Tether said the hedge funds that shorted its stablecoin after Terra’s collapse have “a fundamental misunderstanding of both the cryptocurrency market and Tether.”
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Tether calls thesis behind USDT short-selling ‘flat out wrong’
Consider this scenario: A signs a message to B using A’s private key. A then encrypts the signed message with B’s public key. A sends both plaintext and encrypted message to B so that B can verify. B receives the messages from A. B decrypts the signed message using B’s private key and verifies that::Listen
Consider this scenario:
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A signs a message to B using A’s private key. A then encrypts the signed message with B’s public key. A sends both plaintext and encrypted message to B so that B can verify.
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B receives the messages from A. B decrypts the signed message using B’s private key and verifies that the plaintext message indeed comes from A.
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B then encrypts A’s signed message with C’s public key and sends it to C.
In this case, there is no way C can detect that it was B who sends the message to them. They will (mistakenly) think that it is A who sent the message right (Unless there is some other contextual information in the signed signature like timestamps or sequence number)?
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