
4.1.2 With Privacy Comes Fungibility 19
4.2 The Resistance Privacy-Oriented Blockchain 20
4.3 What is a Zero-Knowledge Proof? 20
4.3.1 Enter the Zero-Knowledge Cave 21
4.3.2 A Brief Introduction to zk-SNARKs 22
4.3.3 Private and Anonymous with One Click 23
4.3.4 Anonymity Assured with Tor 24
4.4 Scalability 25
4.5 What Makes the Resistance Privacy-Oriented Blockchain Unique? 26

2
 PART FIVE PART SIX
RESISTANCE CONSENSUS: 27 RESISTANCE ROADMAP 37
DEMOCRATIC MINING AND
REWARD SPLITTING PART SEVEN
RESISTANCE CROWDSALE 40
5.1 An Introduction to Reward Splitting 28
5.2 Masternodes 29 7.1 Committed to Best Practice 41
5.3 Proof of Work 30 7.2 Private Sale 41
5.3.1 Democratic and Accessible Mining 31 7.3 Public Sale 41
5.3.2 Resistance Desktop Wallet/Miner 32 7.4 Token Allocation 42
5.3.3 Resistance Desktop Prototype 33
5.3.4 Command Line CPU Miner 34 PART EIGHT
5.4 Proof of Research 35 TEAM AND ADVISORS 44
5.4.1 What is BOINC? 35
8.1 The Resistance Team 45
5.4.2 Get Paid to Change the World 36
8.2 Advisors 48
5.4.3 Resistance BOINC Pool 36
5.5 Project Development 36
PART NINE
CONCLUSION 49

PART TEN PART ELEVEN

LEGAL DISCLAIMER 51 GLOSSARY OF TERMS 54

10.1 Information Published in this Whitepaper 52

PART TWELVE
10.2 Translations of the Whitepaper 52
END NOTES 57
10.3 Investment Concerns 52
10.4 Tax Obligations 52
10.5 No Warranties Expressed or Implied 52
10.6 Data Protection 53
10.7 Limitation of Liability 53
10.8 Token Sale 53

3
 PART ONE

Abstract

4 PART ONE: ABSTRACT

Abstract
The growth of cryptocurrencies and blockchain technology is challenging
traditional centralized monetary and financial systems.
Decentralized cryptocurrencies are an
attractive alternative to fiat currencies
for a number of reasons, especially
efficiency. The speed and simplicity
of cross-border cryptocurrency
transactions are astonishing when
compared to their fiat counterparts. For
example, a check written in the US and
then deposited into a UK bank account
can take months to clear.
Another negative characteristic of fiat
currencies is the volatility of interest
rates. Right now, Denmark, Japan,
Sweden, and Switzerland have all
applied negative interest rates so banks
in these countries are charging account
holders interest on their deposits,
instead of paying it [ 1 ].
Cryptocurrencies are thriving, yet when
it comes to cryptocurrency trading
platforms, users currently face many
hurdles, including usability issues,
slow transaction speeds, and a lack
of privacy, security, anonymity, and
freedom.
Most cryptocurrency trading takes place
in centralized exchanges that rely on
trusted third parties, escrow services, or
derivatives, making it almost impossible
to trade anonymously.
Resistance. Trade Freely, Mine Fairly.
5 PART ONE: ABSTRACT
DUE TO THE CENTRALIZED
NATURE OF THESE
PLATFORMS, IT ONLY
TAKES ONE SECURITY
BREACH TO EXPOSE AND
JEOPARDIZE THE ASSETS
OF EVERY USER ON AN
EXCHANGE [ 2 ].
What’s more, when your digital assets
are placed on a centralized exchange
platform, you relinquish control of the
private keys to your own accounts.
This can make your digital assets
inaccessible if the exchange goes offline
as a result of an attack, maintenance
issue, critical hardware failure, or
network access denial scenario.
Decentralized exchanges (DEX) have
begun to challenge the dominance
of centralized exchanges in the
digital currency trading space. But
first-generation DEX’s are slow,
indirect, only moderately secure, and
offer inadequate support for users
concerned about privacy.
Furthermore, massive cryptocurrency
mining operations utilizing expensive,
specialized hardware have made it
extremely difficult for the average
person to compete for block rewards.
To enter the mining space, new users
must make a sizable investment for
marginal returns.
Resistance is the first anonymous
DEX built around a privacy-oriented
blockchain powered by democratically
accessible mining.


The Resistance Anonymous DEX
utilizes atomic swaps to enable fast,
direct, anonymous trades without the
need for a third party.


The Resistance privacy-oriented
blockchain makes fully private
trades possible by using Resistance
coins (RES) as an intermediary and
validating transactions through
zero-knowledge proofs.


The Resistance CPU-Optimized
Miner allows anyone with a laptop
or desktop computer running
macOS, Windows, or Linux to mine
on the Resistance blockchain.


B lock rewards and transaction
fees are split between
masternodes, project development,
Proof of Work, and Proof of
Research on whitelisted BOINC
projects that are advancing
scientific research to help humanity.
 PART TWO

Introduction:
Why Resistance?

6 PART TWO: INTRODUCTION: WHY RESISTANCE?

The Resistance Vision
Resistance is a decentralized,
democratic platform driven by the
belief that blockchain technology
should empower users with the
freedom to mine, trade, invest, and
innovate, regardless of their resources
or technical expertise. Our aim is to
take the complexity away from the
user. Built by a team of cybersecurity
experts, the core values of anonymity,
privacy, decentralization, and
democratic mining are at the forefront
of its development. DEX technology is
the future of cryptocurrency trading,
and Resistance is leading the way.

“I believe that decentralized exchanges are the

future. I don’t know when that future will come.
But we’ve got to be ready for it.”[ 3 ]
Changpeng Zhao, CEO of the centralized exchange Binance

The Problems with

Cryptocurrency Exchanges
Most cryptocurrency exchanges rely on
a central authority, exposing users to the
same problems that plague traditional
monetary systems all over the world.
Over time, there have been countless
examples of governments manipulating
currencies for political purposes, even
those that are well intended, at the
expense of the public. In 2016,the Indian
government caused chaos when it
took 86% of the country’s cash out of
circulation by banning 500 and 1,000
rupee notes [ 4 ]. Relying heavily on
the on the cash economy, a lot of
low-income Indians were badly hit 2  . Decentralized exchanges are often
by the ban. The decentralized nature difficult to use and, typically, have
of cryptocurrencies alleviates these not done enough to preserve the
issues, but most cryptocurrency anonymity of their users.
exchanges do not.
Before Resistance, a fully
There are several key issues plaguing decentralized, democratic, anonymous,
cryptocurrency exchanges today. and easy-to-use cryptocurrency
exchange did not exist.
1   . Cryptocurrencies are mostly
traded on centralized exchanges
that hold custody of users’ private
keys. These centralized exchanges
forfeit privacy and security for
convenience.

7 PART TWO: INTRODUCTION: WHY RESISTANCE? / 2.1 / 2.2

 middleman handles assets on many who are dissatisfied with their

1
PROBLEM 1:
CENTRALIZED
EXCHANGES LACK
SECURITY
The biggest issue with centralized
exchanges is security. Most of the
major exchanges, including Binance,
OKEx, and Huobi, operate using a
centralized model where a trusted
behalf of senders and recipients. With
centralized data, it only takes a single
security breach, or malicious insider, for
users to lose everything.
Perhaps the best-known example
is the 2014 Mt. Gox hack, when the
popular exchange discovered a
security breach that led to the theft
of over 740,000 bitcoins [ 5 ]. In 2016,
$72 million worth of bitcoin was stolen
from users’ wallets on another popular
exchange, Bitfinex [ 6 ]. A year later, the
owner of BTC-e, yet another prominent
centralized exchange, was arrested for
laundering $4 billion in stolen bitcoins
[ 7 ]. Ethereum creator Vitalik Buterin
wants centralized exchanges to “burn
in hell,” echoing the frustrations of
inherent security weaknesses and
undemocratic consolidation of power
[ 8 ].
The security of a user’s digital assets is
paramount to the long-term success of
any cryptocurrency on the market.
As centralized exchanges cannot be
trusted, many in the cryptocurrency
community are calling for a new
solution — decentralized exchanges.
These platforms have been a major
driver in the growth of digital assets
but, at times, have allowed issues
in security to impact the overall
perception of how secure digital
currency services are.

2
PROBLEM 2:

DECENTRALIZED
EXCHANGES NEED
REFINEMENT
In theory, the decentralized model
should eliminate the threat of a cyber
attack infiltrating and crippling a
cryptocurrency exchange.
But at this stage, DEX’s need to mature
significantly to be able to compete at
scale with their centralized counterparts.
Currently, DEX trading is much
slower than trading on a centralized
exchange and lacks the privacy users
expect. Verifying transactions can
take days and user interfaces are
often crude and difficult to navigate.
Though there is no single point of
failure, assets are sometimes stored
on the exchange, rather than in users’
own wallets, and registration, login,
third-party APIs, or derivatives create
vulnerabilities [ 9 ].

8 PART TWO: INTRODUCTION: WHY RESISTANCE? / 2.2.1 / 2.2.2

The Problems with
Existing Blockchains
1 the EU’s General Data Protection
PROBLEM 1:
THE BIGGEST
BLOCKCHAINS ARE NOT
PRIVACY ORIENTED
It’s a common misconception that
all cryptocurrencies offer privacy
and anonymity. In reality, blockchain
technology offers many features
and benefits, but not all blockchains
implement all of these features equally.
In many cases, privacy is downgraded
in favor of other benefits, such as
transparency. For example, Bitcoin
wasn’t designed with privacy in mind.
Bitcoin affords users pseudonymity, but
all transactions take place on a public,
open blockchain, where anyone can view
them [ 10 ]. Tools have been developed
that analyze past transactions and can
even identify the relationships between
the multiple addresses that a person
uses [ 11 ]. If a malicious actor can link
the identity of an individual to a public
wallet address, any trace of privacy or
anonymity is lost.
As blockchain technologies become
more widely adopted, coins that
don’t support user privacy may face
significant challenges because they are
not fungible, meaning all units of the
same value are not equal. When the
entire transaction history of a coin is
traceable, then it is no longer equivalent
to a newly minted coin. The older
coin may be associated with illegal or
unethical transactions and effectively
become devalued in comparison to
9 PART TWO: INTRODUCTION: WHY RESISTANCE? 2.3 / 2.3.1 / 2.3.2
a new coin [ 12 ]. Additionally, with
Regulation (GDPR) now in effect, and
the upcoming California Consumer
Privacy Act, cryptocurrency exchanges
and blockchains are under pressure to
uphold each individual’s right to alter or
delete their own personal information.
Core GDPR principles, like the right
to request deletion or alteration of
Personally Identifiable Information (PII),
are incompatible with public blockchains,
presenting a considerable challenge for
these networks moving forward. But
Resistance was built with an essential
principle of the GDPR in mind: the user’s
ability to control their PII. Resistance
Anonymous DEX users are free to
decide if any PII is to be used on the
blockchain.
2 of the blockchain, which pushes the
PROBLEM 2:
MINING SHOULD BE FOR
EVERYONE, NOT
A MONOPOLY
By their very nature, cryptocurrency
platforms should facilitate democratic
financial processes. A fundamental goal
of blockchain platforms is to take power
away from centralized institutions and
put it in the hands of users.
While this democratization thrives in
some areas, that isn’t the case for
mining — a fundamental element of
blockchain management, security, and
functionality. Rewards have become
so lucrative that massive operations
have hijacked the mining process [ 13 ].
Take Bitcoin for example. At the time
of writing, August 2018, the reward for
completing a block was 12.5 bitcoin.
At the current valuation of $7,000 per
coin, miners make $87,500 by mining
a single block. Today, the average user
can’t compete with massive mining
operations that leverage expensive,
specialized hardware (FPGAs and
ASICs) to mine new blocks, further
eroding the democratic ideal of
blockchain technology. FPGAs and
ASICs have created an unfair power
distribution on many blockchain
networks, dramatically centralizing the
network mining power. For example,
two mining pools owned by one
company, Bitmain, today mine over
40% of the world’s bitcoins [ 14 ].
That means one company controls 40%
network towards a centralized model.
Not only does that make it incredibly
difficult for regular users to mine new
blocks, but it also defeats the main
objective of blockchain technology:
decentralization. It’s also a huge
security risk, leaving the network open
to a “51% attack.” When any single party
gains control of 51% of a blockchain,
they essentially gain the ability to rewrite
past transactions to their favor [ 15 ].
For mining to be genuinely democratic,
everyone should be able to participate
using a regular laptop or desktop
computer. To date, no cryptocurrency
platform has developed an anonymous
DEX, built around a privacy-oriented
blockchain that favors democratic
mining practices.
Except for Resistance.
The Resistance Solution:
The First Anonymous
Decentralized Exchange
Resistance is the first easy-to-use, anonymous, decentralized exchange built
around a privacy-oriented blockchain.
Resistance upholds user privacy,
anonymity, and equality, brings mining
back to regular people, and allocates
a percentage of block rewards to users
committed to changing the world for
the better.
The Resistance Desktop Wallet/
Miner integrates seamlessly with
the platform’s core components:
Prototype
A prototype application and testnet
have already been released. The
Resistance Desktop Wallet/Miner is
available for download now. For macOS
and Windows, the Resistance Desktop
Wallet/Miner offers a graphical user
interface (GUI) that integrates the
user’s wallet with a CPU-optimized
mining client. Tor support enables all
10


The Resistance Anonymous DEX
utilizes atomic swaps to enable fast,
direct, risk-free trade of almost any
cryptocurrency through an easy-
to-use interface. Users retain full
control of their data, IDs, wallets,
and assets at all times.


