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Dandelion: Redesigning the Bitcoin Network for Anonymity

Dandelion. Shaileshh Bojja Venkatakrishnan, Giulia Fanti and Pramod Viswanath.

Forward the transaction along a line, in a stem phase, and only then broadcast it, in a fluff phase, so the first flood is not centred on the sender.

A reading of the public document. Not a copy of it, and not a claim about a later network that reused the name.

A wallet that claims network privacy should say whether the first hop is a flood or a stem.

The five-minute read

The defect

First-announcement of a transaction is a strong hint about who sent it, because the sender's neighbours see it first.

The rule

Forward the transaction along a line, in a stem phase, and only then broadcast it, in a fluff phase, so the first flood is not centred on the sender.

How it is put together

The stem is a path, not a flood. The fluff is the ordinary gossip. Anonymity is about the shape of the first hop, not about hiding amounts.

Where the claim stops

Dandelion is not a mixnet and not a hidden amount.

One action, walked through

  1. Pick a line of relays.
  2. Pass the transaction along that line without broadcasting.
  3. At a random hop, switch to flood.
  4. Is the first relay a flood?

The argument, unpacked

Why it is still on the desk

A wallet that claims network privacy should say whether the first hop is a flood or a stem.

After the text

Bitcoin never adopted it as a consensus rule. Some clients experimented. The paper is about the peer graph, which is not in the block header.

What has to be true

  • Dandelion is not a mixnet and not a hidden amount.
  • Later Dandelion++ changes the details. Cite which one.
  • A spy who runs many nodes still has a statistical advantage.

What happened after the paper

Bitcoin never adopted it as a consensus rule. Some clients experimented. The paper is about the peer graph, which is not in the block header.

What to check before you use the idea

  • Is the first relay a flood?
  • How is the stem chosen?
  • What does an observer with many connections still learn?

Terms

Stem
A private line of forwards before any broadcast.
Fluff
The later flood that actually spreads the transaction.

The problem the paper names

First-announcement of a transaction is a strong hint about who sent it, because the sender's neighbours see it first.

What the design proposes

  • The stem is a path, not a flood.
  • The fluff is the ordinary gossip.
  • Anonymity is about the shape of the first hop, not about hiding amounts.

How the mechanism is specified

  • Pick a line of relays.
  • Pass the transaction along that line without broadcasting.
  • At a random hop, switch to flood.

What this page does not treat as proven

  • Dandelion is not a mixnet and not a hidden amount.
  • Later Dandelion++ changes the details. Cite which one.
  • A spy who runs many nodes still has a statistical advantage.

Why a venture studio still reads it

A wallet that claims network privacy should say whether the first hop is a flood or a stem.

This is Blockchain Lab's reading of a public design paper. It is not the paper, not a copy of it, and not an offer of tokens, equity, custody or a partnership. Later network behaviour can diverge from the text. Nothing here is investment, legal or technical advice.

Research status: Design paper. Last reviewed: 1 October 2026. This is a reading of a public paper, not investment, legal or security advice.