Patent attributes
Described is a proactive digital currency (PDC) system and method. In an embodiment, the PDC system operates using a plurality of ledger servers. Thereafter, the user can use a secret sharing protocol to transfer coins amongst users of the PDC system. In doing so, the system receives, at the plurality of collectively operated ledger servers, a first address of the first user, a second address of the second user, and a secret share of each bit in a binary representation of the transaction value. The secret share conceals the transaction amount. The ledger servers verify that the transaction value will not overdraw a balance ledger associated with the first address of the first user. The transaction value and a transaction fee are subtracted from the first address of the first user, with the transaction value being added to the second address of the second user.