The Resistance privacy-oriented
blockchain enables the Resistance
Anonymous DEX and offers
users the option to conduct fully
private transactions by validating
transactions through zero-
knowledge proofs.
activity to be anonymous. A command
line version of the app compatible with
Linux as well as macOS and Windows
is also available. For the prototype,
block rewards and transaction fees
are split 50/50 between Proof of
Work and Proof of Research. Users
of the Resistance pool for Proof of
Research can already perform real
PART TWO: INTRODUCTION: WHY RESISTANCE? / 2.4 / 2.4.1


R esistance coins (RES) are created
when blocks are mined through Proof
of Work. By harnessing the Resistance
privacy-oriented blockchain, users can
choose to use RES as an intermediary
coin to add privacy to almost any
cryptocurrency.


The Resistance CPU-Optimized Miner
democratizes the mining process.
All you need to begin mining on the
Resistance blockchain is a laptop or
desktop computer running macOS,
Windows, or Linux operating systems.


Block rewards and transaction fees
are split between masternodes, project
development, Proof of Work, and Proof
of Research on whitelisted BOINC
projects. Proof of Research provides
an alternative way for users to receive
block rewards while contributing
computing power to critical scientific
research.
research and test the functionality of
receiving coins that can be used on the
testnet. After the ICO, the anonymous
decentralized exchange will be built,
allowing users to directly trade almost
any cryptocurrency.
 PART THREE

Resistance Decentralized Exchange:

Anonymous,
Private, and
Secure

11 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE

Anonymous, Private,
and Secure
The Resistance Anonymous DEX is a
revolutionary open-source platform
that eliminates the privacy concerns
and security risks of centralized
exchanges. Trade almost any
cryptocurrency privately, anonymously,
securely, and directly through a user-
friendly, security-focused dashboard.
Our anonymous DEX application is
hosted on the computer of every
trader in the network, and is seperate
from the Resistance blockchain.
However, users can choose to trade
using RES as an intermediary, taking
advantage of the privacy features
integrated into the Resistance
blockchain.
RES AS AN INTERMEDIARY: ADDING PRIVACY TO ANY COIN
The Resistance Anonymous DEX allows
anyone to quickly and directly trade
coins cross-blockchain with any other
user on a decentralized peer-to-peer
network. This means, for example, that
a user can choose to trade bitcoin for
zcash using the Resistance Anonymous
DEX without anything being recorded
on the Resistance blockchain or
touching a centralized server.
As an added feature, users can add
privacy to almost any cryptocurrency,
12 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE
5 WAYS THE RESISTANCE ANONYMOUS
DEX PROTECTS PRIVACY AND FREEDOM


Users have the option to route
transactions and trades through
Tor — an open network that
enables people to communicate
anonymously over the public internet,
or clearnet.


There is no registration process and
users can trade as much as they
want with no withdrawal limit.


There is no third-party escrow
service, so users always retain
control of their funds without the
intervention of a middleman.
including bitcoin, even if that currency
doesn’t support private transactions
natively. By harnessing the power
of the Resistance privacy-oriented
blockchain as an intermediary, users
can also choose to trade almost any
coin for RES first and then trade that
RES for any other cryptocurrency,
making the procedure entirely private.
With a click of a button, users can
enable this privacy feature and the
DEX will automatically trade the coin
of your choice to RES, then send RES in


Atomic swaps allow users to
trade up to 95% of existing
cryptocurrencies directly with one
another.


Users may harness the power of
the Resistance privacy-oriented
blockchain as an intermediary
to achieve entirely private
trades between almost any
cryptocurrency.
Combined with the Resistance
privacy-oriented blockchain,
Resistance Anonymous DEX users
have the option to easily shield their
identities during every stage of a
trade.
place of the original currency, thereby
adding privacy to the trade. Users can
also utilize the same trading mechanism
to turn a non-private cryptocurrency
into a private cryptocurrency by
trading with themselves via RES.
The flexibility of these options means
that the user has complete control over
which trades are private and which are
not. When combined with Resistance
Anonymous DEX atomic swaps, users are
secured during every stage of a trade.
A TRUSTLESS EXCHANGE DISCOURAGES MALICIOUS ATTACKS

Centralized exchange users make
deposits to the exchange and rely
on a third party to authenticate
and authorize transactions. In order
to move coins from a hardware
wallet to the centralized exchange,
a user must manually enter
private keys, which puts that
user at risk of malicious phishing
and keylogging attacks [ 16 ]. The
Resistance Anonymous DEX allows
users to trade directly with their
peers without entrusting private
keys or funds to a central party. By
retaining control of their private
keys, users have peace of mind
knowing no one else has access to
their funds [ 17 ].

CENTRALIZED EXCHANGES

It’s common practice to use
intermediaries, or escrow services, to
facilitate safe exchanges between
different cryptocurrencies. The most
popular solution is to use a centralized
exchange platform like Binance, Bitrex,
Kucoin, Cryptopia, or Polinex. Despite
the advantages of such services, they
also have limitations:


Custody risks counterpose any
notions of transparency, openness,
and independence from trust-
based mechanisms.


System vulnerabilities are common,
and data breaches are becoming more
frequent.


Centralized exchanges charge exorbitant
fees, making them inaccessible to many
emerging cryptocurrencies.

NOT ALL DECENTRALIZED EXCHANGES ARE CREATED EQUAL

Decentralized cryptocurrency exchanges
are still in their infancy. Although the
concept has been discussed for years,
the arrival of usable decentralized
exchange platforms such as IDEX, Waves,
and OpenLedger is relatively recent. As
with all emerging technologies, there are
factors that have limited the viability and
privacy of these initial offerings.
There have been significant growing
pains with first-generation decentralized
exchanges. Most of them are plagued
by privacy concerns and security
weaknesses. As Etherdelta users learned
after hackers stole roughly $270,000 in
tokens in late 2017, some decentralized
exchanges still utilize centralized
hosting of software, data, or servers,
leaving room for a malicious attack. By
eliminating these types of entry points,
Resistance offers a more secure trading
experience. Decentralized exchanges
operated by centralized entities are still
subject to KYC (Know Your Customer)
and AML (anti-money laundering)
regulations requiring users to provide PII
[ 18 ]. Not to mention that, by definition,
a decentralized exchange is not a true
decentralized exchange if it’s based on
centralized infrastructure and resources.
Additionally, first-generation
decentralized exchanges are slow,
difficult to use, and support only a
limited range of cryptocurrencies [ 19 ].

13 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE / 3.1 / 3.2
Competitive Advantages of the Resistance

Anonymous DEX
Resistance is the first anonymous decentralized exchange dedicated to privacy
and security at every stage of a trade. Built with usability at the forefront of its
design, even first-time traders will find the Resistance Anonymous DEX easy to
navigate. There is no registration or login required, no withdrawal limit, and trades
are conducted directly between one computer and another.

First-Generation
Centralized Exchange Decentralized Exchange Resistance Anonymous Dex

Security Centralized data means it only Eliminates the single point of The platform has been built by
takes a single security breach, or failure, but registration, login, a team of cybersecurity experts.
malicious insider, for users to lose and third-party derivatives There is no central entity, making it
everything. create vulnerabilities. very difficult for hackers to attack.

Anonymity To trade anonymously requires a
high-level of technical expertise.
Intercepted traffic can reveal
the IP addresses of both the
sender and receiver of funds,
making them a target for hackers.
While registration requirements
compromise users’ anonymity.
There is no registration process
and, with Tor enabled, IP addresses
are masked, allowing everyone
to trade anonymously — if they
choose to do so.

Privacy Do not offer users the opportunity Typically do not offer users the Users have the option to enable RES
to trade privately. opportunity to trade privately. as an intermediary to harness zero-
knowledge proofs for private trading.

Control Transactions are mediated Assets are sometimes stored on Users keep coins in their own
and funds and private keys are the exchange, rather than in wallets — never on the exchange
controlled by a centralized service. users’ own wallets. — and retain full custody of their
private keys, data, and assets.

Accessibility Typically easy to use without User interfaces can be difficult Accessible to everyone, intuitive,
technical know-how, but convenience to navigate even for technically and easy-to-use.
comes at the expense of security savvy users.
and privacy.

Efficiency Often requires a lengthy verification
process. Because users are unable
to transfer coins directly from wallet
to wallet, it can be difficult and
slow to transfer from a wallet to an
exchange and back again.
Multi-node verification of each
transaction on the blockchain
can take days.
Direct peer-to-peer exchange is
enabled by smart contracts (atomic
swaps) eliminating multiple steps in
the verification process. Trades are
completed instantly and securely.

Liquidity Most support a variety of major, or Typically support a limited Supports 95% of existing
commonly traded, cryptocurrencies number of coins. cryptocurrencies. Users trade
and their third-party derivatives. in coins, not in derivatives or via
escrow services.

14 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE / 3.3
How Resistance Powers
Anonymous Decentralized
Trading
The Resistance Anonymous DEX is supported by three technological pillars that,
collectively, enable users to trade directly and anonymously.
1   . ATOMIC SWAP: An atomic swap is a
smart contract operation that allows
users to exchange one cryptocurrency
with another without putting funds in
escrow. Following a strict process that
holds each party accountable in a trade,
atomic swaps can take place directly
between blockchains, or off-chain,
without the need for a trusted third
party [ 20 ].
THE ANATOMY OF AN ATOMIC SWAP
To understand the power of atomic
swaps, it’s important to know the
shortcomings of existing alternatives.
In a centralized exchange, users
must first register and go through
a KYC verification procedure. Once
15 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE / 3.4 / 3.4.1
2 . ZERO-KNOWLEDGE PROOFS:
A zero-knowledge proof is a method
of authenticating a transaction
without revealing any identifying
information. Based on Zcash, one
of the leading privacy coins and
largest cryptocurrencies in the world,
Resistance uses zero-knowledge
proofs to protect the privacy of
transactions on the Resistance
blockchain. Encrypted transactions
are validated using a Zero-Knowledge
Succinct Non-Interactive Argument of
Knowledge, or zk-SNARK. Rather than
posting sensitive information on the
public blockchain for anyone to see,
zk-SNARKs verify transactions without
revealing identifying information of any
kind [ 21 ].
registered, assets are held in the
centralized exchange at all times and
users can only access their funds
using a designated wallet and private
key provided by the platform. It is
possible for sensitive information to
3  . TOR: Users have the option to
route all network traffic through Tor,
so they are shielded from network
surveillance and transactions remain
anonymous. Tor encrypts data and
directs traffic through a distributed
worldwide network of relays, or nodes,
which conceal sender and recipient IP
addresses [ 22 ].
be exposed and funds stolen at any
point in the identity verification or
transaction process, or while simply
storing assets on the exchange [ 23 ].
But Resistance eliminates these
problems.
Atomic Swaps
Cut Out the
Middleman
On the Resistance Anonymous DEX, users maintain full control of their data
and assets at all times.
Atomic swaps are a way to facilitate
direct, secure, peer-to-peer transfers
of funds on a decentralized exchange,
eliminating the need for a third-party
escrow service. Atomic in this context
simply means that a transaction either
happens completely or not at all.
Atomic swaps rely on cryptographically
powered smart contract technology
to ensure that each party delivers
the agreed upon currency within an
allotted period of time. If one party
fails to deliver their end of the swap,
the transaction is canceled. This
removes the risk of one party failing to
uphold their end of a trade.
16 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE / 3.4.2
Specifically, an atomic swap uses a
Hashed Timelock Contract, or HTLC.
An HTLC is a smart contract that
functions like a “transaction puzzle”
(the hash-lock) with a secret key
[ 24 ]. To “solve” the puzzle, a user
must provide the secret key within a
specified time frame.
Using an atomic swap, if A wishes to
trade funds with B:
1   . Both A and B submit their
transaction to their respective
blockchains.
2 . A produces a secret number, or key,
that only she knows, which is used
to generate a cryptographic hash
as proof of payment.
3  . B provides the same secret number
used to generate the cryptographic
hash.
4  . If user B provides the valid key in
time, B can retrieve the locked coins.
If B fails to provide the valid key in
time, the transaction is canceled
altogether.
HTLCs ensure that the atomic swap
process is completely trustless. In other
words, users are never asked to trust a
central party to handle the transfer of
their assets and do not run the risk of
sending funds without receiving funds
in return.
Making Atomic Swaps

User Friendly
While atomic swap technology is
relatively new, Resistance is not the
first exchange to utilize it. But, until
recently, performing an atomic
ATOMIC SWAPS AND
swap between two cryptocurrencies
THE RESISTANCE
was a difficult process that was not ANONYMOUS DEX
practical for the average user.
Resistance manually performs
cross-chain atomic swaps between
To complete an atomic swap, users regardless various pairs of cryptocurrencies such
were (and on some decentralized of technical as Bitcoin, Ethereum (including its
exchanges, still are) required to know-how. Users ERC20 tokens), EOS, Stellar,
download the complete blockchain can utilize atomic Litecoin, and Cardano.
ledgers of each currency involved to a swaps to quickly trade
local wallet [ 25 ]. This requires ample between 95% of existing
hard-drive space and can takes days cryptocurrencies directly with
to complete. Resistance makes atomic one another without having
swap trading convenient for all users, to download complete blockchain ledgers.

