US 12,067,572 B2
Cryptographic taint tracking
Timothy Eller, Millbrae, CA (US); Patrick De La Garza, Sunnyvale, CA (US); Daniel Klein, Mountain View, CA (US); George Kellerman, Sunnyvale, CA (US); Steven Eliscu, Foster City, CA (US); and Danny Yang, Santa Clara, CA (US)
Assigned to DMG BLOCKCHAIN SOLUTIONS, INC., (CA)
Filed by DMG Blockchain Solutions Inc., Vancouver (CA)
Filed on Jan. 21, 2022, as Appl. No. 17/580,914.
Application 17/580,914 is a continuation of application No. 16/699,061, filed on Nov. 28, 2019, granted, now 11,257,089.
Claims priority of provisional application 62/773,810, filed on Nov. 30, 2018.
Claims priority of provisional application 62/772,602, filed on Nov. 28, 2018.
Prior Publication US 2022/0148002 A1, May 12, 2022
This patent is subject to a terminal disclaimer.
Int. Cl. G06Q 20/40 (2012.01); G06Q 20/36 (2012.01)
CPC G06Q 20/4016 (2013.01) [G06Q 20/367 (2013.01)] 6 Claims
OG exemplary drawing
 
1. A method of identifying tainted cryptographic wallets comprising:
mapping a first address to an entity owning private keys to a category associated with a risk level;
clustering the first address into a first wallet based on semi-supervised address classification of shared cryptographic transaction inputs;
assigning the first wallet a first taint score based on the mapping of the first address to the category associated with the risk level of the entity;
identifying a cryptographic transaction between the first wallet and a second wallet on an anonymous blockchain data structure stored in a distributed network, wherein the anonymous blockchain data structure is open for public inspection, wherein the first wallet and the second wallet are represented as nodes in a directed graph constructed based on addresses and transactions associated with the first wallet and the second wallet, the cryptographic transaction having a first amount of cryptocurrency;
determining a total value in cryptocurrency of the second wallet;
assigning a second taint score to the second wallet, wherein the second taint score is a fraction of the first taint score based on a relative comparison between the first amount of cryptocurrency of the cryptographic transaction and the total value in cryptocurrency of the second wallet;
in response to the second taint score being above a threshold, quarantining the second wallet;
reducing the second taint score of the second wallet at a rate inversely proportional to the second taint score; and
in response to reducing the second taint score below the threshold, removing the second wallet from quarantine.