SIF – information visiblity
SIFs limit the information visible to participants without relying on a single
trusted party. They simultaneously achieve transparency and confidentiality
through use of Findora’s privacy-preserving compliance tools (Section 3.6).
The degree of confidentiality in a SIF is tunable, and we list several
functions that we are able to achieve.
- 1. Basic investor confidentiality (with fund manager visibility).
- Hiding the amounts contributed by each investor to the fund from the public (including the other investors) as well as the balances of each of the fund holdings can be achieved just from confidential payments. Only the fund manager is allowed to see all balances.
- 2. Full investor confidentiality.
- Hiding from the fund manager the balances of each investor and revealing only the aggregate can be accomplished using Findora’s confidential multi-source payment.
- 3. Confidential aggregate balance.
- In some cases, it is desirable that only the fund manager knows how much has been invested overall. As noted earlier, Findora’s confidential multi-source payment also supports hiding the aggregate amount from the public, and will also reveal to the fund manager whether or not the final sum it learns is correct.
- 4. Conditional balance reveal.
- A tweak to the above functionality would hide the balance of the fund from the manager unless its value surpasses a required threshold. This might be necessary for investor confidentiality when the investor pool is dynamic across multiple attempts to fill the fund’s round. This functionality will require more expensive privacy-preserving computation techniques