WHAT MAKES THE RESISTANCE ANONYMOUS DEX UNIQUE?

In summary, the Resistance Anonymous DEX stands out because it is the first fully
secure and anonymous exchange empowering users to trade privately, easily,
and directly. The Resistance Anonymous DEX helps to fulfill the original promise of
cryptocurrency by facilitating trade that is:

SECURE & ANONYMOUS DIRECT & EFFICIENT EASY TO USE

Users have the option to route all
traffic through Tor.


Users retain control of the use of their
personal data, such as IDs, wallets,
and assets, at all times. This is in
accordance with an essential GDPR
principle: the individual’s right to
choose if any PII is to be used.


Users have the option to trade
using RES as an intermediary coin
on the Resistance privacy-oriented
blockchain, benefiting from the
enhanced privacy of zero-knowledge
proofs.


Users can trade 95% of existing

No registration or identity
cryptocurrencies directly with one verification process required to get
another utilizing atomic swaps. started.


Users keep coins in their own

Limitless trading with no
wallet, not on the exchange or in a withdrawal limits.
third-party escrow service.


Trade in coins, not derivatives.


Utilizes zk-SNARKs, one of the most
efficient forms of zero-knowledge
proof, when trading on the
Resistance blockchain.

17 PART THREE: RESISTANCE DECENTRALIZED EXCHANGE: ANONYMOUS, PRIVATE, AND SECURE / 3.4.3 / 3.5
 PART FOUR

Resistance Blockchain:

Facilitating
Shielded
Transactions

18 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS

The Privacy Myth
With so much talk about how secure blockchain technology can be, many people
assume that all cryptocurrencies allow users to make private transactions without
revealing any information about themselves. As we touched on in the introduction
to this whitepaper, this isn’t the case.
PRIVACY IS A HUMAN
RIGHT
Privacy is a fundamental right. The
right of privacy is not only stated
in United Nations Declaration of
Human Rights and all the other major
international human rights instruments,
but also protected by the laws in over
100 countries across regions [ 26 ].
But increasingly, governments and
private organizations are making
it more and more difficult for users
to operate away from network
surveillance.
The surveillance-friendly structure
of online technologies is making
user privacy far easier to invade. But
Resistance is different.
We value user privacy and believe
in private, anonymous trading. Our
commitment to privacy is not only
for user security. We also believe
that records of financial transactions
should be kept private too. By
shielding transactions and supporting
anonymous trades, we protect our
users from third-party interference.
One of the most prominent examples
of user privacy being exploited
in recent years is the Facebook–
Cambridge Analytica data scandal
[ 27 ] Facebook CEO Mark Zuckerberg
said in response to the fallout, “We
have a responsibility to protect your
19 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.1 / 4.1.1 / 4.1.2
data, and if we can’t then we don’t
deserve to serve you.” [ 28 ]
Yet, both Facebook and Google are
creating advertising profiles of users,
based on gender, age, education,
career, interests, search history, app
activities, etc. [ 29 ]
A 2015 report from the United Nation’s
Office of the High Commissioner
for Human Rights says: “Encryption
and anonymity enable individuals
to exercise their rights to freedom
of opinion and expression in the
digital age and, as such, deserve
strong protection.” [ 30 ] Blockchain
technology relies on encryption to
mask identity. Resistance is upholding
users’ right to privacy by giving them
the option to shield transactions and
trades, using encryption to uphold our
users’ human right to encrypted online
activity.
WITH PRIVACY COMES
FUNGIBILITY
One of the critical differences between
coins that aren’t privacy oriented and
fiat currencies is fungibility. Fungibility
is the property that two units — say a
dollar bill and another dollar bill — are
both equal and interchangeable.
In regards to fiat currencies, one
dollar is always equal to another
dollar because there is no record of
its history. It doesn’t matter if your
dollar was stolen by someone else
before it came into your possession.
The person who was robbed cannot
come to you and demand that dollar
back, void its value, or blacklist it. If the
transaction history of a dollar bill could
be traced, on the other hand, it could
affect its value and fungibility.
Bitcoin is not fungible because it does
not provide users sufficient privacy
and anonymity. The transaction
history of every bitcoin is publicly
available for anyone to scrutinize.
Centralized exchanges like Coinbase,
for example, will in some cases block
funds based on your coins’ past
transactions [ 31 ]. With zk-SNARKs,
it’s possible for RES to have no public
record or history. If users choose
to send a coin through a private
transaction, its history is essentially
erased. As transaction history exists on
the blockchain and is not tied to the coin
itself, a coin only needs to go through a
single encrypted transaction to obscure
its entire history and, in turn, achieve
fungibility.
At Resistance, we believe that privacy
is a fundamental principle of a
successful monetary system, and if
cryptocurrencies are ever going to
challenge centralized fiat currencies,
we need to get it right. That’s why
we are building on the technology
developed by one of the leading
privacy coins in the marketplace:
Zcash.
The Resistance Privacy-
Oriented Blockchain
The Resistance blockchain supports enhanced privacy, anonymity,
and security on the Resistance Anonymous DEX.

The Resistance blockchain is where
Resistance coins (RES) are mined and
where RES to RES transactions can
occur. Resistance Anonymous DEX
users can choose to use RES as an
intermediary coin, taking advantage of
the privacy features integrated into the
Resistance blockchain.
The recently enacted GDPR data
protection and privacy laws uphold
a user’s right to access and control
their data, as well as “the right to
be forgotten,” or to request the
deletion of data. The right to be
forgotten is incompatible with any
public blockchain network that stores
personal data on an unalterable
distributed ledger, including Bitcoin and
Ethereum. The Resistance blockchain,
however, is designed to protect data
rights by giving users the option to
remain anonymous. With anonymity
enabled, users will not need to alter or
delete their PII because no PII will be
stored or recorded.


Based on Zcash, one of the
leading privacy coins and largest
cryptocurrencies in the world,
Resistance uses zero-knowledge proofs
to shield the identity of users during
private transactions.


There is no registration process to
participate, so no personal data is
collected, and users’ PII is never stored
on the Resistance blockchain.


Using the Resistance blockchain as an
intermediary, users can choose to trade
almost any coin with total privacy.

WHAT IS A ZERO-KNOWLEDGE PROOF?

A zero-knowledge proof is a Zero-knowledge proofs have three SOUNDNESS: If a dishonest prover is

cryptographic protocol, or proof
system, by which one party, the prover,
can prove to another party, the verifier,
that they know a particular value
or statement, without conveying or
revealing any information about that
value or statement.
fundamental characteristics:
COMPLETENESS: If an honest prover
is making a truthful statement,
an honest verifier will accept this
statement as the truth.
lying, there is no way they can convince
an honest verifier they are telling the
truth (within a certain probability).
ZERO-KNOWLEDGE: No verifier learns
anything more than the fact that a
statement is true.

20 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.2 / 4.3

Enter the
Zero-Knowledge
Cave

A simple way to describe the concept of zero-

knowledge proofs is with the cave analogy. First
published by the world-famous cryptographer Jean-
Jacques Quisquater, this digestible story does a great
job of explaining the fundamental concepts behind
zero-knowledge proofs in layman’s terms [ 32 ]. For
this explanation, Peggy is the prover and Victor is
the verifier.

1   . Peggy knows the magic word that
will open a secret door in a cave.
Victor doesn’t. Shaped like a ring, on
one side of the cave is the entrance,
and on the other is a locked door
separating two halves of the cave.
Anybody entering the cave who
doesn’t know the secret word will only
be able to make it halfway around.
Peggy enters the cave, but Victor
doesn’t know whether she followed
path A or B.
4  . Once Peggy is inside the cave,
Victor comes to the entrance and yells
the name of the path that he wants
Peggy to return on. This decision is
made at random.
means Peggy, without knowledge of
the secret word, would only have a 50%
chance of guessing the correct answer.
8  . If this process is repeated, the
probability of Peggy guessing
correctly is diminished. After 20
attempts, she would only have a one in
a million chance of success.

2 . Victor wants to find out if Peggy
knows the secret word that will open
the door. Peggy doesn’t want to
tell him what the secret word is, but
there is a way to prove she has this
knowledge.
3  . Victor and Peggy label the paths
leading off from the entrance. The
left path is labeled A, the right path is
labeled B. With Victor waiting outside,
5  . If Peggy does know the secret word,
then all she needs to do, if necessary,
is say it, open the door, and walk along
the path Victor requested.
6  . If Peggy were lying and didn’t know
the secret word, she would only be able
to return along the same path she had
taken on the way in.
7  . Victor’s random selection of A or B
9 . If Peggy appears at the entrance
to the cave every time Victor decides
on which route she should take, he
can safely assume Peggy is telling the
truth.
10  . This system provides Victor with
proof that Peggy is in receipt of the
information she claims to know while
supplying Victor with zero-knowledge
of what this information is.

21 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.3.1

A Brief Introduction to
zk-SNARKs
A zk-SNARK is a highly efficient form of zero-knowledge proof that is short and
easy to verify. Zk-SNARKs consist of a single message that can be verified in a
few milliseconds [ 21 ].

Resistance uses zk-SNARKs to verify
encrypted, private transactions on
the blockchain without revealing any
information about the addresses
or values involved. Put simply, a
zk-SNARK allows you to verify a
computation without executing it or
even learning what was executed.
Bitcoin and many other
cryptocurrencies link sensitive
information to their transactions,
including:


Sender address


Receiver address


Input value


Output value
This information is all posted on the
public blockchain for anyone to see,
which significantly reduces privacy.
In practice, zk-SNARKs allow a prover
to prove that they are in receipt
of a number that solves a specific
cryptographic puzzle. A zk-SNARK
is publicly verifiable, so anyone can
verify the proof. The prover comes
up with a number that fits the hash
value numerous times until, beyond
a reasonable doubt, the transaction
can be verified without revealing any
other information and without any
interaction between the prover and
verifier.
The only way to produce zk-SNARKs is
to have an initial trusted setup of public
parameters between the prover and
verifier. This one-time setup generates
a common reference string (CRS)
for them to share. During this phase,
anonymity is never compromised,
even if the setup is targeted by a
malicious actor.

GUARANTEED PRIVACY

Resistance utilizes the power of
zk-SNARKs to support private
transactions on the Resistance
blockchain. Based on this technology
inherited from Zcash, Resistance
gives users the option to send
shielded transactions where the
transaction is wholly encrypted on
the blockchain, but can still be proven
as valid by the Resistance network.
For more in-depth information on
how zk-SNARKs work to facilitate
private transactions on the Resistance
blockchain, please read the Zcash
description here:
https://z.cash/technology/zksnarks.html

22 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.3.2

Private and Anonymous
with One Click
Anyone using the Resistance platform has the option to enable or disable its enhanced
privacy and anonymity features. In other words, Resistance supports both shielded
and transparent addresses so users can send payments privately or publicly.

The Resistance Anonymous DEX is
built around the Resistance privacy-
oriented blockchain in order to give
users enhanced privacy options.
While the Resistance blockchain
is not used for every trade on the
Resistance Anonymous DEX, the
DEX makes it easy to trade through
the Resistance blockchain using
RES as an intermediary coin. This
intermediary exchange shields users’
identities because RES to RES private
transactions are validated on the
Resistance blockchain through zero-
knowledge proofs.
Here’s how a private, anonymous
transaction is executed on the
Resistance blockchain:
1   . A wants to send funds to B.
2  . The transaction is routed through
the Tor network for anonymity and
shielded using zk-SNARKs.
3 . The private transaction is broadcast
to all the computers, or nodes, on
the network as part of a block.
4 . All the transactions in the block are
validated using various cryptographic
techniques. Nothing is revealed about
the sender or receiver at any point in
the transaction.
5  . The new block is added to the
blockchain. Any additions to the
blockchain are permanent and
irreversible.
6  . B receives funds from A, and the
transaction is complete.

WHONIX INTEGRATION

Whonix is a popular anonymity-

focused operating system based on
Tor and virtualization. It is available
for VirtualBox, KVM, and Qubes OS. All
connections originating from Whonix WHONIX ANONYMOUS OPERATING SYSTEM
are routed through Tor, with the
platform providing the highest level of
assurance that applications are never Connection Torified Connection Non Torified

sent through the clearnet. Resistance

Misbehaving or leaky All network connections
will be pre-installed by default in Whonix
applications can’t break out are forced to go through
to encourage early adopters. This will of the Whonix Workstation. Whonix Gateway where
simplify usage and boost the platform’s they are Torified and routed
popularity, as users won’t need to install to the internet.
Resistance manually.

23 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.3.3

HOW TOR WORKS
Alice’s Tor client picks a random
path to destination server
TOR INTEGRATION
Tor is a global network that facilitates
anonymous internet communication
and Resistance gives users the option
to complete shielded transactions,
making the two platforms obvious
partners.
Tor works best with a socks5 proxy.
Resistance Core inherits socks5
ANONYMITY ASSURED WITH TOR
Users have the option to route all
network traffic on the Resistance
blockchain through Tor. By channeling
transactions through Tor, we can
provide Resistance users with a means
to avoid network surveillance and
retain their anonymity at all times.
24
Tor Node
support from Zcash, which in turn
inherits socks5 support from Bitcoin
Core.
Technically, configuring Resistance
Core to use a socks5 proxy such as Tor
is as simple as adding the appropriate
command line options.
But since using a command line
interface requires a certain degree of
technical skill, Resistance also offers
Tried and tested, Tor has been
providing internet users with a
guarantee of anonymity since 2002.
The technology works by routing
transactions through multiple IP
addresses, so the point of origin is
masked [ 22 ].
PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.3.4
Encrypted link Unencrypted link
a clear, usability-focused alternative:
a graphical user interface (GUI) that
starts Tor automatically once a user
has read the disclaimer and activated
this function.
For legal reasons, users have the
option to operate on the Resistance
platform with or without Tor via a
simple on/off switch.
If a user enables Tor, the Resistance
Desktop will launch it in the background
before starting Resistance Core.
Of course, just as is the case with
the Resistance blockchain’s privacy
functions, users have the option to turn
off Tor in favor of a single, identifiable
IP address.
Scalability

Resistance has taken steps to advance its scalability by Based on that data, let’s calculate the ATS for both Bitcoin
dramatically increasing the transaction throughput that the and Resistance.
network can offer. This is accomplished in two fundamental
ways: BITCOIN

1   . A larger block size We first use formula (1) to calculate ATB:

2 . Shorter block intervals ATB = MBS / 500 ATB =
1,000,000 bytes / 500 bytes =
There are two formulas involved in calculating transaction 2,000 Average Transactions per Block
throughput (transactions per second):
We then use ATB to calculate ATS:
1   . Average Transactions Per Block (ATB) = ATS = ATB / BT ATS = 2000 / 600 =
Maximum Block Size (MBS) / Average Transaction 3.333 Average Transactions per Second
Size (ATS)
2 . Average Transactions per Second (ATS) = We can therefore conclude that, on average, Bitcoin can
Average Transactions Per Block (ATB) / Block Time in process approximately 3.33 transactions per second.
Seconds (BT)
RESISTANCE
To demonstrate the scalability improvements that
Resistance offers, we can compare Resistance to Bitcoin Using the same process we can calculate the throughput
using the above formulas. Based on statistical data from for Resistance.
2017-2018, we will assume an Average Transaction Size (ATS)
of 500 bytes for Bitcoin [ 33 ]. Using formula (1), we see that ATB = MBS / 500 ATB =
ATB = MBS / 500 2,000,000 bytes / 500 bytes =
4,000 Average Transactions per Block
Using this, we can make a mathematical comparison
between Bitcoin and Resistance. ATS = ATB / BT ATS =

Bitcoin Resistance 4,000 / 60 =

66.67 Average Transactions per Second
Maximum Block Size 1 MB 2 MB
(MBS) (1 Million Bytes) (2 Million Bytes)
We can therefore conclude that Resistance is estimated
Block Time ~10 Minutes ~1 Minute* to process approximately 66.67 transactions per
(BT) (600 Seconds) (60 Seconds) second.

*The target Block Time for Resistance is 1 minute. This

value may change slightly in the Mainnet.

25 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.4

What Makes the

Resistance Privacy-
Oriented Blockchain
Unique?
The Resistance blockchain has been developed with three key principles in mind:
privacy, anonymity, and scalability. When it comes to conducting private and
anonymous transactions, we take the complexity away from the user. What’s more,
our commitment to scalability means the Resistance blockchain will always meet
market demands.

PRIVATE AND ANONYMOUS SCALABLE

Unlike most other blockchains, Resistance is

Resistance is estimated to be 20 times faster than Bitcoin.
privacy oriented

Users wait for shorter intervals for transactions to


zk-SNARKs allow users to make shielded, private complete
transactions

More users can participate without any adverse effects


Anonymity on the Resistance blockchain is ensured

Scalability continues to be an issue for cryptocurrency
with Tor platforms in general, but Resistance has taken measures
to increase its throughput significantly.

“Without the history of transactions being obscured,

money doesn’t function so well. This is critical to the
argument around privacy in the blockchain and
cryptocurrency communities.”[ 34 ]
Michael J. Casey, Senior Advisor for blockchain research at MIT’s Digital Currency Initiative

26 PART FOUR: RESISTANCE BLOCKCHAIN: FACILITATING SHIELDED TRANSACTIONS / 4.5

 PART FIVE

Resistance Consensus:

Democratic
Mining and Reward
Splitting

27 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING

An Introduction to
Reward Splitting
Resistance creates currency — RES — when blocks are mined through
Proof of Work. Rather than having a central issuer of currency and
transaction recordkeeper, a decentralized network of miners generates
RES by creating blocks of validated transactions and adding them to the
blockchain.

Miners come to a consensus about the
transaction history while preventing
double spend and other forms of fraud.
There are a number of different
consensus algorithms out there used
to update the blockchain securely.
Different coins use different validation
methods, but the most popular
is Proof of Work, which is used
by some of the most well-known
cryptocurrencies, including Bitcoin,
Ethereum, and Litecoin [ 35 ].
With Proof of Work, miners compete
to find a solution to a certain
computational problem in order to
validate a block. Once found, that
block can be added to the blockchain
and the reward goes to the successful
miner. In the future, the Resistance
block reward will be repeatedly
halved so that the total supply of
RES is not fully exhausted and mining
remains incentivized.
WITH RESISTANCE, MINERS CLAIM
A PERCENTAGE OF THE BLOCK
REWARD. THE REST IS SPLIT OVER
THREE OTHER AREAS:
MASTERNODES: 30% of the reward is
allocated to masternodes, or Bonded
Validator Systems, for the role they
play in facilitating the smooth running
of the network.
PROOF OF WORK: Miners receive
30% of the reward for securing the
Resistance blockchain.
PROOF OF RESEARCH: Another
30% of the reward goes to users
who donate computing power to
important scientific research on our
whitelisted BOINC projects.
PROJECT DEVELOPMENT: The final
10% of the block reward is funneled
back into the open-source Resistance
platform to fund its ongoing
development.
The Resistance prototype will split
the block rewards 50/50 between
Proof of Work and Proof of
Research. In addition to splitting
the block reward, Resistance
also splits transaction fees,
which further incentivizes miners,
masternodes, researchers, and
developers to continue to contribute
to the future of Resistance, even
after all RES has been mined.

28 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.1
Masternodes
Unlike regular nodes, masternodes do not participate in mining. Instead, they
perform vital services and, as a result, receive a percentage of the block reward.
Dash initially developed the concept of masternodes, but since then, many different
cryptocurrencies and exchanges have begun using the system for a range of tasks.

Setting up a masternode isn’t
difficult, but it can be costly. To own
and operate a Dash masternode,
for example, you will need a stake
of 1,000 DASH [ 36 ]. However, there
are some platforms that facilitate
shares in individual masternodes so
everybody can take advantage of the
significant rewards becoming part of a
masternode network affords.
In the case of Dash, masternodes
fulfill many tasks including aiding
faster, more private transactions, and
maintaining the currency’s voting to deter individuals who set out to
system [ 37 ]. On the Resistance falsify transactions.
platform, masternodes will play a
pivotal role in ensuring the security Masternodes stabilize the Resistance
and fluidity of our decentralized network, and the more of them there
exchange. are, the more stable it becomes.
That’s why they receive such a large
Masternodes will speed up the portion of the block reward as an
Resistance network. Each masternode incentive.
will host a full copy of the Resistance
blockchain and help achieve
consensus quickly and efficiently.
Furthermore, masternodes enhance
security on the blockchain by helping

WHY MASTERNODES?

Resistance masternodes provide
additional benefits to the network and
receive 30% of every block reward.
Resistance masternodes fulfill two key
roles:
1   . Incentivizing people to run full
nodes on the Resistance network
2 . Incentivizing users to hold on to
their RES
While the reasons for these roles may
not seem evident at first, they are
critical to both the security and speed
of the Resistance network.
It is crucial that many Resistance users
run full nodes that contain the entire
current Resistance blockchain. As
Resistance grows and mining becomes
more competitive, many users will
choose to join mining pools rather
than mine Resistance directly. When
users start mining in pools rather than
on their own full nodes, the number of
full nodes on the network decreases.
This pushes the network towards
centralization, which is a threat to
blockchains that solely rely on Proof
of Work.

29 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.2
It is also essential that the Resistance
cryptocurrency maintains a stable and
accurate value, and that it isn’t used
by wealthy individuals to “pump and
dump” the Resistance coin supply.
“Pumping and dumping” is the process
by which perpetrators acquire a
large number of coins at a low price,
artificially increase the value of that
coin to create hype, and, in turn, drive
up prices.
When other potential buyers see these
huge price spikes, they are encouraged
to purchase coins. At that point, the
perpetrators “dump” their coins for a
huge profit and the price tumbles.
To help mitigate this issue, and to
control the stability of the coin,
Resistance masternodes are
required to hold a certain number
of RES at all times to maintain
masternode status. This helps
motivate users to hold on to their coins
instead of trading or selling them. By
supporting masternodes, Resistance
Proof of Work
Mining should be for everyone, but
today, that simply isn’t the case. As we
mentioned earlier in this whitepaper, a
single company, Bitmain, now controls
over 40% of Bitcoin mining operations
[ 38 ]. But this level of inequality isn’t
unique to Bitcoin and affects most
cryptocurrency mining operations.
It’s not just massive mining farms that
30 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.2 / 5.3
is laying the foundation for future
improvements to the network. Further
down the line, when ownership of
Resistance has been decentralized
and handed over to the Resistance
Foundation, the community can use
the masternode framework to add
support for additional functionality,
such as governance (voting), real-time
double spend protection, and platform
development.
MASTERNODE REWARD PROGRAM
To run a masternode, a Resistance
node must hold a minimum of 100,000
RES in their Resistance wallet where
they also have the full node of the
Resistance blockchain, although this
number could fluctuate in response
to RES coin price and changes to
block reward policy. When active,
nodes provide services to clients on
the Resistance network and, in return,
are paid in the form of a dividend.
Masternodes are paid from the same
pool of money and approximately
are making it so difficult for regular
users to obtain block rewards. Some
mining pools, such as Bitmain’s AntPool,
use ASICs designed for high-efficiency
mining to increase profits on block
rewards, giving an unfair advantage to
miners with more hashing power [ 39 ].
In fact, most hashing algorithms give
users with superior computing power
this advantage. This means a small set
30% of the total block reward is
dedicated to these dividends. As
this rewards program operates on a
fixed percentage, and the number of
masternodes will fluctuate, expected
rewards will vary according to the
current total number of masternodes
in operation.
You can calculate payments for
a standard day running a
masternode with the following
formula:
(n/t)*r*b*a
Where:
n is the number of masternodes an
operator controls
t is the total number of masternodes
r is the current block reward
(currently 100 RES)
b is blocks in an average day
a is the average masternode
payment (30% of the average block
amount)
of miners could form a mining monopoly
and use their power to influence technical
decision-making and control the market.
What’s more, the technical know-how
needed to start a mining operation is
usually way above that of many first-
timer’s. But Resistance is challenging the
norm, using a CPU-optimized hashing
algorithm and easy-to-operate interface
to make mining more accessible.
Democratic and
Accessible Mining
Democratic mining on the Resistance blockchain is guaranteed by its CPU-optimized
hashing algorithm with rewards distributed over Proof of Work, Proof of Research,
masternodes, and project development.

CPUs, GPUs, and FPGAs can all be
converted into ASICs and used to mine
a particular coin. Today, Resistance is
CPU-optimized and working towards
becoming practically ASIC-resistant.
Resistance is democratizing the mining
process with an easy-to-use Desktop
Wallet/Miner utilizing the yespower
algorithm. Our unique hashing
algorithm was developed by the
world-renowned cyber security expert
Alexander Peslyak, who also helped
develop the hashing algorithms for
Zcash. Specifically designed for Proof
of Work use, yespower is a hashing
algorithm based on scrypt and the
newer yescrypt [ 40 ]. CPU-optimized,
it favors the standard CPUs you’ll
find in regular laptop and desktop
computers. The algorithm combines
computationally expensive and
sequential memory-hard hashing
in a way that slows down GPUs to
CPU-like speeds, and limits potential
advantages for FPGAs and ASICs. If
someone did decide to build an ASIC
for Resistance, the gains in efficiency
would be orders of magnitude smaller
than an ASIC built for coins that are
not GPU or CPU-optimized.
In comparison:
SHA-256 ASIC = ~1000x potential
gains over GPU
Equihash ASIC = ~100x potential gains
over GPU
We believe that every user should
have an equal opportunity to obtain
block rewards in an arena where
standard CPUs can compete with
GPUs, FPGAs, and specialized ASICs.
This is why Resistance is committed
to becoming practically ASIC-
resistant.

PROOF OF WORK ON THE RESISTANCE BLOCKCHAIN

There are many Proof of Work
schemes and they vary in different
ways, including their bias for and
against different types of hardware.
Resistance uses the yespower hashing
algorithm, which has been designed
to be CPU-friendly yet GPU-unfriendly,
and offers less benefits to FPGA/ASICs.
Using yespower allows us to tweak our
parameters for advantages over other
CPU-optimized cryptocurrencies, such
as Monero’s CryptoNight, which we
will do for the Mainnet. Unfortunately,
being GPU-unfriendly also means that
future FPGA and ASIC implementations
could lead to competition with CPUs
as Resistance increases its market
value. ASICs are likely to win in the long
run, but not to the extent that they
have with Bitcoin and Litecoin. FPGAs,
on the other hand, might not pose
a significant threat to CPUs as large
FPGAs are even more “overpriced”
than large CPUs. In addition to the
competition from specialized ASICs,
CPU production costs are another
critical factor to consider. The cost
of producing a CPU is only a fraction
of its list price and an even smaller

31 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.3.1
percentage of the cost to build a full
computer system.
Custom-built ASICs could amortize a
great deal of expense by packing more
cores and chips into a system without
using it as an opportunity for market
segmentation, as most high-profile
CPU manufacturers do.
They can also avoid much of the
overhead of additional hardware
components like disk controllers, and
avoid many supply chain markups
that impact the price of a complete
computer.
There’s a lot of talk about ASIC
resistance in the cryptocurrency
world. However, this ultimately comes
down to minimizing the advantages of
specialized ASIC hardware.
Limiting advantages at password-
based cryptographic key derivation
(KDF) to 10x and at password hashing
to 100x may be considered ASIC-
resistant, especially when compared
Resistance Desktop
Wallet/Miner
The Resistance CPU-Optimized Miner
is integrated with the platform’s
easy-to-use wallet. All that you need
to begin mining on the Resistance
CPU-optimized blockchain is a
32 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.3.1 / 5.3.2
to the, say, 100,000x we’d have without
trying. However, similar improvement
factors are not low enough to achieve
long-term practical ASIC resistance for
cryptocurrencies.
We intend to address the inherent
advantage of ASICs over CPUs in two
ways:
1   . We will proceed with further
research and experimentation in an
attempt to improve yespower to make
more use of RAM while resisting DoS
attacks on the network. This will be
achieved using a novel method to
early-reject invalid proofs. If successful,
this will bring us closer to meeting
Zcash’s original, but unachieved, goal
of making the amount of RAM you
have dictate how much mining work
your hardware can complete.
2 . We are committed to updating
yespower in anticipation of, or
response to, new developments, except
as stated below.
laptop or desktop computer running
macOS or Windows. With a clear
and straightforward interface, our
miner allows users that are new to
the Proof of Work system to mine
Combined, these factors will reduce the
incentive to create and purchase ASICs,
result in suitable ASICs resembling
high-end/many-core CPUs and RAM,
and reduce their effect on the network.
If ASICs eventually become suitable for
efficient general-purpose computation,
it would be a net win for users of
computer systems in general, and
a point where we’d stop revising
yespower to discourage such ASICs.
We would have provided enough
demand for many-core CPUs and/
or large FPGAs so that it’s no longer
a niche market, forcing their prices to
drop. Similarly, the demand for gaming/
mining GPUs keeps them several times
cheaper than comparably fast high-end
GPUs aimed at the scientific high-
performance computing market.
with ease. The Resistance Desktop
Wallet/Miner is convenient and
multi-purpose. Users can manage
and mine our CPU-optimized coins
from the same place.
Resistance Desktop
Prototype
The Resistance desktop prototype has
already been released and is available
for users to begin testing.
The prototype has a number of key
features that make it extremely
easy for Windows and macOS users
to get started with the Resistance
Desktop Wallet/Miner including:
1   . A modern and intuitive graphical
interface
2 . Built-in Tor support
3 . A built-in Resistance miner
4 . Transparent (“r”) and private (“z”)
addresses
The prototype is automatically
connected to our testnet, so all you
need to do is run the application
to begin mining and creating
transactions.
Enabling non-technical users to easily
join and participate in the Resistance
platform is at the forefront of the
Resistance vision.
Our Resistance Desktop Wallet/Miner
is straightforward to set up. Just
download the application from our
website and run it on your computer.
You’ll find a clean, easy-to-use, modern
interface with many features that can
be toggled with just the flip of a switch.
33 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.3.3
One of these features is built-in Tor
support. By navigating to the Settings
tab and toggling the Tor button, you
can choose whether or not to enable
this feature.
When you toggle the button, a
local Tor proxy service is started
on your machine. The Resistance
daemon then restarts using the
`-proxy=127.0.0.1:9050` flag.
From then on, the Resistance daemon
communicates exclusively with the Tor
proxy on port 9050. This ensures that
all traffic sent to and from your local
node has a masked IP that other users
can’t see, thus shielding your identity.
Please be aware that Tor is not legal in
all jurisdictions and you should check
your relevant laws to ensure you can
legally use this feature.
Another crucial feature is the built-in
Resistance miner. Mining is the
process of compiling all of the current
transactions being broadcast on the
network into a block and competing
with others to be the first to generate a
valid yespower Proof of Work for it.
If you are the winning miner, you will
receive a portion of the block reward
(50% in the prototype, and 30% on
the Mainnet). The Resistance miner is
optimized for mining on the yespower
algorithm and is lightning fast.
While this process may sound
complicated, it’s in fact very
straightforward. All that you need to do
is navigate to the Settings pane in the
Desktop Wallet/Miner and toggle the
miner switch to begin the mining process.
The miner will run automatically in the
background and, after you successfully
mine a block and 100 blocks confirm
your mined block, you will have access
to the freshly minted block reward.
You can then use this coin to make
transactions with other people.
Mining has never been easier.
One of the most important features
of Resistance is the user’s ability to
choose between sending transparent
and private transactions. There are
two types of addresses supported by
Resistance: transparent ‘r’ addresses
and private ‘z’ addresses. You have the
choice to send and receive to and from
either an ‘r’ address or a ‘z’ address
depending on the level of privacy you
want. The following table describes
different options for sending funds.
From Address Type The Resistance prototype makes this Next enter the address you would like
To Address Type extremely easy. You have the option to send the funds from, and you can
Privacy Level in the Own Addresses tab to generate send them immediately.
multiple ‘r’ addresses and ‘z’
‘r’ address addresses. You can generate as many While those are currently the main
‘r’ address addresses as you want. When people features of the prototype, the project
Transparent (No Privacy) want to send you coins, give them an is growing every day. Be sure to check
‘r’ address for transparency or a ‘z’ back regularly for new releases so that
‘r’ address address for privacy. you can utilize the most up-to-date
‘z’ address features.
Partially Shielded (Some Privacy) When you want to send coins to
someone else, first obtain their
‘z’ address address (‘r’ for transparent and ‘z’
‘r’ address for private). Then, in the Send Cash
Partially Shielded (Some Privacy) pane, click the Private switch for
private transactions and disable it for
‘z’ address transparent transactions depending
‘z’ address on the receiver’s address type.
Fully Shielded (Total Privacy)

Command Line
CPU Miner
Users more familiar with cryptocurrency mining can install our Command Line
CPU Miner, which is compatible with Linux as well as macOS and Windows. Aimed
at advanced users, the Resistance Command Line CPU Miner offers the following
benefits over the more user-friendly Resistance Desktop Wallet/Miner.

IT IS: IT USES:

Faster if you become familiar with

Less memory than a Graphical User
its commands Interface


Compatible with Linux as well as

Less CPU processing power
macOS and Windows

34 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.3.3 / 5.3.4
Proof of Research
Reward splitting is a crucial
characteristic of the Resistance
consensus. As well as Proof of Work
and masternodes, users can allocate
computing power to Proof of Research
for block rewards.
With this option, instead of
participating in mining, users may
contribute computer time to our
whitelisted BOINC projects. By doing
so, users are effectively getting paid
to make a positive contribution to
humanity.
The percentage of the block reward
allocated to Proof of Research will
be split between members of the
PROOF OF RESEARCH REWARDS AND BOINC
Resistance empowers its users to
change the world for the better
and make money in the process.
By contributing compute resources
to BOINC projects, Resistance
researchers receive a sizeable portion
(50% in the prototype and 30% in the
Mainnet) of every block reward and
transaction fee that occurs on the
Resistance blockchain.
Every time a new block is mined on
the Resistance blockchain, 30% of the
block reward and transaction fee is
sent to a dedicated research wallet.
This wallet accrues balance as more
and more blocks are mined. The
35 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.4 / 5.4.1
Resistance pool (respool). The more
computational power an individual
uses, the greater percentage of the
reward they will receive.
WHAT IS BOINC?
BOINC is one of the world’s largest and
most powerful distributed computer
networks. This open-source platform
for grid computing hosts a wide
range of scientific research projects
covering astrophysics, medicine,
climate change, humanitarian causes,
and more, and invites volunteers to
donate computer processing power
to help them achieve their goals [ 41 ].
Volunteers contribute computing
wallet uses a P2SH address that is
currently signed by one trusted user,
but may later be expanded to require
the signatures of multiple trusted
users to help increase security via
decentralization.
At least once a day, the entire
balance of the Research wallet is
automatically distributed among all of
the research pools that are registered
with Resistance. By distributing the
wallet’s funds frequently, the wallet’s
value will remain low, making it a much
less appealing target for hackers or
other malicious actors. As Resistance
becomes more valuable, the research
power to perform complex calculations
— tasks that would take the individual
institutions hosting projects on BOINC
a considerable amount of time, cost a
vast amount of money, and involve a
lot of human resources.
BOINC harnesses the processing power
of the 760,000 plus computers on the
platform’s international volunteer
network to get these tasks done quickly
and for free. Resistance rewards users
for contributing computing power to
our whitelisted BOINC projects, which
focus on a series of causes including
cancer and Alzheimer’s research,
nanotechnology for clean water,
molecular biology, and solar power.
wallet funds may be distributed hourly.
If an attacker or malicious insider
were to compromise the Resistance
research wallet, they would only be
able to steal the rewards accrued since
the last payout.
Resistance users can start helping
the world and accruing these rewards
immediately by joining a Resistance
pool (such as https://www.respool.io). In
the future, Resistance researchers will
have the option to create and register
their own pools with the Resistance
platform, giving them more flexibility in
how they conduct their research.
Get Paid to Change
the World
STEP ONE:
INSTALL BOINC CLIENT
It’s straightforward to get started with
Proof of Research for Resistance. The
first thing that a user needs to do is
install the correct BOINC client on the
computer, or computers, that they
intend to use for BOINC research. For
some projects, users will be required to
install VirtualBox too. The installation
process for Linux, macOS, and
Windows differs, but in each case, it is
a relatively simple procedure.
STEP TWO:
DOWNLOAD THE RESISTANCE
DESKTOP WALLET/MINER
After installing BOINC, users are
required to download the Resistance
RESISTANCE BOINC POOL
The pool wallet receives rewards
from new blocks. Then pool software
calculates reward amounts before
distributing them between contributors
to whitelisted BOINC projects according
to their contribution to the pool
account. Each BOINC project has an
internal scoring system, and each user
score is publicly available via its RPC
interface. The pool collects data from
whitelisted projects, normalizes them,
36 PART FIVE: RESISTANCE CONSENSUS: DEMOCRATIC MINING AND REWARD SPLITTING / 5.4.2 / 5.4.3 / 5.5
Desktop Wallet/Miner, if they haven’t
already. A wallet address is needed
during the registration process for
joining respool, so this step is vital.
Once the wallet is installed, users need
to synchronize with the blockchain.
Users can only receive Resistance
block rewards via Proof of Research
through a pool. At this stage, respool
is the only option, but moving forward,
we anticipate that users will start
alternative pools as the Resistance
network grows.
STEP THREE:
CHOOSE A WHITELISTED BOINC
PROJECT
The final step is to choose from our
whitelisted BOINC projects. Then users
are free to start making a difference
and earn while they do it.
then uses this data to calculate user
contribution parameters, or magnitude.
That magnitude is used for calculating
user rewards. New users register, then
attach the BOINC manager to the pool
as an account manager. The pool then
sends a key that allows the user to
securely attach the host to a BOINC
account without full access to the
pool’s BOINC account. Using the key,
the host attaches to the pool account
in the BOINC project, receives tasks,
and crunches them. When a task is
PROJECT DEVELOPMENT
Once the block reward has been split
between masternodes, Proof of Work,
and Proof of Research, the remaining
10% is set aside for project development.
Key areas to consider are:


Marketing

Software


Governance Development


Legal
Pre-ICO, distribution of funds and
general governance will be the
responsibility of the centralized
Resistance team. Post-ICO, this
process will be decentralized with the
responsibility and rewards handed
over to the Resistance Foundation.
complete, it sends the project back
for validation. When the results are
validated, the BOINC project adds score
points to that user account. There are
two scores: total and recent average
credit (RAC). The pool utilizes recent
average credit, which is calculated
using an exponentially weighted moving
average.
For detailed descriptions and
instructional videos visit
https://www.respool.io.
 PART SIX

Resistance
Roadmap

37 PART SIX: RESISTANCE ROADMAP

Resistance Roadmap
The Resistance core team has been researching blockchain cryptography and security experts came together to start
technology and mining various cryptocurrencies since work on the Resistance open-source platform at the 2017
2011. After years of independent research, this group of DEF CON conference in Las Vegas, Nevada.

2018 Q1: Extensive Blockchain Research: Existing privacy protection on

blockchain solutions is thoroughly researched and tested

2018 Q2: Closed First Financing Round: Completed seed financing in Silicon Valley, California

Legal: Company infrastructure setup and legal review

Resistance Prototype: Reward Splitting v1.0 including Proof of Work (CPU-optimized

Miner) and Proof of Research (BOINC/Pool)

2018 Q3: Testnet Alpha: First version of the testnet for the CPU-optimized
coin released

Resistance Wallet with Integrated CPU Miner: Alpha version of

the Resistance Wallet with its CPU Miner released for macOS and
Windows

Tor Integration for Stealth Transfers: Option to have all traffic

routed through the Tor network in the Resistance Wallet for
enhanced anonymity

Integration of Resistance Wallet into Whonix: Whonix is a desktop

operating system designed for advanced security and privacy

Whitepaper: Whitepaper released with a targeted marketing

campaign for Pre-ICO

Public Website Live: Open for KYC and Whitelist applications

Public Crowdsale: The crowdsale will begin at 12:00 UTC

October 1st, 2018 and end at 23:59 UTC on October 31st, 2018

Listing on Various Exchanges: RES, the Resistance coin, will be

listed on some of the largest and most popular exchanges

38 PART SIX: RESISTANCE ROADMAP

 2018 Q4: Testnet Beta: Second version of the testnet for the CPU-optimized
coin released

2019 Q1: Fiat Gateways: Ability to buy cryptocurrencies with credit cards on
the Resistance Anonymous DEX

Mainnet Released: Fully functional CPU-optimized Resistance

blockchain publicly available

Hardware Wallet Integrations: Support added for the Resistance

coin in various hardware wallets

Resistance Anonymous Decentralized Exchange – Alpha:

Integrated with the Resistance Wallet

2019 Q2: TOP 50 Market Cap: Our primary goal is to make Resistance a
TOP 10 cryptocurrency by market cap

Decentralize Ownership of Resistance with Community

Handover: Post-ICO, ownership of Resistance will be
relinquished to the Resistance Foundation

39 PART SIX: RESISTANCE ROADMAP

 PART SEVEN

Resistance
Crowdsale

40 PART SEVEN: RESISTANCE CROWDSALE

Committed to Best
Practice
At Resistance, we believe there should
be procedures in place that standardize
how ICOs are organized, undertaken,
and managed. We are proposing an ICO
that adheres to the following principles.
VISION: Resistance is developing a
decentralized, democratic, and user-
friendly platform where anyone can
participate freely and securely. Built
by a team of cybersecurity experts,
the core values of anonymity, privacy,
decentralization, and democratic mining
are at the forefront of its development.
STRATEGY: The Resistance open-
source platform has been developed
with the long-term goal of relinquishing
control, financial gain, and development
decisions to the Resistance Foundation
post-ICO.
RISK ASSESSMENT: The Resistance team
have taken steps to identify potential
market malfunctions and put forward
a feasible product that improves on
existing technologies. There are no legal
obstacles in our path, and a prototype
wallet is available for testing on the
Resistance testnet.
CLEAR REVENUE MODEL: Resistance
will adopt a reward-splitting protocol
that includes 10% of block rewards being
funneled back in to the platform for
ongoing development and sustainability.
In addition to splitting the block reward,
Resistance also splits transaction
fees, which further incentivizes miners,
masternodes, researchers, and
developers to continue to contribute to
the future of Resistance.
41
TIMELINESS: Now is the ideal time to
bring Resistance to the market. Building
on first-generation decentralized
exchanges, Resistance is entering a
competitive field with a superior offering
that solves many of the issues that have
hindered the widespread adoption of
cryptocurrencies.
STRONG UTILITY VALUE: RES functions
as a coin to facilitate transactions
and trades and can be used as an
intermediary on the Resistance
Anonymous DEX.
EXPERIENCE AND PROFESSIONALISM:
The Resistance core team consists of
highly skilled, well-known developers and
cybersecurity experts. Team members
have both founded and contributed to
a number of renowned security projects
including Whonix and OpenWall.
LEGALITY: Founders have consulted
legal experts and followed all KYC, AML,
and CFT regulations. Additionally, some
core principles of the GDPR were taken
into account during the development
of Resistance, including users’ ability to
control the use of their own PII.
LIQUIDITY: RES will be available on
several public exchanges to encourage
liquidity.
SECURITY: As a platform built by
cybersecurity experts, a secure ICO
is our top priority. The Resistance
community will always be kept up to
date with our developments for peace
of mind, and we have a clear roadmap
with project milestones.
PART SEVEN: RESISTANCE CROWDSALE / 7.1 / 7.2 / 7.3
PRIVATE SALE
For the private sale, 25.2 million tokens
(42% of tokens) will be available
to purchase. The hard cap will be
$10.4 million and each token will cost
$0.41284, which equates to 2.422246
tokens to the dollar.
Purchasers will receive a 25% discount
on the public sale price.
PUBLIC SALE
The Resistance public crowdsale is
scheduled to start at 12:00 UTC on
October 1st, 2018 and end at 23:59
UTC on October 31st, 2018. In total,
Resistance will generate 60 million
tokens. The maximum supply will be
126 million.
During the public sale, 13.8 million
tokens (23% of tokens) will be available
to purchase with a hard cap of $7.6
million. The token price will be $0.55046,
which equates to 1.816662 tokens to the
dollar. There will be no general discount
offered during the public sale, but there
will be referral rewards built in to the
KYC dashboard.
All tokens distributed during the private
and public sales will eventually be
converted to RES through a smart
contract.
Token Allocation
THE REMAINING TOKENS Airdrop: 2.1 million Sale proceeds will be distributed
GENERATED FOR THE CROWDSALE Strategic Partners: 4.8 million over a number of areas including
EVENT WILL BE ALLOCATED AS Team/Founders/Advisors/ exchange listing, legal/taxes, marketing,
FOLLOWS: Contributors: 10.2 million development/salaries, founders, and
Reserve: 3.9 million strategic partners.

42% 23%
Private Sale/VC Public Sale

17%
Team/Founders/Advisors/Contributors

8% 6.5%
Strategic Partners Reserve

3.5%
Airdrop

TOKEN SALE

We will issue Resistance tokens during ISSUANCE Available for purchase

Pre-ICO and ICO, with the amount fixed (Private and Public Sales):
to 60 million tokens. Token type: 39 million tokens
ERC20 based token on Ethereum public (plus Airdrop 2.1 million,
The token will initially be released on blockchain Strategic Partners 4.8 million,
the ERC20 (Ethereum) platform, where Team/Founders/Advisors/Contributors:
it will remain until the genesis block of Maximum supply: 10.2 million,
the Resistance blockchain has been 126 million Reserve 3.9 million)
created. Following this, we will convert
tokens to the Resistance coin (RES) on Emission rate:
demand, using the Resistance online No new coins will be minted after
portal. The token will have 18 decimals. the ICO.

42 PART SEVEN: RESISTANCE CROWDSALE / 7.4

Blockchain Parameters

The parameters listed below are
relevant to the Resistance prototype.
Some of them, such as difficulty
adjustment rate and block reward
halving interval, are subject to
independent changes.
If we make changes to other
parameters, like block interval, we’ll
ensure that adjustments are made to
achieve a level of performance and
controlled supply curve similar to those
we illustrate here.
TECHNICAL
FINANCIAL
Total supply:
126 million
Pre-mine:
Up to 60 million tokens for the ICO
(ERC20 tokens converted into RES
coins once mainnet is released),
team, founders, advisors, marketing,
reserves, airdrop, strategic partners,
exchange listing, contributors
Public mining block reward:
Up to 20 RES
Assuming pre-mine of 60 million RES,
our prototype’s controlled supply
curve results in a supply of 100 million
RES (about 80% of total) by 3 million
blocks (approx. 6 years), 113 million
RES (about 90% of total) shortly after
5 million blocks (approx. 10 years),
120 million RES (about 95% of total)
at around 8 million blocks (approx. 15
years), 125 million RES (just over 99%
of total) shortly after 13 million blocks
(approx. 25 years), and the total supply
potentially reached after 65 million
blocks (approx. 125 years).

Consensus technology: TIMELINE

Proof of Work - yespower:
CPU-optimized, GPU-unfriendly
Maximum block size:
2MB (2,000,000 bytes)
Target block interval:
1 minute (on average; actual block
intervals will vary)
Proof of Work difficulty adjustment:
Every block, Digishield v3 (maximum
32% down, 16% up)
Coinbase maturity:
100 blocks required before newly mined
coins can be spent
Slow start:
43,200 blocks (1 month), block reward
growing linearly from 0 to 20 RES
Block reward halving:
Every 2,185,600 blocks (approx. 4
years)
While we mimic block reward halving
of Bitcoin and Zcash, we do not
literally halve the block reward at
these infrequent events because that
can lead to market instability. Instead,
we reduce the block reward at a linear
rate between the block numbers
where halving would occur.

43 PART SEVEN: RESISTANCE CROWDSALE / 7.4

 PART EIGHT

Team and
Advisors

44 PART EIGHT: TEAM AND ADVISORS

The Resistance Team
The Resistance platform is built and maintained by a team of renowned
cybersecurity professionals with a proven track record.

The Resistance core team includes
the founder and core developer
behind the Linux operating system
Whonix, as well as the founder of
Openwall, who is also responsible
for creating the hashing algorithm
yescrypt, and the newly released
yespower CPU-optimized hashing
algorithm, which is used by
Resistance.

Anthony Khamsei Harry Li Luke Wegryn

CEO CFO CTO

Highly experienced cybersecurity Expert Corporate Finance Leader Extremely well-qualified

professional, cryptography expert,
and entrepreneur with a proven track
record in tackling complex cyber
threats and developing innovative
security solutions.
and Financial Analyst with experience
supporting major Wall Street investors,
including Lehman Brothers Inc., and
some of Europe’s largest business
transactions for Accenture.
cybersecurity researcher and former
Cisco Systems Security Engineer with
a long list of security certifications
and a passion for blockchain
technology.

LinkedIn LinkedIn LinkedIn

45 PART EIGHT: TEAM AND ADVISORS / 8.1

 Konstantin Alexandrov
CORE DEVELOPER
Highly regarded Software Engineer
responsible for deploying strategic
software solutions for industry-leading
organizations including Microsoft.
LinkedIn
Denis Petrenko
BLOCKCHAIN DEVELOPER
An expert in blockchain development
and decentralized exchanges with
experience from institutions such as
LQDEX, Luxcore, and Binary Studio.
LinkedIn
46
Alexander Peslyak
CORE DEVELOPER
Well-known and respected operating
system and network security expert,
Founder and CTO of Openwall, author
of the widely-used hashing algorithm
yescrypt and the newly released
CPU-optimized hashing algorithm
yespower, and former Zcash advisor.
LinkedIn
Ziya Sang
BLOCKCHAIN RESEARCHER
A talented Project Manager,
Researcher, Junior Venture Analyst,
and well-established international
Research Analyst for leading
blockchain research projects.
LinkedIn
PART EIGHT: TEAM AND ADVISORS / 8.1
Patrick Schleizer
CORE DEVELOPER
Highly competent ICO Analyst and
Founder of the groundbreaking
anonymity-focused desktop operating
system Whonix, a Debian GNU/Linux-
based Linux distribution that provides
privacy, security, and anonymity to
users.
LinkedIn
Wison Ye
SOFTWARE ENGINEER
Brilliant Full Stack Developer
specializing in the development of
software system architecture for large-
scale government operations and
private, international organizations.
LinkedIn
 Vladamir Tsaryov Nikita Abramenkov
SOFTWARE ENGINEER SOFTWARE DESIGNER

Exceptional Software Engineer Multi-talented Software Designer

with wide knowledge of blockchain and Project Lead for web and mobile
technology and a proven talent for applications with previous UI and UX Design
complex web development. experience for major European banks.

LinkedIn LinkedIn

Kieron Allen Alisha Adams Isa Nordeld

LEAD COPYWRITER SENIOR COPYWRITER COMMUNITY MANAGER

Highly trained and well-qualified
Journalist, Editor, and Copywriter
with experience producing content
for internationally distributed BBC
magazines, news websites, and
multiple technology start-ups.
A sought-after Content Writer
and Strategist with experience
creating publications for enterprise
clients including Adobe and developing
high-level social media
strategies.
Security-focused Social Media
professional and MSc in Industrial
Engineering and Management
with experience in Search Engine
Optimization for innovative technology
organizations.

LinkedIn LinkedIn LinkedIn

47 PART EIGHT: TEAM AND ADVISORS / 8.1

Advisors
Ivan Liljeqvist,
BLOCKCHAIN ADVISOR
Well-known Blockchain Developer, entrepreneur, and
influencer with a background in computer science, telecom,
and data analysis. Founder of Ivan on Tech YouTube channel
(180k subs), ToshiTimes.com (200k monthly readers), and Ivan
on Tech Academy (10,000 active students). LinkedIn
Han Verstraete,
LEGAL ADVISOR
Han is Founder and CEO of otonomos.com which helps clients
set up and manage companies in crypto-friendly jurisdictions
including Singapore, Cayman Islands, Hong Kong, and
Switzerland, etc. LinkedIn
Filip Martinsson,
BLOCKCHAIN ADVISOR
Blockchain entrepreneur and an early adopter of Bitcoin, CEO
of Stockholm Blockchain Group, and Co-Founder of BLOXPO.
Runs one of the largest online learning communities for
blockchain and cryptocurrencies. LinkedIn
Vlad Ovtchinikov,
IT SECURITY ADVISOR
Cybersecurity Researcher at the major multi-national bank
Santander, Trainer at Black Hat Conference, Certified Ethical
Hacker, and accomplished security expert. LinkedIn
Nima Sharifat,
TECHNICAL ADVISOR
Lead Blockchain Developer at Nasdaq creating new
blockchain-based solutions for one of the largest stock
exchanges in the world. LinkedIn
48
Dr. David Kravitz,
BLOCKCHAIN ADVISOR
Cryptographic mastermind with 35 years of experience in
the sector, Vice President of Crypto Systems Research at
DarkMatter, former IBM researcher, key contributor to the
Linux Foundation Hyperledger Project, and inventor of the
Digital Signature Algorithm (DSA). LinkedIn
Erik Vesterlund,
BUSINESS DEVELOPER
Co-founder of Stockholm Blockchain Group and BLOXPO
with a background in Business Development and
Entrepreneurship. A familiar face helping both Swedish and
international blockchain companies grow. LinkedIn
Tommy Spiering,
GDPR ADVISOR
Dynamic Information Security and Privacy Officer, Consultant,
and GDPR expert with an intricate knowledge of international
data protection legislation. LinkedIn
Daniel Söderberg,
BUSINESS ADVISOR
President of EyeOnID, a publicly-traded company that
provides proactive identity protection services through a
variety of state-of-the-art products and solutions. LinkedIn
Matthew Cummings,
TECHNICAL ADVISOR
Senior Site Reliability Engineer at cybersecurity giant Carbon
Black, accomplished Backend Developer, and fluent in
multiple programming languages and tools. LinkedIn
PART EIGHT: TEAM AND ADVISORS / 8.2
 PART NINE

Conclusion

49 PART NINE: CONCLUSION

Conclusion
Resistance is the first anonymous, decentralized
exchange and privacy-oriented blockchain.
Centralized exchanges lack security
while first-generation decentralized
exchanges are slow and difficult to
use. The easy-to-use Resistance
Anonymous DEX is built around a
privacy-oriented blockchain and
facilitates private, peer-to-peer trading
without the need for a middleman.
For years, most of the world’s best-
known blockchains have been ignoring
user privacy in favor of transparency.
The Resistance blockchain builds
on Zcash technology, shielding
transactions through zero-knowledge
proofs and providing users with the
privacy they deserve.
The growth and success of
cryptocurrencies has given rise to a
50
brand new industry: crypto farming.
Massive mining operations using
Resistance.
high-end, specialized hardware Trade freely,
mine fairly.
are making it impossible for the
average miner to compete for block
rewards. Resistance is working toward
becoming practically ASIC-resistant to VISIT
prevent such activity. With democratic, https://www.resistance.io
CPU-optimized mining, and Proof
of Research that allows users to CONTACT
contribute to real-world scientific info@resistance.io
projects, Resistance is a force for
good. COMPANY NAME
Resistance Blockchain Technology
We’re doing things differently, Limited, Cayman Islands
upholding user privacy and anonymity,
bringing mining back to regular
people, and giving a percentage of
block rewards to users committed to
changing the world for the better.
PART NINE: CONCLUSION
 PARTS TEN . ELEVEN . TWELVE

Legal Disclaimer,
Glossary of Terms,
End Notes

51 PARTS TEN . ELEVEN . TWELVE: LEGAL DISCLAIMER, GLOSSARY OF TERMS, END NOTES
Legal Disclaimer
10.1 INFORMATION
PUBLISHED IN THIS
WHITEPAPER
This whitepaper (the “Whitepaper”)
is intended to provide readers
with general information and
documentation. You should not consider
any information in the Whitepaper
legal advice, business advice, or advice
of any sort. Any actions motivated
by or based on the contents of this
Whitepaper are taken at your own risk.
You are advised to contact a licensed
attorney in the relevant jurisdiction
in which you need help if you decide
to take or not take action. The
owners of and/or contributors to this
Whitepaper are in no way responsible
for operations, decisions, or any other
behavior motivated by or based upon
the contents of this Whitepaper or the
Resistance platform.
10.2 TRANSLATIONS OF
THE WHITEPAPER
Versions of this Whitepaper
may contain translations of the
52
English version of this Whitepaper.
Translations are provided only as
an aid to readers to mitigate any
misinterpretations of this Whitepaper.
Should any conflict between the
English language version and the
translated version of this Whitepaper
be found, the English language version
shall take precedence. If you discover
any discrepancies, please report them
directly to Resistance.
10.3 INVESTMENT
CONCERNS
Investors in the Resistance coin
or currencies acquired through
the Resistance Anonymous DEX
should expect prices and value to
fluctuate widely and unpredictably.
The investors should understand
that investment in the Resistance
coin or currencies obtained through
the Resistance Anonymous DEX
can lead to loss of money and/or
cryptocurrency value. The information
published in this Whitepaper cannot
guarantee that investors will not lose
money over short or long periods of
time.
10.4 TAX OBLIGATIONS
Users are solely responsible to
determine what, if any, taxes apply to
transactions made with the Resistance
coin or trades conducted through the
Resistance Anonymous DEX.
The owners of, or contributors to,
the Resistance platform are NOT
responsible for determining the taxes
that apply to transactions made
with the Resistance coin or trades
conducted through the Resistance
Anonymous DEX in any jurisdiction,
anywhere in the world.
Resistance does not condone,
encourage, or knowingly facilitate
tax avoidance in any form, or in any
jurisdiction.
10.5 NO WARRANTIES
EXPRESSED OR IMPLIED
All content, data, resources, and
services provided in this Whitepaper
and on the Resistance platform are
provided “as is” without any warranties
of any kind.
PART TEN: LEGAL DISCLAIMER
10.6 DATA PROTECTION
Resistance has been conceived to
respect the General Data Protection
Regulation (GDPR) protecting
individuals’ data privacy rights. The
Resistance Anonymous DEX, Resistance
blockchain, and Resistance pool
(respool) are designed to support the
essential principles set by the GDPR:
The Resistance platform collects a bare
minimum of Personally Identifiable
Information (PII);
When using the available privacy
options of the Resistance platform,
users may request access, alteration,
and/or deletion of PII, in accordance
with GDPR.
10.7 LIMITATION OF
LIABILITY
Unless otherwise required by law,
the owners of and/or contributors to
this Whitepaper and the Resistance
platform shall not be liable for loss of
data, loss of profits, loss of use, or any
damages, forfeitures, and violations
connected with the information
contained in this Whitepaper or on the
Resistance platform.
10.8 TOKEN SALE
Regulators are judiciously examining
companies and procedures associated
with cryptocurrencies, so it’s possible
that future supervisory measures,
inquiries, or actions may affect how the
Resistance platform generates funds
and limit its ability to grow. Anyone
53
intending to acquire RES tokens must
be mindful that both the Resistance
business model and the information
in this disclaimer may alter or require
modification as a result of emerging
regulatory and/or compliance
requirements from any jurisdictions.
Under these circumstances, anyone
intending to acquire RES tokens
understands that neither Resistance
nor any of its affiliates shall be held
liable for any loss or damages caused
by such changes.
Please note, this document is provided
for your information only and
under no circumstance should it be
considered an attempt by Resistance
to promote or sell stocks or securities
on its platform or any other related or
associated company’s platform.
RES tokens should not be considered
an investment and, although the
Resistance team will, to the best of
its ability, proceed with the project
as described within this Whitepaper,
certain unforeseen circumstances
might cause the project to change,
or end altogether. RES tokens can at
no time be considered an official, or
legally binding, investment of any form.
Purchasing RES tokens is done so at
your own risk.
Acquiring and storing RES tokens
carries various risks, including that
Resistance may be unable to launch its
operations and develop the platform.
Before acquiring RES tokens, you
should carefully consider the risks,
expenses, and benefits of purchasing
RES tokens during the crowdsale and, if
necessary, obtain independent advice
in this regard.
Any interested person who is not in
a position to accept or understand
the risks associated with the activity,
including any risks related to the
non-development of the Resistance
platform and operations, or any other
risks as indicated in the Whitepaper,
should not acquire RES tokens at any
stage.
RES tokens do not provide any rights
on dividend or interest. The RES token is
final and nonrefundable. The RES token
is not a share and does not have a
particular value outside the Resistance
platform or another affiliate platform.
The purchase and use of RES tokens
must not be done speculatively.
The RES token could be affected by
emerging technology, like quantum
computing. These technological
breakthroughs could result in security
breaches and/or theft. All funds
generated during Pre-ICO and ICO are
in no way insured against such, or any
other, technological developments or
any other threat.
If the Resistance crowdsale is canceled,
any funds collected will be returned to
the wallets of the respective investors.
Latest Amendment
This disclaimer was amended for the
last time on July 30, 2018.
PART TEN: LEGAL DISCLAIMER
Glossary of Terms
A B
Anonymity: The ability to operate
without revealing users’ identities.
ASIC: An Application-Specific Integrated
Circuit (ASIC) is an integrated circuit
customized for a specific use, such as
mining cryptocurrency blocks. Unlike
CPUs, ASICs are not designed to
perform general computational tasks.
ASIC-Resistant: A mining protocol that
is not biased toward ASIC chips. Some
algorithms, like yespower, offer minimal
advantage to ASICs and, combined with
stated intent to tweak the algorithm
as needed to maintain this property
in anticipation of or response to new
developments, reduce the incentive to
create ASICs and, more importantly,
reduce their effect on the network.
[See ASIC]
Atomic Swap: Technology that allows
users to exchange one cryptocurrency
with another cryptocurrency without
putting funds in escrow. The atomic
swap also follows a strict protocol to
ensure that each party is held
accountable for their side of the trade.
54
Block: Each block contains a collection
of transactions. Once validated, blocks
are added to the blockchain.
[See Blockchain]
Blockchain: A decentralized ledger
upon which every transaction is
permanently recorded. The blockchain
cannot be undone or altered.
BOINC: The Berkeley Open
Infrastructure for Network Computing
(BOINC) is an open-source software
platform for grid computing that
utilizes computing power donated by
volunteers.
C
Centralized: When a small percentage
of parties are in control of a particular
service.
Coin: Cryptocurrencies are virtual
currencies. Cryptocurrency units are
often referred to as coins. The words
cryptocurrency and coin are often used
interchangeably. [See Cryptocurrency]
Command Line Interface (CLI): A CLI
is a text-based interface that facilitates
interactions with applications and
operating systems.
CPU: A computer’s central processing
unit (CPU) performs all of its basic,
everyday operations and calculations.
CPU-Optimized: A mining protocol
that favors the CPUs found in standard
laptop and desktop computers.
[See CPU]
Cryptocurrency: A digital asset that
functions as a medium of exchange
using complex cryptography to secure
monetary transactions, regulate the
creation of new units, and validate the
legitimacy of transfers.
Cryptography: The use of sophisticated
mathematics to secure information.
PART ELEVEN: GLOSSARY OF TERMS
 D G
Decentralized: A service that operates
without a central authority.
Decentralized Exchange (DEX): An
exchange that is not restricted to a
central server.
Desktop Wallet/Miner: An all-in-one
desktop wallet that integrates mining
and trading platforms.
Distributed: A network of peers who
interact without the need for a central
server.
E H
Encryption: Cryptographically secured
information that can only be decoded
by authorized parties.
Escrow: The process by which a third
party receives and distributes funds
during a transaction. Funds are held
in escrow until all conditions of a
transaction are met.
Exchange: A platform that allows users
to trade cryptocurrencies, including fiat
currencies in some cases.
F
Fiat Currency: Physical money, paper
or coins, made legal tender by a
government.
FPGA: A field-programmable gate
array (FPGA) is a customizable
integrated circuit. FPGAs are chips that
can be reprogrammed for specific
tasks, like mining.
Fungibility: The property of all units
of a given currency being equal and
untainted by previous transactions.
55
GDPR: The General Data Protection
Regulation (GDPR) is a regulation
in European Union (EU) law on data
protection and privacy for individuals
within the EU. [See PII]
GPU: A graphics processing unit (GPU)
is a specialized circuit initially designed
to create and alter images at speed.
They are more efficient than standard
CPUs at processing large amounts,
and certain types, of data. They can
often perform tasks in parallel that
traditional CPUs cannot.
Hash: A cryptographic hash function
is an algorithm that turns any amount
of data into a fixed-length string of
characters that cannot be reversed to
determine the original data.
Hashed Timelock Contract (HTLC):
A smart contract used to implement
time-bound transactions, such as
atomic swaps, without risk. Recipients
of a transaction must acknowledge
receiving payment by generating
cryptographic proof by a deadline or
forfeit the payment, returning it to the
payer.
I
Initial Coin Offering (ICO): The
process of raising funds for a new
cryptocurrency venture. Investors
receive tokens in return for their
investments.
K
KYC: Acronym for Know Your Client or
Know Your Customer. A regulatory bank,
financial advisory, and business process
used to verify the identity of clients,
ensure compliance, and assess the
potential risk of illegal intentions.
L
Ledger: A list of transactions and
balances.
M
Masternode: Unlike regular nodes,
masternodes cannot be used for
mining. Instead, they perform vital
services on the Resistance Anonymous
DEX and blockchain such as increasing
the performance and security of the
network. [See Nodes]
Miner: A computer, or collection
of computers, that carries out
computational tasks to contribute blocks
to the blockchain. Normally, a reward is
given to successful miners.
N
Node: A participant in a blockchain
network. Each node retains a copy of
the complete blockchain.
O
Open-Source: Software that is freely
distributed and publicly modifiable.
PART ELEVEN: GLOSSARY OF TERMS
 P R
Peer-to-Peer: When computers or
users communicate directly and not
through a centralized body.
PII: Personally Identifiable Information
(PII) is information that can be used
to distinguish individual identity either
on its own or in context with other
information, such as name, account
numbers, social security number,
biometric records, and more.
Privacy: The ability to shield
information that users don’t want in the
public domain.
Private Address: An address that is not
visible to the public. Cryptocurrency
addresses are used to track the
balance of a user’s wallet, creating a
record of transactions. With private
addresses, transactions are shielded,
so users retain their privacy.
Proof of Research: A mechanism
to ensure that a user has donated
computational time to one or more
research projects.
Proof of Work: A mechanism to secure
the blockchain. Miners compete to
solve complex calculations to validate
transactions and add new blocks to the
blockchain.
Protocol: The rules that govern how
nodes on a blockchain communicate.
Public Address: An address that is
visible to the public. Cryptocurrency
addresses are used to track the
transactions between parties on a
blockchain.
56
Resistance: An anonymous,
decentralized exchange with a privacy-
oriented blockchain combining Proof of
Work and Proof of Research for block
rewards.
Reward Splitting: The process of
dividing a reward earned for validating
a new block on the blockchain between
multiple parties.
S
Scalability: The capacity of a
blockchain network to process
transactions for mainstream uses.
The current processing capacity
of the Bitcoin blockchain is seven
transactions per second, which has
led to increasing transaction fees and
longer processing times.
Smart Contract: A computer
protocol that facilitates, verifies,
and/or enforces the rules and
penalties of an agreement without the
use of third parties. Used to enable
irreversible transactions of anything
of value.
T
Token: Allocated to investors and other
relevant parties during an ICO. Once
the conditions of the ICO are
met and trading starts, tokens become
functional units of currency.
Tor: Open source software that
enables users to communicate
anonymously by routing traffic
through an overlay network.
Transaction Fee: A fee paid to the
first miner to successfully validate a
new block on the blockchain.
Transaction: The transfer of a
unit of currency from one user to
another. Cryptocurrency transactions
are recorded on a blockchain and
can be verified by all users in the
system.
W
Wallet: A software / web-based
program or a hardware device
used to store and provide access to
cryptocurrency assets.
Wallet Address: A string of
alphanumeric characters that uniquely
identifies an address that can send and
receive cryptocurrency funds.
Y
yespower: A CPU-optimized hash
function used in the mining process to
secure transactions.
Z
Zero-Knowledge Proof: A way for
party A to prove to party B they know
the value of X without revealing any
other information except that they
know the value of X.
Zcash: A privacy-oriented
cryptocurrency that allows users to
undertake private transactions by
implementing zk-SNARKs.
zk-SNARK: A form of zero-knowledge
proof used to ensure private
transactions on the Resistance
blockchain.
PART ELEVEN: GLOSSARY OF TERMS
End Notes
1   . Wikipedia. “List of countries by central bank interest rates.”
Accessed August 6, 2018, https://en.wikipedia.org/wiki/List_
of_countries_by_central_bank_interest_rates
2 . Aitken, Roger. “In Blockchain We Trust? Not Yet, Say
Consumers.” Forbes (blog), September 23, 2017,
https://www.forbes.com/sites/rogeraitken/2017/09/23/
in-blockchain-we-trust-not-yet-say-consumers
3 . CNBC Crypto Trader. “CNBC Exclusive: CZ -The most
powerful man in Crypto!” YouTube (video), July 11, 2018,
https://www.youtube.com/watch?v=-wtqDL351lY
4 . BBC News Staff. “India admits rupee withdrawal bad for
economy.” BBC, August 31, 2017, https://www.bbc.co.uk/news/
business-38807695
5 . Wikipedia. “Mt. Gox.” Last updated July 17, 2018,
https://www.en.wikipedia.org/wiki/Mt._Gox
6 . Baldwin, Claire. “Bitcoin worth $72 million stolen from
Bitfinex exchange in Hong Kong.” Reuters, August 3, 2016,
https://www.reuters.com/article/us-bitfinex-hacked-
hongkong/bitcoin-worth-72-million-stolen-from-bitfinex-
exchange-in-hong-kong-idUSKCN10E0KP
7 . Haig, Samuel. “Greek Authorities Arrest Suspected BTC-e
Mastermind for Laundering $4 Billion.” Bitcoin News (blog),
July 26, 2017, https://news.bitcoin.com/greek-authorities-
arrest-suspected-btc-e-mastermind/
8 . Lanz, Jose Antonio. “Vitalik Buterin On Centralized
Exchanges: ‘I Hope They Burn In Hell’.” Ethereum World News
(blog), July 8, 2018, https://www.ethereumworldnews.com/
vitalik-buterin-centralized-exchanges-burn-in-hell/
9 . Russel, John. “Cryptocurrency exchange EtherDelta
suspends service following alleged hack.” TechCrunch (blog),
December 20, 2017, https://techcrunch.com/2017/12/20/
etherdelta-suspends-service/
57
10 . Bitcoin. “Protect your privacy.” Accessed July 19, 2018,
https://bitcoin.org/en/protect-your-privacy
11 . Coin Bureau. “Bitfury Group Unveils Technology to
Track Bitcoin Transactions.” January 8, 2018, https://www.
coinbureau.com/news/bitfury-unveils-technology-track-
bitcoin-transactions/
12  . World Crypto Index. “Fungibility Explained.” Accessed
July 19, 2018, https://www.worldcryptoindex.com/fungibility-
explained/
13 . Hong, Euny. “How Does Bitcoin Mining Work?”
Investopedia (blog), July 2, 2018, https://www.investopedia.
com/tech/how-does-bitcoin-mining-work/
14  . Trustnodes. “Bitmain Nears 51% of Bitcoin’s Network
Hashrate.” June 23, 2018, https://www.trustnodes.
com/2018/06/23/bitmain-nears-51-bitcoins-network-hashrate
15  . Bitcoin Wiki. “Majority attack.” Last updated February 10,
2018, https://en.bitcoin.it/wiki/Majority_attack
16  . Young, Joseph. “Malware Steals User Funds & Bitcoin
Wallet Keys From PCs; Bitcoin, Altcoins Targeted.”
Cointelegraph (blog), February 8, 2017, https://cointelegraph.
com/news/malware-steals-user-funds-bitcoin-wallet-keys-
from-pcs-bitcoin-altcoins-targeted
17  . Khatwani, Sudhir. “Decentralized Crypto Exchanges vs
Centralized Exchanges Like Binance, Bittrex.” CoinSutra
(blog), February 21, 2018, https://www.coinsutra.com/
decentralized-vs-centralized-crypto-exchange/
18  . Andrews, Evan. “The Dark Side of “Decentralized”
Exchanges.” Coinmonks (blog), April 21, 2018, https://
medium.com/coinmonks/the-dark-side-of-decentralized-
exchanges-82d49d55e419
PART TWELVE: END NOTES
19  . Pelberg, Dan. “Why Decentralized Exchanges Still Aren’t
Good Enough.” Crypto Disrupt (blog), May 4, 2018, https://
www.cryptodisrupt.com/why-decentralized-exchanges-still-
arent-good-enough/?cn-reloaded=1
20 . Asolo, Bisola. “What Are Atomic Swaps?” Mycryptopedia
(blog), July 2, 2018, https://www.mycryptopedia.com/what-
are-atomic-swaps
21 . Zcash. “Technology: What are zk-SNARKs?” Accessed
July 19, 2018, https://www.z.cash/technology/zksnarks.html
22 . Tor Project. “About Tor: Overview.” Accessed July 19, 2018,
https://www.torproject.org/about/overview.html.en
23 . Hochstein, Marc. “When Crypto Exchanges Hold More
Than Your Money.” CoinDesk (blog), February 1, 2018,
https://www.coindesk.com/aml-vs-privacy-cryptos-
compliance-conundrum/
24 . Bitcoin Wiki. “Hashed Timelock Contracts.” Last updated
September 26, 2017, https://en.bitcoin.it/wiki/Hashed_
Timelock_Contracts
25 . Asolo, Bisola. “What Are Atomic Swaps?” CryptoCompare
(blog), May 20, 2018, https://www.cryptocompare.com/coins/
guides/what-are-atomic-swaps
26 . Privacy International. “What is Privacy?” (Video),
Accessed August 23, 2018, https://privacyinternational.org/
explainer/56/what-privacy
27 . Wikipedia. “Facebook-Cambridge Analytica data
scandal.” Last updated August 7, 2018, https://en.wikipedia.
org/wiki/Facebook%E2%80%93Cambridge_Analytica_data_
scandal
28 . Wong, Julia Carrie. “Mark Zuckerberg apologises for
Facebook’s ‘mistakes’ over Cambridge Analytica.” The
Guardian, March 22, 2018, https://www.theguardian.com/
technology/2018/mar/21/mark-zuckerberg-response-
facebook-cambridge-analytica
29 . Curran, Dylan. “Are you ready? Here is all the data
Facebook and Google have on you.” The Guardian, March
30, 2018, https://www.theguardian.com/commentisfree/2018/
mar/28/all-the-data-facebook-google-has-on-you-privacy
58
30 . Kaye, David. “Report of the Special Rapporteur on the
promotion and protection of the right to freedom of opinion
and expression.” United Nations Human Rights Office of the
High Commissioner, May 22, 2015, http://www.ohchr.org/EN/
Issues/FreedomOpinion/Pages/CallForSubmission.aspx
31 . Rizzo, Pete. “What If One Bitcoin Isn’t Like the Others?
Fungibility Debated At Scaling Conference.” CoinDesk (blog),
October 9, 2016, https://www.coindesk.com/fungability-
bitcoin-scaling-milan-one-bitcoin-not-like-others/
32 . Wikipedia. “Zero-knowledge proof.” Last updated June
8, 2018, https://en.wikipedia.org/wiki/Zero-knowledge_
proof#The_Ali_Baba_cave
33 . TradeBlock. “Historical Data: Bitcoin.” Accessed July 30,
2018, https://tradeblock.com/bitcoin/historical/1d-f-tsize_
per_Avg-00071-blksize_per_avg-01071
34 . Casey, Michael J. “Privacy Is Vital to Crypto – and the
Global Economy.” CoinDesk (blog), June 27, 2018, https://
www.coindesk.com/privacy-vital-crypto-global-economy/
35 . Witherspoon, Zane. “A Hitchhiker’s Guide to Consensus
Algorithms.” Hackernoon (blog), February 13, 2018,
https://www.hackernoon.com/a-hitchhikers-guide-to-
consensusalgorithms-D81aae3eb0e3
36 . Dash. “Masternodes.” Accessed July 19, 2018, https://
www.dash.org/masternodes/
37 . Dash Core Group. “Masternodes.” Dash Documentation,
accessed July 19, 2018, https://docs.dash.org/en/latest/
masternodes/index.html
38 . Baker, Paddy. “Will Bitmain Stage A 51% Attack On The
BTC Network?” CryptoBriefing (blog), June 25, 2018, https://
www.cryptobriefing.com/bitmain-51-attack-bitcoin-network/
39 . Bitmain. “About Bitmain.” Accessed July 19, 2018, https://
www.bitmain.com/
40 . Openwall. “yespower - proof-of-work (PoW) scheme.”
Accessed July 19, 2018, http://www.openwall.com/yespower/
41 . BOINC. “Open-source software for volunteer computing.”
Accessed July 19, 2018, https://boinc.berkeley.edu/
PART TWELVE: END NOTES